If you are running a small business you probably realize that this involves a significant investment. Everything from inventory of products, business furniture, equipment and technology, employees, and even business vehicles may be items and people that you require to help your business run, operate and grow. Business insurance for Windham CT entrepreneurs protects your investment by helping to minimize financial risks associated the operation, and will aid you in the event of anything, from unexpected events such as a death of a partner, an injured employee, a lawsuit, or a natural disaster.
Unless you are an employer, law generally does not require having business insurance, however, it is common practice to purchase enough insurance products and services to cover your valuable assets. If your business is an LLC or a corporation, your personal assets are protected from business liabilities; however, neither business structure is a substitute for liability insurance, which covers your business from losses.
Most states require businesses with employees to pay for workers’ compensation insurance, unemployment insurance, and state disability insurance. Your state may require insurance if you participate in specific business activities, for example, if you own a car or truck and use it for business purposes, you may be required to purchase commercial auto insurance.
Considering a Business Owner’s Policy
Different insurance policies can be purchased separately or in a package called a business owners’ policy (BOP). Purchasing separate policies from different insurers can result in higher total premiums. A BOP combines typical coverage options into a standard package, and is offered at a premium that is less than if you were to purchase each type of coverage separately.
Typically, BOPs consist of covering property, general liability, vehicles, business interruption and other types of coverage common to most types of businesses. They can simplify the insurance buying process; however, make sure you understand the extent of coverage in any BOP you may be considering since not every type of insurance purchased in Windham CT is included in a BOP. If your business has unique risks, you may require additional coverage.