New year’s resolutions are quite fashionable on the first Monday in January. Breaking these resolutions a week later is also fashionable, but there’s no harm in being optimistic.
Business owners can get a head start on their new year’s resolutions and give their companies a fantastic gift by reviewing critical insurance policies in December. Your business probably needs more than just five insurance policies, but it almost certainly needs the five we outline below.
Professional Liability Insurance.
Many people refer to this insurance policy as “errors and omissions” insurance. This policy can protect your company from losses arising from negligence or failure to perform services. Due to the high cost of the average medical malpractice settlement, physicians almost always have a professional liability policy to cover expenses if a patient is injured or dies while receiving medical care.
Your company doesn’t necessarily have to own commercial property to make sure of property insurance. Leasing a commercial space or simply having inventory in a physical location makes having property insurance a necessity. This type of policy can compensate your business if you lose property to theft, wind damage, fire damage, and certain other events. Pay careful attention to the policy’s definition of “property” and the list of covered losses.
Workers’ Compensation Insurance.
Florida law requires workers’ compensation insurance for companies with four or more employees. Due to the enhanced risk for accidents, any construction contractor must carry this type of policy, which pays out when a worker dies, falls ill, or becomes injured on the job. Companies that are not required to carry it should still strongly consider it.
Cyber Liability Insurance.
The increasing threat of cyberattacks and malware concerns for small businesses underscores the importance of having a cyber security insurance policy. Small businesses are uniquely vulnerable to cyberattacks because of limited money and resources. And, more than half of small businesses fail within a year after a serious cyber attack.
If any sensitive data stored by your company is compromised, you must commit time and resources in your response. That includes customer notification, re-securing networks, and possible fines. Having cyber security insurance can lessen the financial blow.
Business Interruption Insurance.
This insurance policy for businesses received much attention during the first wave of the COVID-19 pandemic. Many companies that lost revenue when the economy ground to a halt attempted to claim stay-at-home orders as a covered loss under business interruption insurance. Most were unsuccessful, but it still highlighted an incredibly useful insurance policy for businesses.
Business interruption insurance usually covers losses relating to a natural disaster or some other catastrophic event that prevents employees from working. This usually affects businesses with physical locations that consequently lose income from not being fully operational.
Trembly Law Firm Can Help You be Proactive
Have you ever tried to read an insurance policy? It’s practically labyrinthian. And, that’s just the way insurance companies like it. To get the most out of your current policies and review ones your company might need, turn to the seasoned professionals at Trembly Law Firm. We lead the fight for South Florida business owners, and you should be included.