5 Important Business Insurance Factors To Consider In 2022

​Businesses go through constant change. Thus, creating risks by affecting the business operations, financial services, supply chain, employee recruitment, and retention regularly. Nevertheless, the risks you and your insurance program face should respond to these changes.

There is an unfavorable effect on businesses across California because of these issues. 2022 is no better, it may be even more unstable. 

The Importance of Risk Management
Generally, business risk management evaluates, prioritizes, and addresses any risk involved in the changes around your business operations, systems, and processes. That’s why you should not make light of how risk management can help in planning and decision-making in emergencies or opportunities.

Our Picks for Top Risk and Insurance Trends for 2022
Risk And Insurance Issues Around Remote Workers
Changes in long-term remote work result in consequences for a company’s risk exposures, affecting various insurance plans. All businesses allowing or directing their employees to work as a long-term plan should provide policies.

Expert coverage counsel and professional brokers should assess these policies accordingly. This is to discover the gaps in coverage or policy language that need to be addressed.

More importantly, businesses will have to level up their cybersecurity in this digital age. However, cybersecurity risks have increased relatively because of remote workers. All because employees working remotely from home are more exposed than those working on-site. Don’t expect any better in the cyber market as it continues to harden in 2022.

Helpful Cyber Tips for Remote Workers
Update your devices (computers) regularly.

• Allow VPN workers
• Provide employee training
• Update passwords regularly and or use password managers
• Use cloud software for file management
• Secure your Wi-Fi
• Always prepare appropriate backup systems 

Compensation Pay For Workers
Employers should prioritize insurance coverage for work-related injuries occurring outside the office or other places. Additionally, employers are still liable for injuries in cases of diversion. Diversion happens when an employee physically leaves their job tasks for a short activity, such as getting coffee.

Supply Chain Issues
In today’s global marketplace, business significantly relies on international suppliers. Businesses may suffer if products are delayed or fail to arrive, especially when the products are from distant locations.

Consequently, a decrease in supply often means higher prices for obtaining the resources. A contingent business interruption (CBI) coverage protects you from depletion caused by disruptions from the suppliers’ or customers’ facilities. However, this type of insurance is limited as it only covers if the business is disrupted due to physical property damage.

Importance of Directors and Officers' Insurance
Directors' and officers' (D&O) insurance covers any lawsuit brought against the directorial boards or an individual officer, and the coverage varies considerably. However, it often excludes claims that involve employment practices (hiring, firing, and promotion). On the other hand, employment practices liability (EPL) may fill the gap where a D&O) policy rejects employment-related claims.

Conclusion
Contact our insurance professionals at Kapasu Insurance Services if you need advice or simply want to learn more about insurance terms and coverage.

At Kapasu Insurance Services Inc, we do our best in making sure that our clients are well-protected with affordable and comprehensive policies. We make sure to go the extra mile to help you with your needs. To learn more about how we can help you, please contact our agency at (760) 995-3853 or Click Here to request a free quote. The coverage discussed in this article is not guaranteed. Please call our agents, we are happy to help you learn more about your plan and make sure you have the coverage you need.