There is no feeling of freedom quite like starting up and running your own successful business. However, you could find your sense of freedom quickly squashed if something bad happens and you have to pay a hefty fee because you do not have the proper insurance—or any insurance at all. Here are three tips to consider when it comes to purchasing business insurance.
HOME INSURANCE MAY NOT HELP YOUR HOME BUSINESS
Working out of the home is a popular source of income for many, but if you have homeowner’s insurance, do not expect it to help you if, say, your inventory gets stolen or destroyed in some way. Chances are your insurance company would view any losses to your home business as a business-related loss as opposed to home-related. So if you don’t have business insurance, you could be out of luck!
READJUSTMENTS CAN BE MADE
As your business continues to grow, you may need to make adjustments as to what sort of business insurance you have. If you have a certain number of employees, you may be required by law to purchase Workers Compensation insurance, thus protecting you from any injuries employees may sustain on the job. Perhaps you have moved your business to an area with a higher crime rate; consider upping your property insurance and crime coverages. This is the tie to make sure you have adequate property and Liability coverages. Always be alert to changes in your business that may warrant a change in your insurance policies.
BETTER TOO MUCH THAN TOO LITTLE
In many situations, pinching your pennies as a businessperson can be beneficial. Insurance-wise, though, it could be detrimental. Of course, you want to have coverage that won’t break the bank, but never underestimate how expensive things are in this day and age. Lawyers, repairs, and replacement parts–these are just some goods and services that can become really expensive really fast. If you are unwilling to resist the call of the most basic business coverage, you may find yourself going well beyond the limit of what your insurance will cover. Don’t get stuck paying out of pocket because you pinched your pennies too hard! As they say, an ounce of prevention is worth a pound of cure.
Running your own business can be a richly rewarding experience. It also involves great risk and responsibility. Adkins Insurance can help you make sure you have the business insurance you need for your company to continue to grow and thrive. Contact us today!