Starting or buying a business is one of the largest investments that you can make. Considering the sizable rewards that can accompany owning a successful business, there are a number of hazards and liabilities that your new enterprise will have to face. Preventing major losses due to accidents, disasters and legal liabilities will require you to always keep a commercial insurance policy active for your enterprise.
Do Home Businesses Need Commercial Insurance Protection?
It is a frequent assumption that commercial insurance policies are only a requirement for those that own well-established businesses with employees. Due to this belief, there are many individuals that will fail to carry commercial insurance policies for their home-based and startup enterprises. Yet, these businesses will have many of the same legal liabilities. Furthermore, depending on the legal and financial structure of your enterprise, your home may be at risk if a lawsuit is filed against your company. By having one of these policies, you will greatly reduce this risk as the insurance will cover many or all of the financial damages that were suffered.
Will A Basic Commercial Insurance Policy Include Worker's Compensation Coverage?
Companies that have numerous employees will likely need to meet the legal requirement of carrying workers' compensation insurance for your employees. Unfortunately, business owners will often assume that their standard commercial insurance policy will provide worker's compensation coverage. Yet, this is a separate type of coverage, and business owners will have to purchase separate policies to provide their workers with this type of protection.
What Should You Do When You Need To File A Claim?
In situations where you are needing to file a claim with your commercial insurance carrier, it is important to understand the various procedures and steps that will have to be followed to ensure these claims are processed as quickly as possible. After consulting with your insurance agent to determine the steps that should be taken, you will want to establish policies to ensure that any accidents or other issues are properly documented. Additionally, you will want to file any claims as quickly as possible as there are time limits that will have to be followed.
Insuring your enterprise against loss is necessary for protecting the money that you have invested into the business. Knowing importance of carrying this type of insurance regardless of the size of the enterprise, the fact that worker's compensation is a separate type of coverage as well as the need to establish policies so your employees know the steps for filing a claim when the need arises can greatly reduce the risk that your business suffers losses due to these risks.
For more information, contact a business such as Welsh Insurance Agency Inc.