Small Business Insurance 

If you are a small business owner, do you carry small business insurance?  There are several reasons why it is beneficial for you to have small business insurance.  Here are 3 of the major reasons why it is to your advantage to have such coverage. 

Not having small business insurance can be very costly to you in the event of an unforeseen incident occurring.  Your business might be hit by theft, by someone being injured in an accident or by a natural disaster.  One of these unfortunate incidents could end up eating up your profits or it could even end up costing you your business. 

Here are three of the major reasons why a small business should be insured: 

Theft – If someone steals your equipment or goods the small business insurance will cover the cost.  If you have a break-in and your inventory of goods is stolen, the insurance will cover the cost of replacing the stolen property.  This applies to any property and office equipment that you have insured. 

If you are without insurance coverage, a theft of your property can cause a serious dent in your ability to continue conducting business and in your profitability.  With small business insurance you will be able to quickly replace your lost inventory since the insurance will cover the cost. 

Liability – If someone is injured at your business establishment and you are without any form of liability insurance, you can end up paying for the injured party’s medical expenses and any other damages awarded to the injured person by the courts.  You will incur legal expenses to employ an attorney to assist you with the liability claim.  It is possible for a small business without insurance coverage to be paying off a claim for many years. 

Don’t think that because your office is small there can be no accident claims.  If someone visiting your office just trips over a wire and twists an ankle they can sue you for damages and medical expenses.  Since the accident took place in your office you are likely liable whether it was the injured person’s fault or not.  Even a sprained ankle can cost a small business more than you ever imagined.   

Small business insurance will cover the injured person whether he is a client, visitor or employee. 

Natural disasters – When you purchase small business insurance to cover natural disasters you are protecting your inventory and assets in the event they are damaged or destroyed by a natural disaster such as an earthquake or a flood.  If everything in your business is destroyed by a natural disaster the cost of replacement can be staggering.  If you have good insurance coverage for natural disasters the policy will cover replacement costs so you can replace the damaged items and be back in business in a short time. 

Without any insurance for natural disasters you will have to cover all the damages from your own funds.  Most small business owners do not have large financial backing and usually do not have enough funds in reserve to replace their entire inventory, equipment and restore their office.  Some small business owners faced with a natural disaster will be forced to file for bankruptcy. 

The benefits of carrying small business insurance is worth the price. It can save your business in the event of an unforeseen unfortunate costly event.