Any competent business owner knows that they need to take out insurance to keep their business both legal and safe. However, many entrepreneurs enter into the world of business without really knowing what kind of insurance policies they need, or even which ones exist. Here are four types of insurance that every business owner needs to know about.
Public Liability Insurance
Public liability insurance protects businesses against the potential costs of a member of the public becoming injured on their business premises. It also protects you against any damage that might occur to a person’s private property while they are on your business premises. This type of insurance should cover the vast majority of claims that are made relating to either of the issues outlined above.
Employer’s Liability Insurance
Any business that has employees is required to have employer’s liability insurance. Even if you just have a single employee, you must still take out this type of coverage to protect your business. Employers liability insurance is designed to help businesses to cover the costs of any claims that are filed against them by an employee who has become injured while on the job.
Business Owners Protection
Business owner’s protection is a multifaceted type of insurance that is provided in order to keep businesses and their owners safe from certain types of legal action. The vast majority of business owners’ policies will combine elements of business property insurance with business liability insurance. The result is a more comprehensive form of cover that enables business owners to keep the entirety of their business covered.
If you are looking for a business owner’s policy from a business that you can trust, you should consider purchasing BOP insurance through The Hartford. Not only do they have a solid reputation for providing business owners protection and offer a business owners policy insurance, but they also provide a range of other business-related insurance options.
Product Liability Insurance
No matter how diligent you are during the design and manufacturing process for the product that you sell, there is always the potential for something to go wrong. When something does go wrong, whether it is related to an issue in the original design or with the manufacturing process conducted by a third-party, your business will ultimately be held responsible for any faults or mistakes in your products.
Product liability insurance can shield you from some of the costs that are typically associated with a customer becoming sick or injured after using one of your products. You don’t necessarily have to manufacture the product to be liable as far as product liability is concerned. This means that product liability insurance is essential even for businesses that sell other people’s products.
Unexpected financial penalties are the bane of any business’s existence. No business owner likes to receive an unexpected bill or charge; these are the kinds of things that ruin a business. Having the right type of insurance in place beforehand will help to shield you from the financial fallout of many of the most common problems that can befall a business. Make sure that you have all of the necessary insurance to keep your business safe and secure, regardless of what might happen to you.