Starting your own business is no small feat. There a several steps involved that can be drug out by government agencies, licensing companies, and other logjams that are nothing but headaches. Luckily, getting all the right insurance can take no more than 10 minutes with the right agent. Business insurance can seem confusing on the surface, but once you break it down, it is much easier than you may think. Here are the coverages available for most business polices, and remember, you do not have to purchase them if they do not apply to your business.
General Liability is the one coverage that is almost always required for businesses. With limits normally between 1 and 5 million, GL covers incidents where your business is found negligible during or after a job resulting in injury to someone or damage to property.
Commercial Property covers all of your business's property. This can include anything from buildings, tools, equipment, inventory, and some machinery. A deductible will apply to commercial property claims.
Workers Comp covers injury to your employees while on the job or resulting from a job. Generally $100,000-$500,000 in coverage per employee, per occurrence. If you are a one man operation, this coverage may not be necessary for your business.
Commercial Auto is similar to your personal auto policy, but normally has higher limits of liability and can include large trucks, delivery vehicles, and utility trailers. This provides liability and physical damage coverage for all of your company-owned vehicles while you or any of your employees are driving at any time.
Inland marine policies provide coverage for large pieces of equipment, property in transit, and a few other specific items. For a small business, it would cover anything imported or exported while it is on the move.