When it comes to running a business, insurance plays a critical role in the protection of our livelihood. It’s essential for protecting your business from financial losses due to unforeseen circumstances and is an invaluable tool also. Keep in mind that as you grow, you must be in consultation with an employee benefits broker New York.
But with so many different types of insurance policies available, it can be difficult to decide which to prioritize. In this article, we’ll explore the three most common insurance needs that all businesses must have against potential risks.
From group health insurance in Westchester and workers’ compensation insurance to property damage coverage and more. We’ll walk through the basics of each type and discuss how they can help protect your business from potential losses.
How Does a Business Insurance Work
A business insurance policy is a contract between a business and an insurance company. The insurance company will pay for losses that occur during the policy period, up to the limit of the policy. The business pays a premium to the insurance company in exchange for this coverage.
There are many different types of business insurance policies available, and businesses can tailor their coverage to their specific needs. Some common types of coverage include property damage, liability, workers’ compensation, and product liability.
Businesses can also purchase umbrella policies that provide additional coverage over and above what is offered in other policies. Businesses should work with an experienced insurance broker company or agent to determine the type and amount of coverage that is right for them.
The agent or broker can help identify potential risks and recommend appropriate coverages.
3 Most Common Insurance Needs That All Businesses Must Have
Group Health Insurance
As a business owner, you are responsible for providing health insurance for your employees. There are a few different ways to provide health insurance, but the most common is through a group health insurance plan. To provide this benefit to your employees, you’ll need the help of a small group health insurance brokers New York.
A group health insurance plan is purchased by an employer and covers all the employees of that company. Premiums for the policy are usually paid by the employer, and the coverage can be tailored to a specific need.
Group health insurance plans premiums are usually lower compared to that of individual health insurance plans. And they also offer a greater level of protection because of the principle of risk sharing. For these reasons, group health insurance is an essential part of any benefits package that you offer to your employees.
General Liability Insurance
General liability insurance is one of the most common types of insurance that businesses need. GLI provides protection against claims arising from injuries or damage to property. These claims can be made by customers, employees, third parties, or other stakeholders.
General liability insurance can help cover the costs of medical expenses, legal fees, and property damage. It can also provide protection against personal injury claims and advertising injury claims.
Workers’ Compensation Insurance
Workers’ compensation insurance is one of the most important types of insurance that benefits employees. This insurance provides financial protection for businesses if an employee is injured or becomes ill because of their job. Workers’ compensation insurance can help cover medical expenses, lost wages, other benefits, and more.
Other Important Policies for Small Businesses
There are a few other important policies that small businesses should have in addition to the three previously mentioned. These include:
Business Interruption Insurance
This type of policy will help cover the lost income and additional expenses you occurred. That is if your business is forced to close or suspend operations due to a covered event.
Commercial Property Insurance
This covers physical damage to your business property from events like fire, theft, vandalism, or severe weather.
Liability Insurance
This protects your business from claims of bodily injury or property damage caused by your business operations. You can also use Liability Insurance to help cover the costs of defending against such claims.
Product Liability Insurance
If you sell goods, this insurance can help protect you from claims of injuries or damages caused by those products.
Professional Liability Insurance
A.K.A errors and omissions insurance, PLI covers you for claims arising from mistakes or negligence in your professional services.
All businesses need professional liability insurance, which protects them from lawsuits resulting from claims of negligence or errors and omissions. This type of coverage is especially important for businesses that provide advice or service to clients. As they are more likely to be sued for professional malpractice.
Many businesses purchase this type of insurance as part of a business owner’s policy (BOP). PLI bundles together different types of coverage into one policy.
Commercial Auto Insurance
As a business owner, you are responsible for protecting your employees, customers, and property. One way to do this is with commercial auto insurance. This insurance helps to cover the costs of damages caused by your employees while they are driving on business-related errands.
Cyber Insurance
Cyber insurance is a type of insurance that business owners can purchase to financially protect themselves. Especially if their business is hacked or experiences some other type of cyberattack. These policies can reimburse businesses for things like lost revenue, forensics costs, and recovery expenses.
Many small businesses don’t have the resources to weather a significant cyberattack on their own. Therefore, cyber insurance has become an essential form of protection for many companies.
Contact Charles Newman Co. Today for Your Employee Benefits Needs!
No matter what size your business is, you need to have insurance to protect yourself and your employees. Business insurance is a vital part of any company’s risk management strategy. It helps protect businesses from the financial consequences of events that could damage their operations or property, injure their employees, or otherwise harm their bottom line.
Contact Charles Newman Co. today at 914-345-1000 for your employee benefits needs! We’ll work with you to create a custom benefits package that meets the needs of your business and your employees.
