Insurance is a strange product, as you spend money on it while simultaneously hoping you never need it. It is effectively a safety back up in the event that something goes wrong with your business. A solid insurance policy protects you against financial loss, legal action, and other negative disruptions.
But with so many different commercial insurance policies out there, which ones do you need to worry about? While all insurance is valuable, some policies will be more relevant to your business than others. Here are a few of the most important types of insurance your business needs.
Professional Liability Insurance
Mistakes happen in business. It’s unavoidable. But if an error with a contract leads to huge disruption and financial loss for a client, they will have every reason to sue you. Professional liability insurance protects you against claims arising from things like negligence, missed deadlines, data breaches, and much more.
Commercial Auto Insurance
If your company owns and maintains a fleet of vehicles, there’s a lot that can go wrong. One of your employees could easily be involved in an accident, whether through their own fault or not. This might result in bodily injury to them or a third party, major damage to the car, or damage to property. Commercial auto insurance is a necessity, and will help you to recover any financial losses.
Cyber Liability Insurance
Cyber attacks are becoming increasingly common in today’s technological society. Malicious criminals can target businesses over the internet, stealing sensitive data and implanting viruses on their networks. Although you can install advanced security software to eliminate threats, you can never be 100% sure that your system is safe. Just one breach could be enough to impact your profits, your reputation, and put you at risk of legal action from your clients or customers. A cyber liability insurance policy will protect you from this eventuality and any associated damages.
Commercial Property Insurance
Your business premises are one of your most important assets. Without it, your company would be unable to function. But what would you do if something were to happen to it? There are so many risks that could befall your office, from burglary to fire to flooding. If just one of these disasters were to occur, you could be facing loss of sensitive data, damaged equipment, and severe disruption to your day-to-day operations.
Yes, you can install security systems and hire guards to watch the property. You can add weatherproofing and follow strict safety procedures. But the most effective way to cover yourself is to take out insurance. A commercial property insurance policy will be able to protect your physical assets while also covering the cost of replacement and loss of earnings.
So what are you waiting for? If you want to protect your business from the negative fallout and potential losses that could arise from these occurrences, take out an insurance policy today. Companies like Tivly provide a wide range of commercial insurance solutions for small businesses. You’ll be making a smart decision!