Your business faces several risks on any given day. Are you confident your business would be covered in the event of an unexpected circumstance such as a theft or natural disaster? If you’re unable to answer this question, it may be time to review your current insurance policy.
Here is a list of key types of business insurance coverage to help you understand what you need.
The term liability refers to a situation where your business is found to be responsible for third-party damages in the eyes of the law.
Commercial General Liability (CGL) insurance is the foundation of any business policy. It is designed to respond to situations where your business is legally liable for the following damages caused to a third-party:
Regardless of your industry, this type of business insurance is critical because there’s always a risk of being held liable should something go wrong and cause a third party to suffer a loss. For example, if someone falls and hurts themselves while on your property, you could be held responsible for their injuries.
This type of coverage specifically protects your property. This can include things like tools and equipment, stock, supplies and even your building.
Here are some of the ways that you could benefit from having commercial property insurance:
The cost of your policy could be affected by the factors below:
Picture this: you’re a manufacturer who creates your own products and someone breaks into your business, stealing all the necessary equipment you need to produce your goods. Because of this, you need some time to replace your equipment to get back up and running.
In the time that your business is shut down to replace your equipment, you lose money because you are unable to operate. This is where business interruption insurance is critical. This coverage can help pay for your loss or reduction in income.
Your personal auto insurance may not be enough to cover vehicles used in business operations. If your business depends on the regular operation of a vehicle, you should consider commercial auto insurance. Not only does it protect your vehicle, it protects your employees and your bottom line in case you suffer a covered loss.
Some questions to ask yourself when looking for coverage:
In 2018, the Canadian Internet Registration Authority reported that 40 per cent of Canadians experienced a cyber-attack. For large businesses with 250-499 employees that statistic sits at 66 per cent.
Examples of cyber-attacks include:
A cyber-attack can impact your business’ operations and can lead to lost or stolen data and revenue.
A comprehensive cyber risk policy can offer:
It is a common misconception among business owners that this coverage is part of their commercial general liability insurance or their commercial property coverage, however this is not the case.
The right type of business insurance can save you time, money and resources. At Federated, we’re here to equip you with the tools you need to make the most informed decision. Find out which coverages are most helpful for your business and specific industry today! Visit our business insurance page today to learn more!
This blog is provided for information only and is not a substitute for professional advice. We make no representations or warranties regarding the accuracy or completeness of the information and will not be responsible for any loss arising out of reliance on the information.