Small Business Insurance
Small business insurance is any insurance policy, singular or packaged, designed to protect you from the unexpected costs of running a business. The right insurance can protect you from anything from natural disasters to lawsuits.
Types of Small Business Insurance
There are three primary types of small business insurance:
Business Property Insurance
• Coverage protects your business’s physical assets (property, plant, equipment, inventory)
Business Income Insurance
• Coverage protects potential lost income through external factors such as theft or property damage
General Liability Insurance
• Coverage protects your business from lawsuits related to customer injury, property damage, or negative outcomes in case of a service based business
In addition to the main coverages listed above, there are auxiliary policies that provide further protection to your business:
Workers’ Compensation Insurance
• If your business is large enough to have other employees, this coverage provides benefits to those employees if they are injured on the job
Commercial Auto Insurance
• If your business requires use of a vehicle, a commercial auto policy can protect that vehicle from theft or accidents
Cost of Small Business Insurance
The costs of small business insurance are a critical consideration in any business owner’s decision to insure their business, This is information that is sourced directly from the insurance provider, however, as it is calculated on a case-by case basis.
Every business’s needs, risk profile, and specific policy composition will be different, and the best way to find information regarding this is to seek free insurance quotes from providers. It is critical to remember that small business insurance can be a great investment in protecting your business, but it must be within the means of the business as well.
Purchasing Small Business Insurance
Small business insurance can be purchased from your preferred insurance provider. Every provider will have a different set of parameters for evaluating your business risk, a different set of coverages, and different package deals, so evaluating multiple different options is recommended.
Some insurance providers offer packaged policies, which combine one or more small business insurance policies for total coverage of your small business. Packaging your policies may also allow for cost savings.
Arizona Microcredit Initiative, 501(c)(3) is not an insurance provider, but can help you evaluate your options and choose the policy that will provide you with the best protection. For more information, please email info@azmicrocredit.org or schedule a free consultation.
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