A Guide on the Different Types of Small Business Insurance

Did you know that it costs an average of three thousand dollars to start a small business? Although the startup can be expensive, it is important to cover all your bases so that you do not end up spending more in the long run.

One of the keys to protecting your company is insurance for businesses. Have you ever wondered which types of business insurance options work for your company? Here are some of the most popular types of small business insurance so you can decide what you need.

Commercial Property Insurance

To protect the location of your business, you need to buy commercial property insurance. This includes your equipment, tools used, inventory, and even furniture.

This will help you if your business gets robbed and you need to replace inventory or other items that could cost a lot of money.

General Liability Insurance

If a customer experiences injury while at your business, then you may need to use general liability insurance. It can also apply to other claims, such as slander or libel.

It is one of the broadest business insurance options and can cover a variety of different issues. If you only have the budget for some types of insurance, make sure general liability is on the list.

Cyber Liability Insurance

With cyber-attacks becoming more sophisticated by the day, it is vital that you protect your assets digitally as well. Cyber liability insurance can cover the costs of hiring a company to resolve the issue if your network is breached.

You can also use this insurance to protect yourself if you get sued for any data breaches from affected parties as well.

Workers’ Compensation Insurance

If you work in a dangerous field, such as construction, then workers’ compensation is the way to go for protecting a business. If someone who gets injured on the job needs workers’ compensation, then you will not have to pay a lot of money for it.

Workers’ compensation insurance can cover issues such as medical bills and disability payments while your worker recovers from their injury.

Commercial Auto Insurance

For businesses that have company vehicles or trucks, you will definitely need to look into commercial auto insurance. If your employee gets into an accident where they are the faulty party, you can have those expenses covered with insurance.

Commercial auto insurance will likely be required if you rent vehicles from another company.

So Many Types of Small Business Insurance

If you are starting a business, you need to ensure that your company is protected with the right types of small business insurance. With these options, you can determine which insurance plans are right for your needs.

Want to learn more about all of the steps you should take when you start a business? Check out our site for more tips and tricks to get your small business up and running today.

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