All businesses, even small ones, need some form of insurance. General liability insurance is generally a good place to start. If you are involved in a business that requires you to talk to customers face to face, whether they visit you, or you visit them, or have access to someone else’s equipment, then you probably need insurance. Even if you are only representing a client’s business and not meeting with them in person, there is always the possibility of a lawsuit of some kind. There is insurance for small businesses and professionals available.
How much will it cost you? The cost depends on factors such as where you are located, where you do business, the type of industry you are in, the size of the business, the limits/deductibles you select, etc. As a responsible person in a business, you need to ensure that it is properly protected against any potential risks and unexpected legal issues.
Some small business general liability insurance includes advertising protection. This is something you might need if you are concerned about copyright laws and potential defamation charges.
What about theft? General liability insurance generally covers only third-party losses for which your organization may be partially liable through negligence. If you’re worried about your property being stolen, look for a policy that includes that kind of protection.
Mandatory Insurance for Small Businesses
You will likely need some form of insurance to operate legally. Depending on your state, there are some types of insurance that even small businesses should have. If your business operates vehicles, for example, you’ll need car insurance. In some states, workers’ compensation is also required (if you have employees).
Even if your business is going to be primarily online, you may need cyber security insurance. Small businesses are victims of data breaches all the time. A single security problem can cost you a lot of money. Imagine what would happen if all of your customers’ personal data was stolen.
Make sure you understand the true ramifications of all the terms and limits of a policy before deciding whether or not it is right for you. Insurance policies can be a bit complicated, especially if there are industry-specific terms that need to be understood. Read each of the policy’s endorsements and exclusions and make sure you understand all the details.
Find affordable small business insurance at Hiscox Business Insurance. It is very affordable, but complete. No matter what type of industry you are involved in, Hiscox is likely to have an insurance plan tailored to that industry.