Small Business Insurance – What Do I Really Need?
If you run a small business, you already realize the importance of keeping it protected with appropriate amounts of small business insurance. This becomes especially important for any entrepreneur who services people on his property, owns a restaurant, or is currently operating in the midst of a construction effort.
Fortunately, when it comes to small business insurance, Las Vegas-based companies have a wide range of options from which to choose. Selecting exactly what you need, however, can pose a problem. How do you decide on the coverage types that will best protect your company?
Small Business Property Insurance
As a business owner, you are sure to recognize the importance of protecting the objects that play the largest role in running your particular enterprise. However, if a fire, a flood, theft or malfeasance should wipe out these essential items, would you be able to replace them without going under financially?
The property coverage portion of your business insurance policy plays a vital role in shielding your venue against certain forms of damage as specified in the plan. Common coverages include protection for furnishings, equipment and inventory in addition to the building that houses them. However, you can also obtain coverage for such things as equipment breakdowns or debris removal following a fire, a flood or another covered catastrophe.
Liability Insurance for Your Small Business
Despite your best efforts at maintaining a safe environment, any number of unforeseen events can arise to cause harm to a worker or patron and lead to a lawsuit against you. Liability coverage will protect your small business against such unanticipated occurrences. The three major types of business liability coverage include:
- General liability. This will shield you against lawsuits concerning someone’s injury or accidental harm due to claimed negligence on your part.
- Product liability. In the event that a defect in a manufactured, sold or distributed item causes injury to someone who uses it, this coverage will protect the responsible business owner.
- Professional liability. This type of insurance is invaluable for any business that provides a service, and the law insists that doctors carry the malpractice variety.
Small Business Insurance and Your Employees
Unless you’re running a one-man operation, you will have to consider business insurance requirements as they relate to your employees. Some of this amounts to a legal necessity. In every state but Texas, for example, a private employer with a certain number of employees must by law carry workers’ compensation coverage. In Nevada, the minimum number of workers is one.
Workers’ compensation insurance provides medical benefits and wage replacement to employees who suffer injury on the job while preventing them from suing your company for negligence. If the employee should die from his work-related injuries, workers’ compensation will also provide benefits to his or her family.
Business Vehicle Coverage
Any vehicle used in the course of conducting your business will require the same coverage as a personal car. Among other things, business vehicle coverage will protect your company against any liability accruing from accidents in which it is involved.
Data Compromise Insurance
Any breach of personal data concerning your customers or employees is a serious affair that can leave you open to a lawsuit. Whether your company releases this information accidentally or someone hacks into your system and steals it, data compromise insurance will protect your company in the event that the affected individuals decide to hit you with a lawsuit.
The business owner who purchases a package policy will normally obtain a wider range of coverage for a lower price than he would by purchasing them separately. The commonest type of package is the Business Owner’s Policy, or BOP. Available only for small- to medium-sized businesses, the BOP combines major property and liability coverage with protection against loss of income and other risks specifically related to your enterprise. It does not, however, include such things as workers’ compensation, professional liability, business vehicle insurance and other coverages for which you will require separate policies.
Keeping Your Premiums Down
While purchasing the optimal levels of business insurance, you’ll want to do so in an economical manner. Some ways of lowering insurance costs include:
- Choosing a higher deductible.
- Buying a package policy.
- Installing sprinklers, alarms and other safety devices in and around the property.
- Selecting a financially stable insurer.
- Keeping your year-to-year losses low.
In the end, it pays to shop around. At All Kinds of Insurance, we will do the legwork required to find the best small business insurance for you and your company. Don’t get caught short with inadequate coverage. Give us a call today at 702-534-4697, schedule and appointment or fill out our contact form.