Breaking down business insurance
There are various means of insuring your business, depending, of course, on what that business entails. Whether you’ve started building your reputation as a tradesman, or you’re the newly-appointed CEO of an office-based enterprise, there are certain kinds of business insurance that will suit your specific circumstances. Now’s the time to find out exactly what they are, and how they’ll help you.
Errors & Omissions Insurance
Errors & Omissions Insurance, also referred to as Professional Liability Insurance, protects your business against any claims made by clients who are dissatisfied with your services due to possible incompetence or negligence on your part. This type of insurance usually covers legal costs and settlements and is useful in case of errors such as copyright infringement, misrepresentation, and breach of duty.
The great thing about Errors & Omissions Insurance is that it applies to any kind of business. According to Small Business Trends, “this is a standard type of insurance to get regardless of what industry you work in. If you’re running a service-based business or even shipping products, there’s a possibility that an upset customer or client may want to file a lawsuit if things don’t go as planned or if they miss a shipment.”
Directors & Officers Insurance
While similar to Errors & Omissions Insurance, Directors & Officers Insurance is a lot more specified. It provides cover to any individual senior representatives of a company, i.e. managers, directors, executive/financial/operations officers, etc., who might be liable for various kinds of professional misconduct, be it mismanagement, misrepresentation, or infringement.
Office, Property and Business Vehicle Insurance
You might be renting an office space, or you might own one. Either way, it’s crucial for you to insure that office space, as well as all items of furniture, electronics, and any other pieces of valuable equipment you keep in it. This is in case of fire damage, storm damage, theft or loss, and can also apply to goods-in-transit.
It’s also possible to insure any vehicles that belong to your company. As Business Matters Magazine states, “whether you use a vehicle for delivery services or as a service vehicle, it’s important that it be fully insured. After all, accidents are common on the road and it helps to have insurance to cover any associated costs. You can, at the very least, get insured against third-party injury. But if you have the budget for it, don’t hesitate to go for comprehensive insurance.”
Tradesman Insurance covers a lot of the same ground as conventional business insurance, but it applies to services such as plumbers, gardeners, handymen, electricians, and locksmiths. With this type of insurance, tradesmen are securing cover for their equipment (tools, gardening implements, etc.) as well as their business vehicles (trucks, cars, trailers, motorcycles, etc), and have access to public liability insurance in case of accidental damage to a client’s property or accidentally causing third-party injury or death while trying to perform their services.
In an age when digital platforms and applications are so prevalent, it’s extremely important for you to protect yourself against any kind of cyber-related theft, be it of employee or customer data, or your company’s financial assets. Operating online means being at risk of a data breach, so make sure you’re covered just in case.
No matter your industry, and no matter the nature of your business, you are always guaranteed a substantial measure of insurance. Whether it’s a case of legal action, property or vehicular damage, theft, third-party injury, or data hacking, you’ll find yourself covered. Your work is, after all, an important aspect of life, so keeping it protected against any kind of liability has got to be a priority.