Running a business can be incredibly challenging. There are a number of decisions to be made, like what should go in the candy dishes and if Flag Day should be a paid holiday. Sure, those choices may not greatly impact your company’s success, but one that might is choosing the right commercial insurance.
Finding the ideal coverage is a journey that no bigwig should go alone. Our independent agents will be there, water bottle in hand, to coach you through all your options to make sure your company is completely protected.
What is Business Insurance?
Basically, it’s a contract between a business and an insurance company, where the insurer will pay to repair, replace or recover the value of whatever the business has under coverage if it’s lost or damaged by a set number of causes.
Why Do I Need Business Insurance?
Every company, big or small, needs some form of insurance. Yes, certain types may not be required or seem relevant to you, but one tiny mistake could leave your company in financial ruins. All because you didn’t want to shell out a few hundred bucks for coverage.
Bad things that could happen to your company:
- You could lose your stuff: theft or damage of buildings, personal property or equipment
- You could be sued: product or service causes damage or bodily harm to a customer
- You could make a mistake: professional error that causes emotional distress
Claim Payouts by Type of Liability
Reference: from our friends at iii.org (2015)
What Does Business Insurance Cover?
Since every business is a bit of a snowflake, they all have their very own unique set of things that can go wrong. It’s important to know what your business values the most and will benefit from its coverage.
Basic Business insurance coverage can include the following and more:
- Property insurance: covers loss or damage to your stuff due to fire, storms and other causes
- General Liability: covers claims for injuries to other people
- Professional liability: covers your mistakes that cause physical or emotional injury
- Commercial auto: covers work vehicles and certain damage they do
- Cyber-crime insurance: covers the loss of customer’s sensitive data
- Employer insurance: covers Social Security, unemployment and workers’ compensation
Group Insurance and Employee Benefits
You may also want to offer or provide certain types of coverage to your employees. You know, so they think you like them and value their existence.
Coverage types:
- Employee health insurance
- Short-term or long-term disability insurance
What Kind of Business Insurance Do I Need?
To find your insurance sweet spot, you’ll have to figure out what coverage makes sense and that the benefits will outweigh the premium costs. To do this you, you’ll have to answer heaps of questions and make tons-o-decisions, but your patience and effort will be rewarded with peace of mind.
Example: You’re the proud owner of a thriving banana stand franchise with 12 locations spread across the great state of Nebraska. Do you want theft coverage, even though your equipment, ingredients and stand materials only total $10,000? Yeah, that’s just a taste of the kind of questions you’ll be answering.
Company Size Is a Huge Factor
One of the biggest price and process factors for finding insurance depends on the size of your company. A small startup will face a much easier process than a big corporation with multiple locations.
Types of companies:
- Small – Sole proprietors, S Corps or LLCs: This will be a more decision-friendly process. You can get a Business Owner’s policy (BOP) and packages that offer a number of check-the-box options. More Small Business info
- Big – Major corporations, franchises or conglomerates: Here is where the doors blow off the hinges from all the different coverage options. Certain locations may need different types of coverage, and with a larger workforce, you might want more appealing benefits to attract talent.
Not Sure If You’re Big Enough to Need Business Insurance?
Are you thinking to yourself, “Hmm, I’m not technically a business, so I probably don’t need insurance”? Well, think to yourself again, because any continuous activity with a profit motive is “technically” a business and could be held responsible for the same risks of a small business.
How Do You Find Insurance Specific to Your Business?
In order to find accurate info and make the search process easier for you and our independent agents, it’s important to know your industry type and business classification. Find that sweet info here
What’s So Great About an Independent Agent?
It’s simple. Literally. Independent agents simplify the process by shopping and comparing insurance quotes for you. Not only that, they’ll cut the jargon and clarify the fine print so you know exactly what you’re getting.
Plus, they’re the only agents who can work with multiple carriers, which gives you more options to find ideal coverage. It’s one of the biggest reasons why we do so well, especially in this market.
Business Insurance Distribution Channels
business insurance independent distribution channel
Reference: from our friends at A.M. Best (2015)
Most importantly, they’ll be there to help you when claim time comes. The outcome of insurance claims can be strongly impacted by how the process is approached and handled.
How Much Does It Cost?
The cost of business insurance policies depends on the coverage and a number of other factors like size, location and materials used. So, a small children’s book publisher might only pay $550 a year, whereas an underwater oil drilling company could pay $550,000 a year. Basically, the safer and smaller the company, the cheaper it is.
Where Are All the Business Insurance Discounts Hiding?
To start, combining policies and raising your deductible are two easy ways to drive down cost. You can also get lower rates and discounts if you pay annually as well as increasing your safety measures. More on business insurance discounts
Comparing Commercial Insurance Quotes
Our gifted agents will review your business needs and help you evaluate the commercial coverage options that make the most sense. They’ll also compare policies and quotes from multiple insurance companies to make sure you have the right protection in place. So, you’ll have that going for you.
Thirsty for More Business Insurance Info?
We have a very, very large amount of info and insight on business insurance. If you’re ready to learn more, here is the gateway/page that will guide you to the information you seek.