Just like any other insurance that covers you against unforeseen losses, Small Business Insurance covers your business assets, property and income against losses that may occur anytime in the future. It is also called Commercial Insurance.
What is a Small Business Insurance?
Normally, a Small Business Insurance helps protect business by providing business property coverage, general liability coverage and business interruption coverage.
However, it is up to the Small Business Owner to get more cover for business assets and financial losses by getting a customized business owners policy (BOP) through the insurance company of choice.
Small Business Insurance and what kind of insurance you need for your small business
Learn more about our Free Online Presence Solution for Small Businesses in USA for 100% income and growth.
Let’s try to understand this in detail and why you need small business insurance as a small business owner?
In the beginning when you had just started on your own you may be having a life insurance for yourself and that seems to be enough for you in case of any miss happening but as your small business grows the risks associated with it also grow and then ignoring small business insurance intentionally becomes a greater risk.
The common myth among small business owners is that by forming a LLC (limited liability Company) they’ll be afforded protection in the event of a lawsuit while they do not have the idea that under the LLC structure the liability protection is limited.
Suppose you break IP laws which were completely unintentional or you are sued by your employee for some reason or over a dispute, the LLC structure cannot provide you any protection against the potential losses and so small business insurance becomes a must.
It’s not that only LLCs need insurance, sole proprietor firms, partnership firms, S-corporation and type C corporations all need insurance to cover up any potential losses.