Being a small business owner is a huge responsibility. You wear many hats while trying to juggle the many tasks of your business. One of those tasks is protecting your business. Regardless of what high hopes you may have there is always a possibility that something may go wrong. Those business owners recently affected by the fire that hit the Seaside Park/Seaside Heights Boardwalk or the torrential floods in Colorado can attest that both events were not something they ever thought would ever happen.
Having the proper insurance for your business protects it from potential risks and threats. This protection is essential for it to stay successful and open. Although there is not a one size fits all kind of policy, understanding what events have the potential of occurring and insuring your business against them will help your business from taking a huge financial hit.
When it comes to getting insurance coverage most small business owners will get what is required by state law. They tend to overlook those that could be of great help but not required. Here are 3 types of insurance that is often overlooked but can help your business in the long haul:
Commercial Property Insurance
This type of insurance will benefit a business in case the property where their business is located is damaged or destroyed. This insurance can be obtained regardless of whether you own, rent or lease the building in which your business is run. This type of policy only covers physical damage to the business.
Business Interruption/Loss of Earnings Insurance
This type of insurance protects the business by covering any loss of income that is incurred due to closure after a disaster. It covers profits that would have been earned in the event the business was still open.
Home-Based Business Insurance
This type of insurance will protect a home based business in the event any losses are incurred during the normal course of business. This will provide coverage for business property and liability which your homeowners or renters insurance may not cover.
Not having the above policies in place may appear to be a cost saver for your business; that is until a disaster happens. Once a disaster occurs it is too late to worry about the what-ifs of having adequate insurance coverage. Now is the time to research what types of insurance would best benefit your business as well as who can provide them for you. By checking with your local chamber of commerce, trades associations or professional groups you may belong to, you can identify where you can obtain reasonable coverage at a reasonable cost.
Reviewing that you have the right insurance coverage for your business should be included in your business preparedness plan. You will then be able to ensure that your business can weather any kind of disaster or disruption. Want to learn more about getting a disaster preparedness plan for your business? Contact Back On Track Solutions to see how we can help you create a plan specific for your business, providing you the peace of mind that you doing everything you possibly can to protect your business.
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