Types of Business Insurance You Should consider
There are numerous types of company insurance available. While some are better than others, understanding how they work together to keep your company safe and profitable can make the difference between insuring your company and being left uninsured. If you’re like almost every business owner I know, you have a mix of business insurance policies at your disposal. Some are more suitable for certain types of businesses while others may not be right for your small business. You need to know which type is right for you, so here’s an overview of some of the most common types of business insurance.
This insurance protects against threats to the system itself, whether that’s data security breaches or hacker attacks on company networks. Companies with large networks of clients and business-to-business activities often need cyber insurance. While cyber insurance doesn’t explicitly cover computers and networks, it protects against theft, infiltration, or destruction from unauthorized or malicious parties. While cyber insurance is specific to networks and data, it can also protect against computer attacks that can affect your entire business.
Insurance for Non-Owned or Hired Autos
This is the bare bones version of insurance that protects against damage or theft from other users of your car. If someone gets into your car and damages it, your auto insurance will probably cover the repair or replacement cost. But what if that person also steals your license plate? Or worse, what if you and your car are stolen in a carjacking? If you or your car are involved in an accident, you may want to consider adding excess liability coverage to your auto insurance policy. Excess Liability coverage protects you and your car if something goes wrong, such as if a repair bill is more than the car is worth.
This type of insurance protects both you and the person you’re insuring against. If someone sues you in court, your credential as an insurance agent can come into play. This coverage protects you and your clients against lawsuits brought by other insurance brokers or other insurance companies.
Employment Practices Liability
This type of insurance protects both you and your employer against lawsuits for any damages caused by your employees. If a former employee sues you for something like wage theft or wrongful termination, you may want to add this coverage to your insurance policy to protect yourself and your business.
Employee Benefits Liability
This is one of the least necessary types of insurance, but still, it’s an important type to keep on your insurance policy. If one of your employees gets sick or has a family emergency, you may want to consider adding this coverage to your policy to help with medical expenses.
This is a special type of business insurance that protects your business against lawsuits in other countries. Some insurance companies only offer this coverage to U.S. companies, so if you’re in a foreign country, you may want to check to see if your insurance is covered there as well.