When starting a new business, one of the first and most important actions to take is to protect your company and your assets. The way to do that is to obtain the most important type of insurance for a startup which is liability insurance. It covers legal costs if your business is sued. Depending on the type of business you have, particularly if you deal with the public, such as in childcare, cosmetics or food service, you could have a high risk. But there are also other types of insurance coverage you need to consider to handle other possible risks, whether you are a startup or an existing small business. The following is a list of coverages that address various aspects of exposures involving a small busines
General Liability Insurance: With this coverage your company has protection from claims of bodily injury or property damage. If your company sells a product, then you will also want to look into product liability insurance to protect you from claims of bodily injury or property damage that your product may cause.
Professional Liability Insurance: This policy, also known as Errors and Omissions insurance or Professional Indemnity insurance, covers claims related to mistakes made through the service your company provides.
Workers' Compensation Insurance: Coverage with this policy will help provide benefits to your employees if they get injured or sick from their jobs. Most states require this coverage.
Commercial Property Insurance: This policy will help cover the costs of damage to your business property, including furniture, tools and equipment.
Commercial Auto Insurance: If your business involves having employees driving for your company, this coverage will help cover the costs of car accidents you or your employees may have.
Business Income Coverage: Also known as Business Interruption insurance, this policy can help you recover lost income if your business has to close because of a covered incident.
Data Breach Insurance: With the risks we face today with new technology, you may want to consider coverage that helps your business respond to a data breach. This can involve costs associated with alerting customers and the public of a breach and restoring your reputation.
Commercial Umbrella Insurance: This policy will help provide extra coverage if a claim against you is higher than your general liability policy limits.
Employment Practices Liability Insurance: Also known as Employer's Liability insurance, this policy helps cover legal expenses involving claims such as discrimination, wrongful terminations, harassment, etc.
Business Owner's Policy (BOP): This is a popular insurance package for small business owners because it combines many of the above insurance coverages, such as general liability, property insurance and business income coverage. It's an easy way to bundle the coverage you need into one package.
As you can see there are various exposures to your business that you could experience as a startup or as a small business owner. The commercial lines professionals at J.P. Perry can help guide you through this complicated insurance maze to protect your business and to help keep you within your company's budget.