The ABC’s of Small Business Insurance

Business insurance provides a safety net against the company’s vast and unnecessary financial losses and damages and ensures its smooth operations. 

This insurance protects a hard-earned business from all forms of harm and loss detrimental to its operations, such as lawsuits, theft, property damage, and employee injury. Corporations, whether small or large scale, need to be secured by business insurance. 
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Read on to determine the types, extent of coverage, and costs of obtaining small business insurance. 

Major Types of Business Insurance Coverage
Selection of business insurance coverage depends on business nature, types of coverage mandated per state, business needs, and threats. The types of business insurance coverage are:

1. General Liability Insurance
   It shoulders liability petitions against bodily injury from third parties and property damage such as accidental falls or false advertising claims. It is required for most establishments with a physical location. 
   
   
2. Worker’s Compensation Insurance
   It would cover health and medical expenses and lost wages if employees got work-related injuries. It is required in most American states. 
   
   
3. Disability Insurance
   It assumes parts of lost earnings due to company closure or employee disability. It can be crucial for business owners with daily business operations. 
   
   
4. Unemployment Insurance
   It bears parts of lost profits for employees who lost jobs due to specific reasons, like lay off. Federal Law mandates it to employers paying more than $1500 salary per quarter or have at least one employee per 20 weeks per year. 
   
   
5. Directors and Officers Insurance
   It provides personal assets protection to directors and officers of a company or even a non-profit against mismanagement issues. 
   
   
6. Property, Homeowners, and Renters Insurance
   This insurance includes coverage for structure and items within the facility in cases of calamities, theft, fire, or physical damage. It also covers things like inventory, POS systems, and others that can be protected through these insurance types. 
   
   
7. Professional Liability Insurance
   It protects companies, industries, and freelancers such as marketers, consultants, and health professionals that offer advice or services. It safeguards against omission, errors, or negligence projected to these companies. 
   
   
8. Product Liability Insurance
   It safeguards product manufacturing companies from charges involving damage of property and bodily injury. 

Insurance for Small Businesses
Most small businesses will need General Liability, Property, Worker’s Compensation, Unemployment, and State Disability Insurance for their protection. Professional Liability Insurance can be added to cover expenses from potential errors of running the business. 

Costs of Business Insurance
As a general rule, small businesses should allot a range of $30 to $80 per month for their insurance matters. Liability coverage can be influenced by the number of workers, business location, and exposure to hazards. 

Conclusion
Small businesses may obtain various insurance coverage types depending on business nature, number of employees, state requirements, or hazards entailed in the industry. Get the most appropriate business insurance coverage for you and your family at Cornerstone Insurance Agency. 

At Cornerstone Insurance Agency, we aim to provide comprehensive insurance policies that make your life easier. We want to help you get the insurance that fits your needs. You can get more information about our products and services by calling our agency at (888) 661-8831. Get your free quote today by CLICKING HERE.