Every business that allows the public within its establishment needs business liability insurance at the very least. While general business insurance plans aren’t required by the government, it’s best to have appropriate coverage in place if your organization is sued by someone who is adversely affected by it in some way or the other.
Here are 5 common risks faced by businesses in Fresno, CA, and how you can cover them with the right insurance.
Damage to Your Business
A standard commercial business insurance policy in Fresno, CA pays for damage to the building and its contents due to fire, theft, vandalism or other certain disasters. However, this coverage has certain limits that you will need to explore. Additional coverage through endorsements can be added at extra costs. Keep in mind each insurance company sets its own policies and rates. You will need to do inventory on your business assets and share the list with your insurer to determine what type of specific coverage is needed to protect specific possessions.
Any business can get shut down by a natural disaster, a cybersecurity breach or other unexpected catastrophe. If you don’t have business interruption insurance, one disaster could mean the collapse of your enterprise. However, if you have a business owners’ policy (BOP), your company can receive benefits during its downtime to pay employees. Business interruption insurance is often an add-on to an existing general policy typically under coverage for fire or theft. You can also get reimbursement for temporary relocation expenses.
Injuries at Workplace
Even in the safest conditions, injuries can still occur at an establishment, such as if someone trips and falls. Commercial general liability (CGL) insurance pays for legal costs if your business is sued by a customer or visitor. It will also cover a settlement that includes medical costs for the victim. You cannot afford to underestimate this risk since some injury or illness lawsuits can cost millions of dollars. Your CGL policy allows you to customize your own coverage limits based on risks for your industry. A company that engages in dangerous work will need much more coverage than a small one-person office operation.
Lawsuits come in various forms, including defamation and infringement. It’s best to explore the legal risks involved with your business so that it’s well covered by insurance, which will protect you from dipping into your personal assets. Professional liability insurance covers errors and omissions claims, along with other miscellaneous scenarios.
Cyber insurance is becoming a necessity for many businesses that operate on electronic networks. Today even the largest organizations with the best cybersecurity technology can still get hacked by cybercriminals. So it’s important to carry insurance that pays for damaged computing equipment as well as other lawsuits that may arise from compromised data privacy.
Lawsuits based on breaches could be very expensive if you were to pay out of your own pocket. It potentially involves class action suits that can wipe out millions of dollars to pay for damaged equipment and reputations. Make sure your coverage limits are appropriate for your specific business, especially if you allow online transactions and store confidential information in a database.
Getting the proper business insurance in Fresno, CA, is vital for business survival. Every business faces potential lawsuits, disruptions, natural disasters, and other obstacles that can slow down or hurt its income. By discussing your business risks with an insurance professional, you can determine your coverage options and protect your valuable assets.
To find the right policy for your business, contact our experts at McCarty Insurance today. We can help you get covered for your unique insurance needs.