Protect Your Small Business in Massachusetts
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Small Business owners in Massachusetts need commercial insurance to assist in covering the costs that may arise from lawsuits, liability claims, and physical damage to property claims. Without it, these costs could be catastrophic for any small business. Additionally, almost all states require small businesses to obtain specific types of business insurance at specific amounts, depending on state regulations.
Ensuring you have a suitable mix of insurance types, and the appropriate levels of coverage can certainly be complex and time-consuming. The best way to get it done right, get it done fast, and get it done at a fair price, is through an independent insurance agent.
An independent insurance agent can help you with the research and find you the best deals from the best carriers – because they don’t work for one insurance company, they work for you, the small businesses who hire them. And there are no extra costs to the small business owner!
What Kind of Insurance Does a Small Business Need?
A business owner's policy (BOP) is needed by most small firms. A BOP is a policy that combines business property, liability, and loss of business income insurance into one package. Business property, also known as commercial property, protects the physical location of your company and its assets. A company’s assets may include the building and business personal property such as tools, equipment, and furniture.
Business liability insurance, often known as "commercial liability insurance," helps cover the costs of liability claims brought against your company. For instance, if a customer trips and injures themselves on your company's property, they may file a lawsuit against you. For a claim like this costs may be covered by business liability insurance.
When your firm is unable to operate due to a covered loss, business income insurance can assist in replacing lost income. This is a terrific approach to make sure you can continue paying your expenses and wages while your firm is temporarily shut down. Let's imagine your firm is damaged by a fire and is forced to close while repairs are made. While repairs are being done, business income insurance can help recoup lost income.
Many times small businesses simply sign up for an “excess” or “umbrella” policy which is supposed to cover everything they may need, but if you don’t speak to an independent agent, you could end up with huge gaps in your coverage that could end up costing you thousands, or even tens of thousands.
Take, for example, an agent for a certain sole insurance provider. He is a local, well-known, trusted member of the community, but he only offers consumers one insurer option, so they have no way of knowing if they are getting the best value. He cannot guarantee that he has evaluated his provider’s program against the numerous other possibilities in the marketplace so that the buyer knows he is getting the best deal possible.
An independent agent can look at your business to figure out the coverage you need, so you’re protected – and the coverage you don’t need, so you are not wasting money. That’s a lot of time you could save on research and comparisons as well.
Certain states may demand specific insurance coverage in certain circumstances. For example, businesses with employees in most states are required to obtain insurance for workers' compensation. Employees who are unable to work due to a work-related accident or sickness are entitled to workers' compensation benefits. Workers' compensation insurance, for example, can help cover medical costs if a person injures their back while moving a large piece of equipment.
A related policy, necessary but not a state-mandated coverage addresses other "employment-related situations and expenses" occurring when the business/employer is sued in situations such as:
- Accommodating disabilities
- Workplace harassment
- Wrongful termination
Remember, a local Independent Insurance Agent can help make all of this less complicated, stressful, and time-consuming to understand and deal with!
Is it necessary to have business insurance?
You might be wondering as a business owner "Is business insurance required?" It just depends on all the factors involved such as creditor requirements, state requirements, landlord requirements, etc.
There are numerous types of business insurance policies available. They are available to business owners in the case of a severe natural disaster, fire, theft, and other physical damage events as well as when the business is confronted with a claim or lawsuit brought against it or its personnel. If your company does not have the proper business insurance policy, there could be a significant financial impact on the business or on you as the business owner.
Keep in mind that your coverage requirements may vary as your company grows.
What should I do next?
If you’re a small business owner in Massachusetts and you’re not sure if you have the insurance you need to protect your business and your employees from costly lawsuits, liability claims, and property damage – don’t panic.
An Independent Insurance Agent can save you time and reduce your stress by assisting with the research, making coverage recommendations, and helping with claims down the line. It doesn’t have to be daunting to get the right insurance in place, and it’s the smart way to do business.