6 Reasons You Need Business Insurance

10/30/2020 (Permalink)

Business insurance reduces the risk of potential, uncertain losses

Here's A Closer Look At Its Benefits

Like most insurance, business insurance is a hedge against future uncertainties. It protects business owners in Comanche, MT, from unexpected costs they would otherwise have to pay out-of-pocket, such as professional remediation services stemming from water damage and water cleanup after a superstorm, for example.
By law, businesses must carry certain types of insurance (workers compensation and unemployment and disability insurance). However, savvy business owners take out an inclusive business owner's policy, which provides all-in-one coverage that merges property, liability and business income (or interruption) insurance. Under this umbrella, you're insulated against the costs of property damage, liability claims and lost income if your business is temporarily shuttered because of that super storm. 

Ensures your business stays operational. In the example of extreme weather, a BOP covers water damage to your property from broken pipes, leaks or flooding. It underwrites revenue losses during business closure for cleanup and repairs by paying your rent or mortgage, loan payments, utilities, taxes and payroll for a defined time period. It also can be structured to offer salary protection for your employees.
Litigation. Features financial protection from lawsuits, liability claims and the expense of legal defense.
Personnel protection. Financially safeguards your employees from injuries on the job and protects you from claims and lawsuits.
Credibility. Demonstrates your business' operational strength by assuring clients, customers, suppliers and employees that it can financially withstand emergencies, legal issues or other unforeseen circumstances that threaten financial stability.
Contracts require a BOP. Leasing or rental agreements, loan agreements and client contracts all may stipulate a requirement for insurance.
Peace of mind. Provides a measure of security by protecting your interests from factors outside your control.

Business insurance reduces the risk of potential, uncertain losses. It neutralizes the financial pressures that can build up from an unexpected emergency — like water damage to your building — or simply protect your people and property as you manage the day-to-day business of business. It's worth considering.