Types of Insurance for Companies and Businesses
There are many different types of business insurance options out there. Choosing what you need to protect yours can be overwhelming, but we’re here to help. Most businesses start with a Business Owner’s Policy (BOP), which combines:
Different Types of Business Insurance
A BOP is a good foundation for business insurance. This policy combines the three types of insurance necessary for businesses, including:
General liability insurance to help protect your business from liability claims.
This can include:
Commercial property insurance to help cover damages to your business’ equipment, furniture and property. This coverage helps restore your property back to its original condition and applies whether you own or lease your property.
Business income insurance, also known as business interruption insurance, to help replace lost income if your business shuts down from damage.
Additional Types of Insurance
Some additional insurance coverages to consider adding to your BOP are:
Professional liability insurance, which helps protect your business from errors and omissions made in its professional services.
Workers’ compensation insurance to give benefits to your employees with a work-related injury or illness. It also provides benefits to a deceased workers’ family if they pass away due to their job.
Most states legally require businesses with employees to carry workers’ compensation insurance. Failing to do so could result in a fine or criminal penalty.
Data breach insurance to help cover the costs associated with a business-related data breach or loss of confidential information. This can include costs to notify customers and employees of the incident. It can also include the costs of public relations campaigns to restore your business’ reputation.
Commercial umbrella insurance to extend your business’ liability coverage. For example, if a liability claim exceeds the limits of your liability policy, your commercial umbrella insurance can help pay the remaining costs of the claim.