Business Insurance Guide for New Entrepreneurs 2020

​As a new business owner, obtaining business insurance is one of the first things an entrepreneur needs to do. Insurance helps in protecting the company and its assets from risk. Take into account that starting a business means investing time, money, and energy. Before putting money into insurance, make sure to know the type of insurance the business needs.

Business Insurance Variations
Business Insurance varies depending on the operations, type, and size of the business. A mobile or home-based entrepreneur has varying needs to those of a store-owner with a physical shop. Businesses face different challenges and risks. Because in reality, all companies, big or small, meet an element of risk daily. 

7 Types of Business Insurance
It is crucial to consider first the business operations, assets, revenue, and liabilities in choosing business insurance. Customization of business insurance policy is allowed to suit whatever the business needs. 

Some insurances may also be required by law.  

1. General Liability
   This insurance covers liability claims against the business. If the business's product or services caused injury or damage, this insurance would cover the compensation cost and defense cost. 
2. Worker's Compensation
   This type of insurance helps the business owner pay medical costs when employees are harmed while working. The law requires this policy.
3. Disability 
   Disability Insurance covers the lost income whenever an employee is unable to work for a particular time. This insurance has the same purpose as maternity leave. 
4. Unemployment
   This type of coverage is required by law for those who pay more than $1500 a quarter. It also covers some of the lost wages for employees that have been laid off.
5. Directors and Officers
   This type of insurance protects D&O's assets, assuming the D&O is being sued for its management. 
6. Professional Liability
   It protects companies, entrepreneurs, and freelancers that offer advice or services. Some of the benefactors of this type of insurance are lawyers, consultants, health professionals, and marketers. 
7. Product Liability
   Assuming the company's product results in a fire that injures people and damages property, this insurance protects the company from the claims. 

Being educated in business insurance means being prepared for the business's risk in the future. Assess the types of insurance the business needs. Having the right business insurance policy could mean success for the company.

At Kapasu Insurance Services, 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.