Small Business Insurance
What you need to know

• The purpose of small business insurance is similar to the purpose of any other type of insurance.

• Basically you are deciding to pay a small, affordable premium on a monthly basis so that one incident can’t drive you into bankruptcy.

• Purchasing small business insurance is especially critical because you will likely have proceedings both clients and third-party clients.

• By owning your own business, you are much more susceptible to a lawsuit or incident than you would be otherwise.  There are simply too many factors involved.

• Property Insurance – It is a good idea to insure your property and everything inside it.  This can be accomplished in one step if your policy is written properly.

• If you rent your office space, this insurance is probably provided by your landlord, though it is a good idea to check.

• In addition to insuring your valuable property, you can also insure your loss of income that may result from being temporarily out of your office, or from losing your vital equipment.

• Liability Insurance – It is also important to carry liability insurance.  This will protect you form being sued by third-party individuals based on a mistake or perceived mistake by you or your company.

• An example would be if a homebuilder makes a construction mistake that leads to an injury.  Liability insurance would cover the potential legal expenses associated with this incident.

• Liability insurance also covers incidents that happen to individuals on your property – excluding your employees.

• Workers’ Compensation Insurance – Workers’ comp is mandatory if you have even one employee.  This insurance covers injuries or personal loss that occurs to one of your employees.

• A good way to improve your workers’ compensation premium is to provide safety training and safety materials to all of your employees, and to institute a program that helps mitigate the potential risk involved with your operation. 

• Like any type of insurance, many experts will tell you to buy as much as you can possibly afford.
• This is especially true if your business is in a fledgling state – one incident can take you under in a heartbeat.
• Usually, though, small businesses can get a pretty good deal on their insurance needs by bundling things together through one company.
• By doing this, you can pay one monthly premium and usually bargain for a decent rate.

• Make sure you don’t settle for the bargain-basement plan, as this will probably provide inadequate coverage if something goes wrong.  Expect the unexpected, and plan for it accordingly.

• contractor insurance
• workplace injuries
• workmans comp insurance
• employer health insurance
• professional employer organization
• contributory negligence
• employment law

Similar to employer insurance, employees also have responsibilities and rights.  To learn more about this, check out the employee rights section.

And don't forget to check out the various employment background screening sections, especially if you are interested in federal government jobs.