When you start a business, getting insured is somewhere on your to-do list. We all generally accept that we’ve got to have it. Still, insurance is more than just another line to tick off your list. We know this because it can take one single lawsuit to dissolve a business that isn’t properly insured. If you’re suddenly aware you might not have the complete coverage you need, you’ll want to read this.
Telltale Signs You’re Not Adequately Covered
There are four kinds of insurance policies that businesses most often get: property, liability, auto, and worker’s compensation. If you don’t have any employees or any company vehicles, the last two aren’t of great concern.
But those are just the four big ones. Umbrella policies are often necessary for those who want to ensure a huge settlement won’t shut their business down. Businesses that provide guidance or are vulnerable to data breaches additionally get specialized liability policies.
Knowing this, do you feel a little bit concerned about your current policies? If so, that’s the first sign you should look into expanding coverage.
While we all want to save money, a tight budget is another sign you should look twice at your insurance. Cost-effective, highly protective policies do exist, but if at the time, you were only worried about what you were going to spend each month, you weren’t focused on the next best feature: coverage that’s actually good.
When to Expand Coverage
Most people learn they must expand their coverage only after they’ve had to file a claim. This is when it truly sinks in that there are gaps in their policy. If this hasn’t happened to you yet, you can check out your options at Next Insurance. In the meantime, be aware of a few other events that can mean it’s time to revisit your current policy or policies.
Moving to a new location or renovating your old one can mean new insurance. If something happens to your brick-and-mortar, you don’t want compensation to cover the old or the smaller. The same goes if you’ve recently invested in new equipment.
You should also speak to an agent if you’re entering a business contract. Read the fine print on these contracts and see if there’s a stipulation requiring you to carry a certain kind of insurance; this can be easy to miss. There are other terms commonly included in client or vendor contracts that can necessitate more insurance, too.
Did you know that there’s more to insuring your staff than worker’s compensation? If you have a high employee turnover rate, cannot closely vet each worker, or simply have a large staff, this means you need extra coverage. Fidelity bonds can cover you in the event an employee steals money or information, or otherwise intentionally damages your business.
When you’re dreaming about the future of your business, the insurance end of things can seem pretty boring. However, insurance is what will sustain your business if and when you weather some hard times. Don’t make future plans without factoring in how you deal with the inevitable bumps in the road – get solid coverage that will support all of your growth.