Basic Business Insurance Coverage

Most business insurance coverages are optional. However, having at least a basic business insurance policy is greatly helpful. This goes for every business owner, no matter the size of the company. 

Owners of a Limited Liability Company (LLC) or corporation should have business insurance. For instance, an LLC keeps an owner’s personal assets separate from the company. However, the business still needs its own insurance policy.

The most basic form of insurance a business should have is general liability.

General Liability

This is known in the industry as business liability insurance. It protects against claims from normal business operations.

Insured perils include:

• Property damage: This protects from claims that result from damaging a third party’s property.
• Physical injury: If a customer is injured on company property or as a result of a service. Physical injury coverage will pay for medical expenses that result from the event. Including whoever is liable for the accident.
• Legal costs: This pays for legal representation. For instance, lawsuits resulting from an insured peril.
• Personal and advertising injury: If someone sues for libel and slander, then personal and advertising injury pays for the damages, up to the policy limits.