Operating a business can be risky. Even with cautious employees and managers, claims can be made against the business, putting the business entity as a whole and the individual owners at significant risk. Business liability insurance, also known as commercial liability insurance, helps to protect business assets and ensure the future of your company.
Understanding Business Liability Insurance
The business world is filled with uncertainty. Even though most business owners work to establish plans to protect their investment from those uncertainties, accidents and mistakes can happen. Business liability insurance provides a layer of protection.
Simply put, business liability insurance protects you and your company from expensive lawsuits. Business liability insurance is a term that refers to insurance protection for a variety of circumstances for which your business can be found liable. These circumstances can include bodily injury, property damage, personal injury, and financial harm resulting from negligence. Business liability insurance is designed to help pay for medical expenses, legal fees, and damages that you are legally responsible for in the event of a claim against you.
3 Types Of Business Liability Insurance
There are three major types of liability insurance. While just about every business should carry general liability, some may also require professional liability insurance or product liability insurance.
General Liability Insurance – This type of coverage protects your business against general claims to your business, such as a customer or employee injury.
Professional Liability Insurance – This type of coverage protects your business assets from claims that could result as a result of advice, expertise, or services provided by your company.
Product Liability Insurance – This type of coverage protects your business in the event that a consumer becomes injured from using your product.
The amount and type of coverage that is appropriate for your company will vary depending on your industry, type of business, and level of risk.
Consult Your Insurance Expert
Even with the most conscientious business owner, every company can experience accidents or mistakes. Your BenefitSource insurance professional understands the risks associated with owning a business. We specialize in evaluating your business needs and working within your budget to get you the coverage that is best for you. Call us directly at (877) 215-5431 or email us to set up an appointment to discuss your business liability insurance needs.
For more insurance tips and information, follow us on Facebook!