At the beginning of each year, when business owners should take time to plan out their business strategies, it's critical those strategies include how to protect their business operations and risks through updated insurance coverage. While you get some protections from lawsuits, simply by choosing a business structure, like an LLC or a "C" corp., even that protection is limited. Business insurance is designed to fill in gaps to make both your personal assets and your business assets fully protected from unexpected catastrophes.
According to the professionals at J.P. Perry Insurance, usually at the beginning of the year, new rates for health insurance, business liability insurance, automobile insurance, umbrella policies and other types of insurance come into effect. So now is the right time to review your policies.
When evaluating your current coverage, you need to ask yourself specific questions that include: 1) Have there been any major changes to the business since last year; 2) Have assets increased or decreased from last year; 3) What is the current status of the company's physical plant and facilities; 4) Have you acquired additional vehicles or equipment; 5) Has your staff increased; 6) Has your operations changed in a way that would affect your fire coverage or general liability; 7) When was the last time you shopped insurance rates?
According to the Small Business Administration, there six common types of business insurance you should consider:
General Liability Insurance- for any business
Product Liability Insurance- for businesses that manufacture, wholesale, distribute and retail a product
Professional Liability Insurance- for businesses that provide services to customers
Commercial Property Insurance- for businesses with a significant amount of property and physical assets
Home-Based Business Insurance- for businesses that are run or of the owner's personal home
Business Owners Policy- for most small business owners, but especially home-based business owners.
Before we get any further into the New Year, schedule an appointment with your J. P. Perry commercial agent. We can help you review your existing liabilities, evaluate your needs or adjustments for the upcoming year, and shop for the best plans and rates available to help make your company a success in 2021.