Your business must account for various risks and exposures regardless of how experienced or diligent you may be in conducting safe operations. Implementing and maintaining effective risk management and loss control practices are integral to operating any organization, regardless of size or sector. Cutting corners on these processes may jeopardize your company’s finances and future, as even a single incident could have long-lasting consequences for your reputation and bottom line. With these stakes in mind, adequate business insurance is essential.
What Is Business Insurance?
Business insurance typically may not refer to a single policy but rather a collection of coverages capable of providing versatile and effective loss control measures. It may provide critical financial security for your organization that might otherwise mean significant out-of-pocket losses and expenses.
What Is the Purpose of Business Insurance?
Like many types of insurance, an effective business insurance portfolio may provide crucial financial assistance in response to various incidents. By purchasing adequate insurance policies for your business and maintaining them by keeping up with your premiums, you can access funds that could limit your organization’s out-of-pocket costs. This financial aid may prove to be the difference between your company recovering from an incident or having its future put in jeopardy.
What Does Business Insurance Cover?
Although the exact coverage needs of your business may be unique, several types of insurance are typically advisable to include in your portfolio, such as the following:
- Commercial property insurance—Also known as business property insurance, this coverage may financially protect your organization’s physical assets, including structures, equipment, inventory and furniture.
- General liability insurance—This type of insurance may help pay for third-party losses arising from incidents caused by your business, including bodily injuries, property damage and personal and advertising injuries (e.g., slander, libel, false advertising and intentional copyright infringement).
- Business interruption insurance—If your company’s normal operations are delayed or disrupted, this coverage may help pay for ongoing expenses and resulting losses, such as reduced revenue, rent, employee wages and loan payments.
- Workers’ compensation insurance—This coverage may provide financial assistance following employees’ work-related injuries or illnesses, such as by covering medical bills, reduced income, disability benefits and your organization’s legal costs in case of a lawsuit.
- Employment practices liability insurance—This component of your business insurance portfolio may insulate you from legal costs (e.g., attorney fees, settlements and judgments) if a current, prospective or former employee sues you for improper workplace practices, such as discrimination, harassment or wrongful termination.
While the aforementioned coverages may be applicable for most employers, several other types of insurance are frequently purchased and maintained. Your organization should analyze its operations and circumstances to identify additional coverage needs, such as for the following:
- Commercial auto insurance (e.g., if you use motor vehicles)
- Errors and omissions insurance (e.g., if you provide professional services or advice)
- Cyber liability insurance (e.g., if you store or manage sensitive data)
- Commercial umbrella insurance (e.g., if you bear significant liability risks)
Get the Right Coverage
With over 50 years of experience serving businesses, families and individuals in White House and throughout the middle Tennessee area, Wilkinson Insurance is well-equipped to assess and address your coverage needs. Our knowledgeable and experienced agents work with many different insurance companies and will serve as trusted advisors to ensure that you acquire and maintain a portfolio capable of securing your finances and future. Contact us today to learn more.