Client & Customer Risk
Consider these scenarios:
- A customer has a slip-and-fall accident on your property: Commercial General Liability Insurance can help pay for immediate medical expenses and lawsuit costs if you're sued over a non-employee's bodily injury or property damage.
- Your client loses money after taking your professional advice: Professional Liability Insurance (aka Errors & Omissions Insurance) generally pays for your defense if a client alleges you made mistakes in your work.
- An employee loses their laptop, exposing your clients' financial information: Cyber Liability Insurance helps cover the cost of notification, credit monitoring, and other post-breach expenses.
- An overserved patron hurts someone at your bar: In all 50 states, a business can be held liable for alcohol-related damage that happens on its premises, including fighting injuries and damage to patrons' property. In 42 states, a business can be liable for damage caused by drunk patrons after they leave. Liquor Liability Insurance can help manage those risks.
Let's look at some situations where business insurance can help:
- Your employee is hurt on the job. Some industries are inherently "safer" than others, but even office workers can get carpal tunnel syndrome. Most states require employers to carry Workers’ Compensation Insurance, which covers employees' occupational injury expenses.
- An employee sues your business over workplace discrimination. Employment Practices Liability Insurance can cover disputes stemming from the employer-employee relationship.
According to a study by The Hartford, the average cost of a fire is $35,000 for small businesses. If you don't have that kind of money lying around, Commercial Property Insurance is probably a no-brainer. When certain weather events and disasters strike, it can help cover the cost of repairing and replacing your property.
The same study found burglary and theft are the most common small business claims, so whether you rent or own, chances are you could use the protection Property Insurance offers.
It's smart to carry small business insurance if you drive for work, especially if…
- You have a business-owned vehicle. Whether you have a fleet of delivery vans or a single automobile, a vehicle registered in your business's name requires Commercial Auto Insurance.
- You ask employees to drive their personal vehicles for work errands. Your business can be liable for their en-route accidents, and when that happens, Hired / Non-Owned Auto Insurance can help cover lawsuit expenses.