Small Business Insurance-Are Your Taking Unnecessary Risks?

Small Business Insurance-Are Your Taking Unnecessary Risks?

Insurance is a binding contract between the insurer and insured whereby the insurer compensates the loss of the company for specific damage, loss or injury suffered in return for premiums paid.

Insurance serves as a cushion for unfavorable circumstances that might occur in the future. It may cover your assets and revenue, personnel and liability to customers.  As owners, we cannot risk running our business without this protection and security. It is essential to avail of not only one but several insurances in order to secure our valued assets, our business.

There are two kinds of small business insurance that are worth taking into consideration.

Obligarory Insurance

First are the insurances mandated by law and the second is the optional insurances. Insurance mandated by law are unemployment insurance, social security and workers’ compensation. Unemployment insurance and Social Security provide benefits for the employees and their families such as expenses for the aged and disabled persons, full retirement benefits, Medicare, Supplemental Security Income and Medicaid. For work-related injuries the Workers’ Compensation Insurance shoulders the expenses of the medical bills.

Optional Insurance

Optional insurances cover different kinds of risks from calamitous events such as weather or storm damage to foreseen liabilities. This type of insurance includes Business Owner Coverage