The big topic of small business insurance can be overwhelming – sometimes to the point of inertia. In fact, Marshall & Swift/Boeckh, an insurance software and consulting service, estimates that 75% of U.S. businesses are underinsured. *
However, insurance equals protection. And even small businesses need protection in line with their risks. Need more convincing? Read Small Business Trends’ Top Ten Reasons Why Your Business Needs Insurance.
Not sure what kind of small business coverage you need or how much? A good place to start is to assess your risks and the impact any potential liability would have on your business. A licensed insurance agent can help with this assessment. Risk, and resulting insurance, comes in the form of:
- Liability
- General (legal issues)
- Product
- Professional (customer-related)
- Employees/Personnel
- Workers’ Compensation (due to work-related issues causing loss of income)
- Disability
- Health
- Unemployment
- Key Person
- Income
- Inventory
- Loss of business
- Assets
- Property
- Vehicles
- Equipment
Of course, federal, state, and local laws and regulations will impact the type of insurance you are required to maintain.
Don’t let the formidable topic of insurance keep you from moving forward on mitigating your small business risk. Explore the many resources available including this Northern Initiatives 15 minute video on small business insurance.
For another trusted resource, refer to this online guide from the Small Business Administration.
* http://www.einsurance.com/journal/is-your-small-business-underinsured/
