Business Insurance: Why Your Company Needs One, Part 1
Updated: Nov 24, 2021
Most owners wear one too many shoes when it comes to running a business. You are presumably in charge of making final decisions on almost everything relevant to running your business, and decision fatigue may quickly sap your energy to make more choices, particularly insurance.
While you may not want to worry about acquiring business insurance until you need it, procrastinating on this crucial choice will cost you dearly.
In reality, experienced entrepreneurs understand that business insurance is just as important as a business plan, marketing strategy, or product development in guaranteeing a company's survival and health. While the primary goal of business insurance is to safeguard a company's stability during tough or terrible times, here are ways that business insurance provides protection and maintains your company:
1. Protect Your Company's Most Valuable Assets: Employees
As a business owner, your employees should be at the forefront of your priorities.
Having your employees covered by liability insurance is an excellent move and will help employees feel more at ease and protect their jobs should a lawsuit occur.
Providing health benefits is also a perk that can help you attract top talent to your firm. This will allow you to expand your workforce and may inspire your employees to work harder.
2. It Might Be Compulsory By Law
If you rent the space where your business is located, your landlord's insurance may not cover you. Having insurance in this situation is helpful in case something goes wrong.
Another case to consider is borrowing money to fund anything because most lenders will almost definitely want evidence of a specific type of insurance.
Lastly, most client contracts will also require some form of insurance in the case of a mishap. Touting your insurance coverage to potential clients is a huge bonus factor that might help your company reel in big bucks.
3. Protects Your Personal Assets
No matter how much we pray it never happens; the fact is that every type of business is vulnerable to the possibility of a lawsuit. All it takes is one fire incident, a negligence claim and thousands of other possibilities to cripple your operations.
The question is: Can you afford to pay for it 100% from your pocket? or will you be scrambling around in debt trying to pay off damages.
Consider the expense of repairing or rebuilding your business facility or covering the associated expenses for a client's negligence action against you.
You've done so much and have gotten so far to build your business; the last thing you want to do is put your personal assets and resources at risk to pay for a claim and its associated fees. Unfortunately, this can be a reality for many business owners who have not secured their company with insurance.
Investing in business insurance protects your company, your wallet, and your reputation, which all business owners should think about.
Insurance is an intangible advantage to your business – a paid-for service you hope you never get to use. By getting your business cover, you not only guarantee that your firm is legally compliant, but you also ensure that your personal assets and workers are protected against business calamities.
Find a Gold Coast insurance specialist who can save your business tremendous time and money! New Wave Insurance makes business insurance hassle-free with our team of professional insurance brokers dedicated to matching you with the right insurance policy and provider. Reach out to us today for a complimentary quote!