The Benefits of Business Insurance


If you are a business owner, you most certainly pride yourself on your company and its operations, products, services, and employees. You have worked hard to establish your business’ financial viability and the importance of protecting your personal investment of time and money into your business will be of paramount importance to you.Business Insurance Is Money In The Bag

Whether you are a small or large business, sole proprietor or corporation, a business insurance policy provides the basic protections necessary to keep your business secure, financial stable, and operational in the face of standard business operating liabilities. Coverage’s commonly provided by business insurance include general liability, business property and asset protection, data and records protection, and employee injury and liability protection. In cases where your business uses vehicles as part of its daily operations, general business auto insurance coverage may also be applicable.

Understanding Your Business Insurance Needs

When considering coverage options versus cost, business insurance proves a wise investment for companies of all sizes as the protections it provides far outweigh what is often times a nominal monthly premium cost. In determining the business insurance coverage needs for your enterprise, a number of factors will be considered to establish which policy options are best suited to provide optimal protection at the best price. The number of employees you have, the value of your corporate assets, the number of storefront locations, and the estimated worth of your corporate data records will all be considered when determining the best business insurance protections for your individual needs.

With the multitude of factors that need to be considered in determining business insurance coverage, working with a professional insurance agent will make the process of securing the right business insurance policy easier, efficient, and cost effective.

What does a business owner’s policy usually cover?

  • Buildings – the cost to repair or replace your building
  • Business Personal Property – the contents of your buildings, including furniture, fixtures, machinery, equipment, inventory and tenant improvements to the building
  • Property Off Premises – a limited amount of coverage for business property that is not on the insured premise (or property that is usually at the business location, but isn’t in this particular case)
  • Glass and Signs
  • Business Interruption Coverage Money and Security Coverage – pays for money and securities taken by burglary, robbery, theft, disappearance, and destruction.
    • If your business suffers a property loss it could cause the business to slow or close down while repairs are made. This may mean a complete or partial revenue loss depending on the timeframe and the damage. From the time the loss occurs until your business is running again, insurance can replace your lost profits, and provide a source of money to pay your necessary continuing expenses, like rent, payroll, taxes, etc.
    • You can also buy insurance to cover any extra expenses incurred in getting your business back into operation. It may take a while once you re-open for customers to discover you are back in business, which may hurt your bottom line. To meet this need, insurance companies offer coverage for the difference between your “before loss” business income and your “after loss” business income for a month or more while you regain your customers. Crime coverage – Property policies usually don’t cover the loss of money and securities, and exclude many crime-related losses. However, you can purchase crime coverage, which includes:
  • Money and Security Coverage – pays for money and securities taken by burglary, robbery, theft, disappearance, and destruction.
  • Employee Dishonesty Coverage – pays for losses caused by most dishonest acts of your employees, such as embezzlement and theft

To learn more about business insurance, the appropriate coverages for your business, and to receive a free consultation and quote – contact us today at 714-258-2800 or 888-725-7776.