Necessities of Business Insurance
Running your own business comes with the responsibility of protecting your company, assets, and employees. Listed here are the top ten reasons why your business should be protected.
- Insurance is required by law
Failure to have the legally required insurance coverage could lead to fines, criminal penalties, “cease and desist” orders, and exclusion from any future public contracts. The Small Business Administration (SBA) legally requires all businesses to provide workers’ compensation, disability, and unemployment, depending on your state regulations.
A single lawsuit or liability claim could destroy your business if you do not have the proper insurance. One legal issue could cost thousands in attorney and legal fees. Facing the cost of such occurrences without insurance can send business owners into bankruptcy.
Business Owners Insurance (BOP) is essential for the sustainability of your business in the event of a natural disaster. BOP will cover normal operating expenses and pay the business owner the income that would have been earned if the disaster did not take place. Some businesses choose to include payment protection for their employees as well for up to one year, which offers financial security for valued employees.
Holding proper business insurance lets customers know that your company is a safe place to invest because you can compensate them if they become dissatisfied for any reason.
- Employee Protection
Protecting your employees in the event of an accident is important. They are your most valuable asset and protecting them also means protecting your business against lawsuit or liability claims.
- Acts of God
Property and casualty insurance called all-risk and peril-specific will protect your company in the event of an accident that has not been caused by human hands i.e. floods, hurricanes, and tornadoes.
- Human Asset Protection
Company-owned disability and life insurance coverage will provide payments to cover the loss of income experienced if you are unable to work for health or accident-related issues. Similar policies are available for valued employees as well.
- Lowered Employee Turnover
Employee benefits packages inclusive of life, disability, health, and long-term care insurance helps to attract applicants and retain them because of the security such benefit plans may provide.
Certain contracts require insurance coverage to protect the client and the business. This applies to rented properties, loans, and unforeseen circumstances.
- Psychic Inabilities
No one can predict when the worst will happen, or how bad it will be. Having the proper business insurance, such as coverage from PNCInsuranceTX.com, will offer peace of mind and allow you to focus on growing your business and profitability.