Yes, even small businesses should have insurance. The type of insurance needed depends on the nature and size of your business. Here are some of the most common types of insurance:
Property: Covers damage to your business property, including buildings, equipment, supplies and inventory.
General Liability: Protects against lawsuits alleging that your business caused someone personal injury or property damage.
Product Liability: Protects against lawsuits alleging that a product you made or modified caused personal injury or property damage.
Business Interruption: Covers lost income and increased expenses when a business is shut down temporarily due to a covered loss, such as a fire or major wind damage.
Professional Liability: Pays when lawsuits claim professional services you provided were negligent or inaccurate, and that your services resulted in personal injury, or negatively affecting a business.
Employment Practices Liability Insurance: EPLI protects when lawsuits allege that the rights of an employee or applicant for employment were violated, such as discrimination, unsafe working conditions, or sexual harassment.
Cyber Liability: Cyber pays for financial loss due to data breach or cyber attack, and can include loss of income, ransomware payments as well as software and hardware restoration.
Your small businesses may not need all of these coverages, however it is important to assess your risks in making the best decisions to protect your business and investment.