Small Business Insurance

Small Business Insurance Insights

July 28, 2020

Small Business Insurance Insights

As a business owner, one of the investments you need to consider is having the right insurance coverage, especially if you have people working for you. You never know when an accident or disaster can happen. If you do not have small business insurance, you have to shoulder the cost of liability, which can drive you out of business if you’re not prepared. This is especially true for small businesses.

Sadly, many small business owners do not have the proper insurance coverage thinking they probably do not need one. In reality, it is a necessity for every business, regardless of size.

Focus on small business insurance needs.

Choosing the type of insurance you need can be quite confusing. Be sure you have the basic VA Small Business Insurance coverage.

General Liability and Property Insurance

This policy provides coverage for accidents, injury, or claims against losses that another company or client suffers from doing business with you. Commercial Property Insurance is essential, especially for businesses with brick and mortar locations.

Professional Liability Insurance

Also known as errors and omission insurance, this type of insurance is typically needed mostly by someone involved in professional services who may deal with malpractice lawsuits. However, even a small business owner may be sued for negligence or mistakes.

An example would be a Remote Professional Service Agency. If an assistant forgets to schedule an important meeting or puts in the wrong time or a designer cannot finish the client’s website in time for launch resulting in lost sales, Professional Liability Insurance can help cover the costs from a lawsuit should they bring one against you.

Workers’ Compensation Insurance

No matter how careful everyone is, workplace accidents can happen. This insurance provides coverage for costs arising from work-related injuries such as medical care, replacement for lost wages, and disability benefits if the injured employee can no longer return to work. Workers’ Compensation Insurance will also help cover the legal costs if you get sued by the employee or their family.

Commercial Auto Insurance

Aside from Personal Auto Insurance, you need Commercial Auto Insurance to provide coverage for both you and your employees in case of an accident while driving for work-related trips.

If you find it tedious to sort through the different types of insurance, you can go for a packaged or bundled insurance coverage, better known as Business Owner’s Policy (BOP). Aside from not having to monitor separate policies, insurance premiums are usually lower for BOP than premiums on three or four different insurance policies. It is best if you get recommendations for a reliable insurance provider and discuss your specific business needs.

Benefits of Having Small Business Insurance

If you’re still wondering whether you should get insurance or wait until your business is more prominent, think again. Operating a small business comes with inherent risks. You’ll have peace of mind if you know you have protection, plus:

  • It enhances your credibility as a business provider. It will assure potential and existing clients that it is safe to do business with you. Some prospects will check if you have insurance coverage before they sign a contract.
  • Attract and retain qualified employees. Aside from a competitive salary, employees look for employment packages that include insurance coverage, among others.
  • Compliance with the law. There are legally required insurance coverages for businesses with employees, depending on the location. Failure to comply may result in penalties and can also lead to being excluded from engaging in public contracts. The repercussions of non-compliance can exceed the cost of insurance coverage.

Once you have availed a VA Small Business Insurance, you want to make sure it stays current. Most insurance coverage is valid for one year. You can either renew your coverage with the same company or switch to a new one. If you’re planning to expand your services or launch a new product, you might want to upgrade your coverage.

It’s been a challenging year so far. No one knows what will happen next. We can only plan for the things within our control. Getting the right insurance coverage may be one of the best decisions you will ever make as a small business owner.

About Blue Sky Insurance Agency

For over 20 years, family-owned Blue Sky Insurance Agency has proudly specialized in insurance and tax services for Virginia residents. Our philosophy is simple: “If you can dream it, we can insure it.” We strive to provide value to our clients by establishing and building relationships and focusing on more than just rates. We are dedicated to providing holistic and strategically tailored solutions to protect all of your assets, and to provide peace of mind wherever life takes you. To get in touch with us, fill out a complimentary quote form, or call us at one of our two locations:

North Chesterfield

Phone: (804) 745-4044

PO Box 35674

North Chesterfield, VA, 23235

Hours of Operation: Mon-Sat 9am-6pm

Richmond

Phone: (804) 404-2030

9932 Midlothian Turnpike

Richmond, VA, 23235

Hours of Operation: Mon-Sat 9am-6pm