Starting a new business? Have you considered your insurance needs?
Finding the proper insurance options for your new business can be a long process. From professional liability to health coverage and even vehicle coverage, there are so many different things to consider to make sure that your business is fully covered should anything happen.
Find a Good Business Owner Policy (BOP)
Start with a BOP, or business owners’ policy. It might include a variety of different coverage such as liability, employees’ liability, vehicle coverage and more, rolled into one package.
Even Home Businesses Need Coverages
Some business owners who work out of their home might think that they don’t need insurance at all. Depending on the business that’s not true. For example, what if you run an Etsy store out of your garage, keeping all of your products and supplies out there. A homeowner’s policy won’t cover your stuff if there is a fire or flood in your garage.
Assess Your Risks
To know what coverage is right for you, whether you’re just looking at different BOP coverage or other plans altogether, you need to know your biggest risks. If your business is one that operates mainly online, then you might need plans that cover online activities like cyber attacks. But, if you sell physical products, you’ll probably want to focus more on products liability.
Cover Your Employees
If your business has employees, then you definitely need coverage for them. Workers’ compensation requirements vary by state, but you may be forced to have this type of coverage for your employees. Even if it’s not a legal requirement, it may be a good idea depending on the type of work your team members are tasked with.
Don’t Overlook Freelancers
A common error when it comes to workers’ compensation insurance is companies that don’t offer coverage for freelance or contract workers. Just because you send them a 1099 form at the end of the year doesn’t mean they’re not an actual employee. That only matters when it comes to taxes.
Check Your State Requirements
You also need to look into your actual state requirements, since they vary throughout the country. Give us a call to help find out what type of coverage you need. It’s important to stay compliant with all of the legal requirements.
Look Into Specific Industry Coverage
The different types of insurance described are really just the tip of the iceberg. There are many more specific types of coverage that may benefit your business, your employees (if you have any) and yourself. So look into the types of coverage that may be most applicable to your business and the type of work you do.
Still have questions, give us a call and we can help you move in the right direction.