Things You Might Not Know About Business Insurance
Business insurance is a vital safety net for companies of all sizes, but many business owners are unaware of the nuances that can impact their coverage and costs. Cowan Insurance offers business insurance in Downey, CA, La Palma, CA, Seal Beach, CA, Cerritos, CA, Bellflower, CA, Westminster, CA and surrounding regions.
These are some lesser-known facts about business insurance that could save you money—and headaches.
- Home-Based Businesses Need Insurance Too
If you run your business from home, your homeowner’s policy likely won’t cover business-related claims. Equipment damage, client injuries, or cyberattacks may not be protected without additional business coverage.
- Bundling Can Save You Money
Insurance providers often offer package policies like a Business Owner’s Policy (BOP), which combines general liability and property insurance at a lower rate. Bundling policies can lead to significant savings.
- Cyber Liability Isn’t Just for Tech Companies
Even small businesses are targets for cyberattacks. If you store customer data, process payments, or use email, you’re at risk. Cyber liability insurance helps cover data breaches, legal fees, and notification costs.
- Lawsuits Are More Common Than You Think
Legal claims against businesses—from slip-and-fall incidents to intellectual property disputes—are more frequent than many realize. General liability insurance can help protect against costly litigation.
- Insurance Requirements Can Vary by Industry and State
Some professions are legally required to carry specific types of insurance, such as professional liability or workers’ compensation. Requirements can vary widely depending on your industry and location
- Review Annually—Your Policy Might Not Keep Up
As your business grows or changes, your insurance needs likely change too. Regularly reviewing your coverage ensures you’re not underinsured—or overpaying.
- Business Interruption Insurance Is Often Overlooked
If a disaster forces you to temporarily close, this coverage helps replace lost income and covers ongoing expenses like rent and payroll. Many small businesses overlook this crucial protection.
Understanding the finer points of business insurance can make all the difference when unexpected events occur. Take time to assess your coverage and consult a licensed agent to ensure your business is fully protected. Should you have any questions, feel free to give us a call.