About 40 percent of small businesses don’t have any form of insurance at all. 75 percent are underinsured.
In a poll, most small business owners said they didn’t have information on the benefits of small business insurance. And a good number simply don’t have the finances to ensure their businesses adequately.
If you have an uninsured or underinsured business, or you’re looking to start a business, it’s prudent to see Marine Agency, as well as other insurance providers, and get adequate coverage for your enterprise. You’ve poured blood and sweat into the business. Insuring your business is an effective way to protect your investment against a wide range of adversities.
Read on to learn how your business will benefit from being insured.
Minimize Financial Losses
The biggest benefit of business insurance is protection from financial loss.
There are several ways your business could incur big financial losses because of circumstances beyond its control. If your business is brick-and-mortar, damage to the property will result in financial losses.
Liability lawsuits are also a common cause of financial loss. If your product injures a user or a customer is injured on your premises, nothing stops you from suing your business for compensation. If liable, your business will have to pay up.
Cybersecurity attacks are increasing because of a source of financial pain for small businesses. One data breach costs businesses over $4 million, on average.
The good news is there are business insurance policies designed to cover these risk events. There’s property insurance, cyber insurance, general liability insurance, professional liability insurance, and business interruption insurance.
An insurance company can even develop a custom policy to cover risks that are only unique to your business. This is why you need to be diligent when choosing a business insurance provider. Be sure to learn more about this.
Improve Business Reputation
In business, as in life, reputation is everything.
While almost every consumer now checks online reviews to establish the reputation of a business, that’s not the only place you should be focusing on. Great customer service and a quality product will earn you reviews, but being insured can also add to your reputation.
Customers know that they can get hurt when out and about. Sometimes accidents are unavoidable. But if they were to be hurt while in your store, will they receive compensation? Knowing that your business has liability insurance can be the vote of confidence they need to keep visiting your store.
Protect Your Employees
Employees are the lifeblood of your organization. They can get hurt when on the job.
Of course, there are many practical steps you can take to make your workplace safer and healthier for your employees, but accidents can still happen.
The law requires businesses with employees to purchase workers’ comp insurance, which not only shields you from financial liability but also protects your employees. When a worker gets hurt in the line of duty, they have a right to demand compensation for your company. With adequate workers’ comp, you’ll rest easy knowing your injured employees will be taken care of.
Insuring Your Business Has BIG Benefits
Insuring your business brings additional costs, but the money spent is worth it. Not only will insurance protect your business from financial losses and bankruptcy but also give it a competitive advantage on many fronts.
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