Business Insurance For Your Shop, Bar Restaurant Or Cafe
Once you start a business, you expose yourself and the business to a number of risks. One unfortunate event or one lawsuit can destroy your business. We are not being pessimistic here; we are just being prudent. A prudent business owner is the one who can anticipate risks and take action to mitigate these risks. Fortunately, you have many insurance options to protect your business in case the unexpected happens. Business insurance for a shop is what you need, and the options below will protect your business.
Professional Liability Insurance
This form of insurance is also called Errors and Omissions Insurance (E&O). It protects your business from claims due to errors or failure to perform. This policy is an important one because mistakes are bound to happen in the course of every business. This policy covers you and ensures you don’t lose money when such costly mistakes happen. For this policy, one size does not fit all. Contact your insurance broker and the experts will come up with a customized policy that is just right for your business.
Workers Compensation Insurance
Once you hire your first employee, you should add workers compensation insurance to the ones you already have. This insurance policy covers your employees in cases of medical treatment, injury, disability or death arising from workplace injuries. Now, you might be tempted to ignore this policy on the grounds that the workers in your shop are carrying out low-risk jobs. This would be a bad move on your part because even slip and fall accidents in your job can lead to serious consequences. Take out the workers compensation insurance and you will sleep well at night.
Now, it does not matter if you are renting or if you own the property. You must take out property insurance to protect your shop. This policy covers you in cases of fire, theft or a storm. Note that acts of nature like floods and earthquakes are not covered by this policy. If you operate in an area that is prone to natural disasters, you should ask your insurance agent for a policy that covers these disasters.
Business Interruption Insurance
In the business world, time is money. It follows that you don’t want to lose time because this would mean lost income. In the event that a natural or man-made occurrence leads to lost income, you need the right form of insurance to cover your business. Now, let us assume that excessive rainfall, wind or a storm makes you unable to run your business for a while, you will definitely lose money because your business has been interrupted. Business interruption insurance will cover you in cases where you are unable to make calls, manufacture products or even work in the office. With this insurance policy, you will get compensation for lost income during the period of business interruption.
If you are using company vehicles to run your operations, these cars, trucks or buses must be insured. At the barest minimum, you need third party insurance, but it pays to go the extra mile and get comprehensive insurance for your vehicles. This way, you are fully covered in cases of car theft or accidents. If you are using your own personal car for business, your personal automobile insurance will cover you in case of accidents. However, if you are using a personal vehicle to deliver goods and services for a fee, your personal vehicle insurance will not cover you in case the unexpected happens.
As you can see, setting up and running a business can be risky and challenging but this should not stop you from establishing your dream business. Take out the right insurance policy and you will cover all the risks.