As a business owner, you know all about the products you offer and the services you provide. You know what your customers want, and you understand what your competition will do to steal them away. You have worked hard to gain every bit of industry knowledge, success, and prestige.
Do you know how to protect it?
Here are ten insurance safeguards every business owner should consider:
- General liability – All business operations, big and small, multi-site or home-based, need GL. It provides defense and damages if you, or your products, services, or employees are alleged to cause damage property damage or bodily injury to a third party. Defense costs alone, even without a large award, could bring a thriving business to its knees.
- Property insurance – Your building, office furnishings, equipment, tools, computers, and inventory add up to a tremendous investment. Can you afford to lose it to fire, theft, or vandalism? GL and property can be packaged into a BOP (Business Owners Policy) for some enterprises.
- Business interruption/loss of earnings – This coverage keeps cash flowing while you rebuild or regroup from a loss.
- Commercial auto – Think you don’t need it because you and your staff use your own vehicles for work? Think again! Laws regarding liability and property damage for a vehicle used for business are intricate – and they vary by state. Get a proper commercial auto policy for vehicles that carry employees, equipment, or products.
- Worker’s compensation – Again, this is state-specific, but if you have two or more employees you’d better check it out. Work comp is the law – not an option – and penalties are stiff.
- Errors and omissions – E&O, also known as professional liability insurance, provides defense and damages for allegations that you failed to properly render services. Beware that GL does not provide this coverage.
- Directors and officers – D&O is protection for actions that affect the operations or profitability of the company.
- Data breach – If you collect or store personal information about your employee or clients, you are at risk. This coverage protects against cost of an electronic or hard-file breach.
- Commercial umbrella – An extra layer of liability protection, over other policies.
- Life insurance – This coverage can keep your business running, until you or a key employee can be replaced.
If you haven’t scheduled a business insurance review for a while, do it now. It could be the most beneficial hour you devote to your company this year.
Insurance. Every business needs it. You could be the one providing it. Visit www.donegalagencybuilder.com for information on Donegal’s Agency Builder program – the one that builds insurance agency business owners. Then call me, Don Meincke, at (800) 468-1127, Ext. 2158 to get started.