Looking at common business risks is crucial as you’re considering what kind of business insurance to get for your Camdenton business. Shining a light on what could cause you to need to file a claim can help you better understand what’s available, what you need, and what to expect.
At McGrath Insurance, we’re proud to be independent insurance agents. That means we’re not bound to one specific business insurance provider. That flexibility allows us to take a more subjective standpoint when helping steer you in the right direction for your business. Part of that personal guidance is to help you understand all aspects of the commercial insurance world, saving you time and possible headaches down the road.
To help you stay ahead of what could happen and what’s available to you, let’s look at the top five common business risks to keep in mind as you’re choosing an insurance carrier for your Camdenton organization.
1. Damage to Your Business
The most obvious risk is damage to your business or your inventory when it comes to insurance. Fires. Natural disasters. Vandalism. These events are out of your control and can result in high costs in a short, unexpected, period of time.
Business insurance is there to help you recover as you repair your business location(s) and replace your lost belongings. To be sure you get as close to the total value of what you lost in the damaging event, keep a consistent record of your buildings, items and inventory, including your office furniture, equipment, and supplies.
2. Injuries on Your Property
Whenever you welcome others onto your property, injuries can occur. If you’re found liable for those injuries, no matter how careful you were, your business will be on the hook to cover the expenses that result from the injury. Those costs can be high and include things like legal fees, court costs, and medical expenses.
With commercial general liability (CGL) coverage on your policy, you can protect your business’s bank account if you are held liable for a customer getting injured.
3. Business Interruption
Tornados, fire, or another catastrophic event can make your business impossible to run. Having a plan in place when you’re forced to relocate or close your doors while repairs are made is crucial. Having insurance to help cover the costs of that interruption is equally important.
Business interruption insurance is coverage that will often help pay for lost business revenues and extra expenses. This coverage gives you protection against various natural disasters that can happen in the blink of an eye.
4. Profesional Liability
Here’s the hard truth — if your company offers advice or a deliverable to a client, you are at risk of being held liable for events stemming from your own negligence or inaccurate advice. Even if you’re an expert in your business, mistakes happen. If your client or customer thinks a mistake in your professional services caused a financial loss, they can sue you.
Carrying errors and omissions insurance could help cover you if a client holds you responsible for these types of losses. They may also cover your legal fees or other costs associated with the judgments or settlements made against you.
5. Data Breaches
Today’s digital world leaves most businesses at higher risk of having company data stolen.
Having secure networks, firewall software, and encryption mechanisms in place is crucial to keeping your business intellectual property safe and your customer’s data safe. You can also add data compromise coverage to your business insurance policy to pay for extra legal fees or credit monitoring that might come from a data breach at your company.
What’s Next?
Perhaps the best thing you can do with this information is to keep it in mind when reviewing your Camdenton business insurance policy. Speaking directly with our team can help you navigate whether you have the right policy in place for how your business operates or spot potential gaps in your coverage.
Get in touch with us today to schedule an appointment with a business insurance agent who understands the Camdenton market.
