Starting a business is, well...tricky business.
In addition to the countless details that go into running a small business, it is important to consider what type of insurance your business needs. I spoke with Cardinal’s own Ed Beck, CIC, to gain some insight into this topic. Ed has been at Cardinal Insurance since 2006, is a Certified Insurance Counselor (CIC), and he works primarily with Commercial Insurance.
Here is a list of the kinds of insurance that are most important for business owners to consider:
General Liability Insurance
General liability insurance will protect you from claims that can result from your business operation or premise. This includes bodily injury, property damage, and personal injury to others.
Property insurance provides coverage to business property that is within 1000 ft. of your business.
*FYI: This implies then, that if you take any of your business-related property (i.e. tools, technology, etc.) away from your place of work, it will not be covered.
Business Owners Policy
A Business Owner policy is an insurance package that combines liability and property insurance into one policy. Simple as that!
Inland Marine Insurance
Now, let’s address that FYI from above under Property Insurance. If you take your work with you in the form of equipment or merchandise, Ed recommends considering an Inland Marine Policy. This type of insurance is designed to cover valuable items and to provide coverage for business property away from the premise.
Commercial Auto Insurance
We’ve talked about this in an earlier blog (My job is to deliver pizza. Am I still covered by my personal auto insurance policy?) so I won’t take up too much time discussing it here. You need commercial auto insurance if you fall into either one of these categories: 1. You purchased a vehicle to be used specifically for your business and/or 2. You use your personal vehicle for anything other than commuting.
Regardless of whether you have 1 employee or 1,000 employees, “Workers Comp” is required for businesses in the state of Indiana. Workers comp provides wage replacement and medical bill coverage for employees who are injured on the job.
If your business requires you to offer a professional opinion or to design something, you are going to want Professional Liability insurance. This includes medical doctors, psychiatrists, attorneys, accountants, insurance agents, architects, etc. If you are presenting yourself as an expert in a field and you are paid for your opinion or designs, this insurance protects you from claims that occur because of your work.
One final note. It is important to reassess your insurance needs as your business expands and evolves. You can save yourself a great deal of money and frustration if you keep your insurance up to date. If you have any questions or if you’re interested in commercial insurance quotes for your business, we would love to hear from you!
THE AUTHOR: My name is Anna and I just started working at Cardinal. I am new to the insurance business, but I have already learned so much. I have many questions about insurance, as I'm sure is the case with many of you. While I may not have the answers - I will be picking the brains of the Cardinal Insurance Team. Shoot me an email with your questions - and I will get the answers! mailto:firstname.lastname@example.org