“Does not matter if your business is small or big, you need insurance, and that is the end of discussion” this is what a typical insurance agent would say. In this modern-day and age, getting insurance is advised if you want to steer clear of the modern-day threats and risk that small Business possesses.
I am a small business owner myself, and I have been in this business for the last 13 years. Since you are here reading my blog, I am assuming you own a small business, and you want to know for sure if your Business really needs insurance.
If that is indeed the case, read this article to the end to find out.
You need to know all the nitty-gritty of business insurance before choosing the right kind of insurance for your Business, and you also need to read more on insurance authority in Dubai.
So without further adieu, let us get started.
Does Your Small Business Need Insurance: Here Is What Experts Are Saying
Suppose you are a new small-scale business owner. In that case, you should focus on these three major types of insurance at the beginning General Liability Insurance, Workers Compensation Insurance, and Commercial Auto insurance. Let us take a detailed look at three of these small business insurances.
1. General Liability Insurance
This insurance’s basic purpose is to protect your business from claims that would include property damage or bodily injury. Besides these two, they also cover liber and slander claims.
For instance, if a customer visits your store to purchase something and while in that process if he/she slips and falls and gets injured, then this insurance will pay their medical bills. If you did not have this insurance, then you would have to pay these bills out of your own pocket.
2. Workers Compensation Insurance
This kind of insurance provides benefits to your workers if they suffer from some work-related injury or illness. This insurance pays for their
- Medical expenses
- Lost Wages
- Funeral expenses
- Disability benefits
3. Commercial Auto Insurance
If your business needs a vehicle for transacting Business, then you would definitely want commercial auto insurance. Under this insurance, you can claim for accidents if your employees are at fault. For instance, you run a carpet delivery business.
Your employee accidentally hits a car while on Business; this kind of insurance policy can help you to pay for the damages incurred on the vehicle. This kind of insurance comes in very handy, especially.
- When you own many vehicles
- When you have employees driving their own car for transacting their Business
These three were the basic kinds of insurance that every Business must get in order to get rid of the risks associated with Business.
Frequently Asked Questions (FAQ)
In this section, we decided to answer some of the most asked questions by readers.
● Why Do I Need Liability Insurance For My Small Business?
Liability insurance is very important, especially for small-scale businesses. It is required to help protect your Business from all the minor hazards you may face while conducting your Business.
There is basically five liability insurance; they are General liability insurance, professional liability insurance, cyber liability insurance, etc.
● What Factors Determine The Insurance Cost of Small Businesses?
The cost of your small business depends on a lot of things like the industry you are in, the amount of property you own, the types of assets you use, the size of payroll, etc. All these factors determine the amount of your insurance.
There you have it; now you know what is the answer to “Does Your Small Business Need Insurance?” I hope you have found this article to be informative. As I have already mentioned before, insurance is necessary; it does not matter if your business is small or big.
I also hope that you have gained some insights regarding the types of insurance policies there are for small businesses. If you have any further questions or feedback, post them in the comment section down below.
Check out this blog post by Pixpa on photographers insurance featuring types of insurance a photographer should consider before starting a photography business.