5 Reasons you Need Business Insurance

At Schomp Insurance, we understand that you might be pondering the right time to secure business insurance. We’re here to emphasize that the time is now. The safeguard it offers is paramount for your business, and in some instances, it’s mandated by law. Let’s explore five compelling reasons why prioritizing a business insurance policy today is essential:

  1. Compliance with State Laws: In most states, small businesses are legally required to have specific types of insurance. Two crucial ones include:
    • Workers’ Compensation Insurance: If you employ staff, workers’ comp insurance is obligatory. It covers work-related injuries, illnesses, and provides disability benefits during recovery.
    • Commercial Auto Insurance: For business-owned vehicles, commercial auto insurance is typically mandatory. It ensures you meet your state’s auto liability requirements and offers protection for medical expenses, property damages, and legal costs in case of accidents.
  2. Customer Protection: Just as workers’ compensation safeguards your employees, a Business Owner’s Policy (BOP) is your customers’ shield. This policy combines property and liability coverage. In the event of accidents on your premises, a BOP can assist with medical costs.
  3. Credibility and Growth: The right business insurance is a testament to your company’s credibility. It signals to clients and partners that you’re vigilant in managing risks. Many contracts also necessitate insurance coverage. Whether you’re leasing office space, securing a business loan, or entering various agreements, having business insurance is often a prerequisite.
  4. Cyber Assessment and Policy Cutomization: If you have any online presences, you need cyber insurance. From email, to CRM entry, to managing your business website, there is always a level of cyber risk exposure. It’s important to ensure that your bussiness and your customer’s data is protected. An assessment will help annotate your risks and customize a policy that addresses your particular needs.
  5. Protect Against Natural Disasters: Natural disasters, can happen everywhere in the U.S. but Colorado and Utah both have a particular mix of weather that can affect your business operations. It is essential to have the right insurance coverage to protect your business assets in case of a disaster such as hail, fires, and flooding.