Business Insurance, what is it? Trumbull insurance, the Hartford
By: trumbull insurance companyPublished: April 12, 2017
The best way to understand business insurance
Business insurance refers to policies which serve to safeguard businesses against financial losses resulting from risks to their income and property. Examples of risks covered by these policies are damage, theft, and lawsuits. Sometimes referred to as commercial insurance, it’s policies can extend to cover workers’ injuries and lost salaries, providing access to programs that deliver assistance needed to get them back to work. Also, commercial insurance protects businesses from losses in finances stemming from liability claims.
Why Do I Need Business Insurance?
There exist numerous reasons why businesses need commercial insurance. In the US for example, most states have outlined some coverages for businesses as requirements for operation. This most often comprises of unemployment insurance, workers’ compensation, and disability insurance. Business insurance can provide assistance in the covering of costs related to legal claims made against a business.
Any business compelled to settle the costs a lawsuit or legal claim from its coffers due to lack of business liability insurance hardly has the financial ability to survive. Businesses can also be protected against the financial risks of losing property by adopting suitable commercial insurance policies. In the absence of a business property insurance policy to provide assistance, incurring the cost of replacing or repairing property in the aftermath of theft, fire, or vandalism can have devastating effects on any business. Companies facing costs from common business experiences such as; legal claims by third parties; damage to property; and employee injury and illness related to work, may lack the ability to survive without coverage from business insurance.
What Business Insurance Do I Need?
In order to help safeguard the property, financial assets and the income of companies, most businesses are at least required to have a commercial property, business income, and general liability insurance coverage. A single business owner’s policy in the case of a small business can suitably provide all three coverages mentioned above.
- Commercial property insurance – Businesses usually own substantial amounts of property. These physical properties often include one or more locations or tools, inventory, computers and receivable accounts. Acquiring commercial property insurance helps to provide coverage for loss of these assets in case they get damaged in by a covered event.
- General liability insurance – Accidents are unavoidable regardless of how cautious a business owner can be. Examples of such unavoidable accidents could be; employees damaging a customer’s property during work; a customer getting an injury in the company etc. General liability insurance provides protection to businesses from liability claims from property damage, body injuries, to as far as advertising errors.
- Business income insurance – Businesses need to have many different property types in order to properly function and make income. Business income insurance can extend to cover income loss resulting from a business owner being compelled to suspend operations due to another covered event like a fire or theft. Business income insurance gives assistance to companies needed to continue the meeting of obligations such as rent and payroll.
There is versatility in the selection of different customized commercial coverages and policies which can be used to target specific risks depending on the nature of your operation and your particular industry. Besides the standard coverages, Trumbull also offers many additional business insurance types – each designed to provide protection to businesses from particular exposures they likely combat.
Types of Business Insurance
Many businesses choose to begin with the following types of business insurance coverages; general liability (GL), commercial property, and business income. There is always need for Workers’ compensation insurance for companies with employees. General liability provides coverage for costs resulting from third party damages by your business, while property insurance takes care of costs involving damage to physical assets and the business premises. Business income insurance comes in to provide coverage and assistance for the replacement of income lost in situations where the business is forced to be shut down because of another covered loss. Workers’ Comp provides cover to employees who suffer from illnesses and injuries that are work related.
No two businesses are same, leading to the idea that every business needs a unique insurance solution, appropriately targeting its specific risks it. It’s for this reason that Trumbull insurance company offers a variety of coverages so as to enable customization by combining selected policies and endorsements that speak to your specific business needs. Some examples of popular coverages consist of;
- Data breach coverage – Almost businesses are exposed to the risk of data breach. This kind of insurance coverage helps to cover costs incurred in order to respond and tackle data breach. The Trumbull’s data breach coverage welcomes the access of support services to assist in the design of policies and suitable practices that first of all prevent the occurrence of breaches.
- Workers’ compensation – When an employee happens to suffer from an injury or illness at work, The Hartford’s workers’ compensation insurance provides help in the payment of associated health expenses while also addressing compensation towards wages lost in the duration of recovery from the injury or illness. Many states in the UShave this as a requirement for companies with employees.
Trumbull has successfully assisted companies to combat and prevail through many unexpected situations for more than 200 years. Get a quote today and discover how Trumbull can help protect your businesses.