A company, no matter their size or designation, accepts certain amounts of risk. In order to protect your business from that risk, it has to have Louisiana business insurance; but the type and quantity of insurance you get depends on the category and size of your company. Below the New Orleans business lawyers at Smiley Law list the following types of insurance policies to consider:
Types Of Business Insurance
Acquiring insurance is something you’ll want to take care of before even your first employee is hired. As your business grows and you establish your company’s presence, you can add other plans as you need them. Here are a few common business insurance policies:
- General Liability Insurance – Just about every business needs to have this. If someone suffers an accident on your property or is injured by one of your products, liability insurance can cover your for damages deemed to be your or your company’s fault.
- Property Insurance – You likely have computers, printers, furniture, appliances and other inventory which could be damaged or destroyed in the event of a fire, theft or natural disaster. Property insurance can reimburse you for losses and protect your company if it’s unable to operate fully for a while.
- Professional Liability Insurance – Otherwise known as Errors and Omissions Coverage, this protects you in the event of your company being sued for bad advice you or an employee may have given to a customer. Whether you’re a broker, real estate agent or lawyer, you likely need this insurance, which is not included in liability coverage.
- Workers’ Compensation Insurance – This covers medical expenses, disability and death benefits should one of your employees have an accident at work. Even if you run a low-risk office environment, you never know when a slip-and-fall might occur.
- Business Owner’s Policy (BOP) – This is insurance to cover just about everything, other than what’s listed above and commercial vehicle insurance. You can alter what’s included in this policy based on the specific needs of your business.
- Commercial Vehicle Insurance – Whether you use your own car as a company car, or you need to insure a fleet of vehicles, this policy covers your business in the event a driver employed by you gets into an accident with a third party.
There is insurance for data breaches, home-based business and you can even purchase terrorism insurance. Depending on where you are located, how many people you employ and the type of company you operate, you may need one, some or all of these policies.
How Do I Know What’s Right For My Company?
It’s all about evaluating your needs and being prepared. It’s not too dissimilar from your personal insurance; coverage for your business protects its assets and limits financial damage should catastrophe strike. But how can you know what and how much insurance to purchase to ensure proper coverage?
Overall, close attention should be paid to the company providing the insurance. How do they converse with you? How do their prices compare with other providers? It’s crucial to read the fine print of their policies so that you avoid any compensation pitfalls that might arise should you have to use your insurance. Smiley Law Firm can assist you with business insurance and the overall process of business formation in New Orleans. For legal help, don’t hesitate to call the firm today at 504-603-0675.