Business Insurance


 Business Insurance

In today's competitive world, a business without insurance is very often a stone that will sink to the bottom of the ocean. And just like your personal life and other aspects of your finances, it is important for you to make sure you have coverage in place when it comes to your company.
If you don't have a policy on file for your business yet, now is definitely the time (if at all possible) to acquire one. You'll be glad (and relieved) that you did!

For more information about business insurance and what it can do for your company, be sure to read through this guide.
There are many factors you should consider when buying a policy. One of the most important is how to make sure you can afford it.
If your company is growing at a fast pace, your deductible shouldn't be so high that you wind up paying for minor details that could be taken care of by someone else, like security systems or stand-alone coverage for computers and office equipment.
The more coverage you have in place and the higher your deductible is, the cheaper the overall price of your premium will be. So make sure to take both these things into consideration before making your decision.
There are a couple of major categories that your policy will fall into.
Business Liability Insurance This means paying for liability in case your business or employees cause injury or damage to someone or something else. It also covers any legal fees that could arise as a result.
Business Property Insurance This type of insurance covers your property and everything on it, from inventory to computers and office equipment. In some cases, it also can help pay for the rebuilding of your entire company if need be (hence why it's often referred to as "peril" insurance).
Business Income Insurance If you get hurt or get sick and can't work for an extended period of time, this type of policy can cover the cost while you are out.
Business Auto Insurance This covers any vehicles that are owned by your business.
And because each of these classes has different types of coverage, it's very possible for you to have more than one policy in place at the same time.
Business property insurance
The basics: Property insurance should cover all your equipment and products on hand at your workplace. This includes computers, machines, tools, inventory and any other merchandise you have sitting around or being prepared for sale. You may also be able to add a provision to cover loss due to theft or damage due to fire or smoke if you have such an event take place on your premises.
Don't forget to include your office in this coverage, as well. This includes the building, plumbing and electrical work (if it is your own building), fixtures and any other equipment you have inside, like alarm systems or fax machines.
Business income insurance
The basics: This coverage helps cover you if you can't work due to an accident or sickness, helping you to pay for lost wages. In some cases, it can even be factored into a plan that covers your entire family.
Business liability insurance
The basics: This helps pay for any damage or injuries that occur at your company; whether they are caused by you, your employees or an outside source like one of your suppliers. You even could receive coverage for the legal fees that may arise as a result.
Business auto insurance
This helps pay for any vehicles your business owns or rents. It can cover theft, fire and damage or a variety of other perils.
Other insurance types that you should consider include:  Workers Compensation - This helps pay for medical bills and lost wages if one of your employees is hurt while they are on the job. You can purchase a policy that covers only certain portions of this, like just paying injured workers' salaries while they are out or buying a policy that covers them in case of death on the job.
Auto Insurance - If you own vehicles, it's always a good idea to have them insured. You can choose to get a liability policy or a comprehensive plan that covers theft and other damage.
Auto Business Interruption / Extra Expense - This helps pay for any expenses that may arise during your time out of work due to an accident or sickness. It can cover additional office, staff or marketing expenses so you don't lose money while you are unable to work.
Business Travel - This helps cover any fees you may incur if you have to take an employee on a business trip on company time, as well as the costs of their travel expenses while they are away from their job. You may be able to buy coverage for only some of these costs.
Contractual Liability Insurance - This helps pay for any legal fees that may arise if a customer or supplier sues your business over something that happened in the past, like product liability or financial misconduct.  Depending on things like who it's with and how much is being paid, this kind of coverage could also help pay for a lawyer or other expert's work.
If you do choose to purchase one or more of these types of insurance, you will want to review everything carefully and make sure the coverage fits your company and its needs. You may even want to do some research on how policy rates have changed over the past year or so in order to make sure you are getting a good deal.
In addition, be sure that what you are paying for is actually what you are getting. If something is listed as $1,000 and ends up costing $2,000 when it comes to filing a claim or paying out a settlement, there is no reason that other people shouldn't know that as well.
All of this means you need to do your homework and make sure you understand exactly what it is that you want and what it will cost before making the final decision.
Posted by Mandy at 4:01 PM
This is a great article, and I have been working on my own budgeting since we started we on this money saving journey. I am still trying to figure out a way to put a realistic figure on my 'house' budget.While working - my home office, I am spending a dollar or two for insurance, which includes liability - in other words if something happens at home while we are gone with our little ones the insurance covers it! I am amazed how much things cost when they are broken down when using cash ...


Teamwork makes the dream work! If you have someone to help you, it's such a plus because it gives you a second perspective of things, and also someone else who can pick up the slack if you're tired or not feeling well. It is always a good idea to discuss your budget with your spouse before you start. Make sure that he or she is on board with it, and try to get them on board with your personal financial plan as well!
If what we have said resonates with you, that's awesome! We would love to see your results if this works for you.

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