Startup Essentials: Let’s Talk Business Insurance

You have a million-dollar idea, a talented team and the capital you need to bring it all together and set up your own shop. This is what you’ve always dreamt of ever since you graduated from college, and now you’re very close to realizing it. But wait; no need to pull the trigger just yet…

How do you plan to protect yourself, your team and your startup should something bad or unfortunate come to pass? What happens if you have an accident, get injured, need hospital care and can’t work? What happens if a group of cybercriminals hack your company’s data? What happens if your equipment gets damaged in a flood or fire?

We need to talk here; we need to talk about business insurance.

Why business insurance matters

Things don’t always go smoothly when you’re running a business. Obstacles are bound to come your way. Some of these obstacles can catch your business by surprise and really challenge its existence. This is why it’s imperative to get your business insured because insurance protects your business and everyone associated with your business from such obstacles.

Now there are various types of business insurance policies offered by insurance carriers. As the owner of a startup, you don’t need to buy all of them. However, there are a few important ones that you must carry to reduce the risk of what can be some costly situations.

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The types of business insurance you need for your startup

The first on the list is general liability insurance. It protects your business from claims of property damage and cases involving bodily injury.

For example, if your staff accidentally triggers fire at the office and the fire ends up damaging one of the rooms in the office building, your landlord may file a claim against you. A general liability insurance policy, as such, will protect you and your business by covering the cost of the incurred damage.

The second type of business insurance that you must buy for your startup is workers’ compensation insurance.

Workers’ compensation insurance covers rehabilitation and medical costs and lost wages for employees injured on the job. All states, except Texas, require businesses to have workers’ compensation insurance.

The third and final type of insurance that every new startup must carry is product liability insurance.

Product liability insurance provides coverage against claims where your product may hurt a customer and they may then decide to sue you.

What if you are in the service business?

In that case, professional liability insurance serves as an alternative.

Shop for business insurance online

One Place Financial is your one-stop-shop for all your business insurance needs. We deal in general liability insurance, workers’ compensation insurance, property insurance, and other business insurance products essential for protecting your startup. Get in touch with us today for an initial consultation.