It is vital to know your business insurance coverage options, whether you’re running your business for years or you are starting one. This is to ensure you’re protected from every threat you face daily while operating your business.
Business insurance can offer financial support if you experience something unexpected with your business. However, you might be leaving your business vulnerable if you’ve only got a single type of coverage in your business insurance policy. Today, we’re going to talk about various types of business insurance. This includes general liability, worker’s compensation, and business auto insurance Lehi.
Worker’s Compensation Insurance
This type of insurance can help pay for rehabilitation expenses, medical expenses, and lost wages if you or your workers experience an injury while working.
This type of insurance is required by almost every state to protect the well-being and health of workers. Furthermore, a lot of self-employed workers buy a policy, either it’s required for contract or licensing purposes or they want the financial protection it offers.
For instance, worker’s compensation insurance will pay for the immediate medical care of your worker if he was injured by heavy machinery.
Commercial Auto Insurance
This type of insurance is the same as the car insurance policy that you may have on your personal car. However, this policy covers specifically work-related cases and cars that are owned by the company.
Your personal car policy will probably not cover accidents that happen during work if your small business involves making deliveries regularly in your own car. That’s why you will require a commercial auto policy instead.
Commercial car insurance is particularly crucial for any business with cars that are owned by the company. State laws typically require coverage. Your policy can help pay for a replacement or repair if your company vehicle is involved in an accident.
General Liability Insurance
Almost every business owner begins with general liability insurance. The reason for this is that this policy offers coverage for the most common threats. In general, they fall into 3 categories.
Advertising and personal injury claims, such as slander or copyright infringement, made against your business. If a person claims you damaged their reputation by publishing a bad review on the social media account of your business, the general liability insurance can help pay for defense costs.
Damage to property owned by clients and others outside your company. Your coverage will help pay for replacement expenses if you break accidentally the window of a client while doing a repair.
Accidental injuries that involve people and your business. For instance, a client breaks his leg after slipping on a wet floor at your business and wants you to cover medical costs. The business insurance can help pay these bills.
The most common form of business insurance policy is general liability insurance because it’s often needed for customer contracts, licensing agencies, commercial lease agreements, and much more. That’s why if you are starting a new business, it is vital for you to get this type of insurance first.