Whether you own a hot dog stand, a global multinational corporation, or a company that's somewhere in between, you crave straightforward answers to questions you have about insurance for business. This article can introduce you to the main categories of insurance for business and suggest principles by which you can shave down costs and retain maximized, tailored coverage to limit your exposure.
Four Categories of Insurance for Business
Commercial property insurance — This protects your real property (e.g. land and buildings) and personal business property (e.g. computers, electronics, multimedia files, furniture) against specified losses. Your insurance company may use one of two approaches to reimburse you. An actual cash value (ACV) policy will give you money to replace the broken, damaged, or stolen property minus the depreciation. A replacement cost policy will replace the property with new property. Obviously, replacement cost is more expensive than ACV coverage, but it may be worth the investment. The bump on the premium is usually not so bad, and the difference in the quality of coverage can be quite enormous – particularly if you own property that depreciates rapidly, such as furniture or automobiles.
General liability coverage – This coverage protects you and your business assets against liability if you or someone in your employ causes property damage or bodily injury. It also protects you if your advertising or goods cause injury. The policy pays attorney's fees, court costs, other costs associated with defending a lawsuit, as well as medical expenses and rehab for claimants hurt by you, your employees, or your goods.
Automobile insurance – This coverage is similar to private auto insurance for business. You can get comprehensive protection to insure your vehicle against theft, fire, or other disasters. Collision remunerates you if your vehicle gets into a crash. And liability protects you against exposure if you or one of your drivers harms someone or someone else's property.
Umbrella coverage – This coverage protects you and your business assets "above and beyond" the normal limits.
Insurance for Business — Key Cost Control Tips
Speak with a live agent as well as with peers in your industry about cost saving tactics and strategies. Tailor your policy to minimize your exposure and maximize your coverage. Reassess your needs regularly – as your business grows and matures, so will your needs and your risk tolerance.
Lastly, shop around for quotes. Use NetQuote — a free aggregator site — to locate 5+ quotes from top carriers. Get quotes for insurance for business now to simplify and optimize your search.
See how much you could save today on your insurance. Get your free business insurance quotes today!