4 Insurance Questions That Small Business Owners Should Be Asking


June 13th, 2018

Running a small business means pouring a lot of energy and effort into your company. To protect your venture’s future and to minimize your risk, you need insurance coverage for your small business. If you’re worried about costs or confused by all the options, Gunn-Mowery can help. Contact us to find out how our Upside of Insurance can help you get the right coverage.

To help you further, Gunn-Mowery has put together these insurance questions small business owners should be asking. These questions can help you start planning, so you get the right policy for your small company.

 

1. Why Do We Need Business Insurance?

When you run a small business, the thought of paying for insurance can be overwhelming, but there are several reasons protection for a small business owner is mission-critical:

 

  • Your state or municipality may require you to carry some forms of insurance, such as workers’ comp coverage. Lenders, vendors and others you work with will likely also want to see proof of insurance.

 

  • If you are accused of wrongdoing, the legal costs can be significant enough to close your doors if you don’t have insurance.

 

  • Without insurance, you may be making your assets vulnerable, in some cases.

 

  • Any disaster, such as a fire or theft, can threaten your ability to make payroll or survive as a small business.

 

2. What Kind of Insurance Does a Small Business Need?

Every organization is different, so companies may need various combinations of:

 

  • Property & Casualty: This insurance covers you in case your business property is damaged or lost through theft, flood or fire.

 

  • Business Interruption: If you are unable to run your business due to a covered cause of loss, this insurance covers your profit and cash flow losses.

 

  • Liability: If you are ever sued, this type of insurance covers damages awarded and some legal costs.

 

  • Business Auto: If you are using any cars in the course of your business, you are required to carry this type of policy.

 

  • Workers’ Compensation: In most states, the law requires businesses to have workers’ comp. You may need this insurance on behalf of employees, so they are covered if they are ever injured on the job.

 

  • Product Liability: If you sell a product, this insurance protects you in case the product is found to be faulty and causes injuries or harm to someone

 

  • Health: This insurance covers part of the medical bills for yourself and any employees you have.

 

  • Disability and Life: This insurance pays in the event of a disability or a fatality affecting a key team member, business partner or company owner.

 

3. How Can I Choose Between Property and Liability Insurance?

You don’t have to choose. In fact, it may be best for you to have both, depending on the nature of your business. If you are not sure about which coverage is most important, contact Gunn-Mowery to discuss your specific situations and get quotes.

 

4. Where Can I Buy Business Insurance?

You can buy insurance from your current insurance provider, but you may not know whether this is the best solution or the best rate for you.

An insurance company can only give you information about their products. Gunn-Mowery is an insurance agency, which means we can find and compare different rates and insurance products from different companies. This allows us to bring you the best range of options possible. That’s the Upside of Insurance with Gunn-Mowery.

Bring us your insurance questions, small businesses concerns and your desire for better rates. We’ll help you find the right insurance fit.