Starting a new business is an exciting time and you'll want to make sure you have the right protection in place. A Business Owners Policy (BOP) is a great way to get comprehensive coverage, combining general liability insurance, commercial property insurance, and business interruption insurance. If your small business suffers from any of these problems, business interruption insurance covers money lost due to damaged merchandise, lost revenue, and additional expenses, such as having to temporarily move the business to a new location. You may find business insurance policies organized in packages depending on your industry, such as insurance for cleaning companies or insurance for independent contractors.
However, you may need other types of coverage depending on what your business does, where it operates, what types of assets it has, and other factors. Financial lenders, homeowners, licensing boards, and business customers often require general liability insurance before doing business. A commercial property insurance policy protects the physical location of your small business and your business equipment, computers, and office furniture. Property insurance, also called commercial hazard insurance, covers your business's property, such as a building, furniture, inventory, tools, or equipment. The amount of coverage you choose and your company's level of risk will determine how much you'll pay for a supplemental policy. Supplemental business insurance takes effect after you've exhausted the limit of your liability coverage for a particular incident.
There are many types of commercial insurance available, each designed to protect your business against a different financial risk. Often, you can add other coverage options to a BOP, such as business interruption insurance to get financial protection against temporary closure. A business insurance agent near you can help you get several quotes and choose the provider that offers you the best coverage at the best price. Comparing different types of business coverage is essential for any small business owner who wants to make sure they have the right protection in place.
