Types of Business Insurance and its Coverage for First-time Business Owners

Startup businesses aren’t your everyday 9 to 5- they’re 24/7. A new business requires a lot of hard work and is a great responsibility. There’s added pressure on performing well and ensuring your business runs successfully. To protect your business and yourself against threats and liabilities, business insurance is essential and takes some stress off the plate. Acquiring business insurance shouldn’t be a one-man job, especially since you’re already running a business. Consult Prime Insurance, an insurance broker who specializes in business insurance, and can help you find the right plan suited to your needs. Here are some types of business insurance and their coverage, so you can find the right plan.

Business insurance protects your start-up business from various kinds of liability, lawsuits, or claims. This may include negligence that may harm or injure a customer or employee, including injury as a result of your product or service. In the extreme case of lawsuits, business insurance protects you from damages as well as legal costs.

Different types of coverages offer different kinds of protection, depending on your business needs. Some coverage is mandatory for specific businesses and others are optional. What are the types of business insurance coverage you can get? Here is a list!

• General liability insurance – basic insurance that covers you from lawsuits due to accidents, injuries, or claims of negligence
• Professional liability insurance – in the case that you offer professional services or advice, this insurance protects you from lawsuits and legal costs due to claims of malpractice, negligence, or error.
• Business property insurance – protects your business from damages on your business property that may be caused by fires, theft, or damages that result in partial or total loss of the property.
• Business interruption insurance – in case your business shuts down for some time due to disaster, this insurance covers the loss of income
• Business disability insurance – protects against loss of revenue in case you become disabled or can’t run the business for some time
• Employee insurance – protects your employees and provides them with medical, dental, and disability benefits
• Home-based business insurance – protects business owners running a business from home; covers general liability, equipment breakdown, and cyber liability
• Life/disability insurance – protects partnerships in case one partner becomes disabled or dies; provides the remaining partner with money to buy the deceased/disabled partner’s share of the business

While business insurance isn’t mandatory, it is critical to ensure your business’s long-term survival, and we highly recommend it. Depending on the type of insurance for your business, the cost varies. Factors such as business size, location, number of employees, and other factors are taken into consideration.

Reach out to our team and we can provide you will a quote based on your business’s unique needs. Call us today to book an appointment!