As a business owner, you must have a liability insurance policy that will protect you from the risk of being sued and held liable for a business-related aspect such as negligence, injury, or malpractice. This policy can cover both legal costs and payouts required from the insurer if he or she is found to be legally liable. It is the best way to protect your company and its resources from such situations.
Additional Liability Coverages
Whereas professional liability insurance protects your business from errors or mistakes that you may or may not have committed during the course of a transaction with a client, there are other coverages that must be considered, also in addition to general liability insurance. As a business owner, covering all fronts is a wise thing to do so that your business operations can proceed while you have peace of mind.
General liability insurance, on the other hand, can protect you from different claims including personal injury, damage to property, and others as a result of your business operation. Although this type of insurance coverage does not include any claims including natural phenomena such as storms and earthquakes or claims involving environmental damage or pollution, it protects you from almost any claim that a dissatisfied client can make.
Some Other Liability Coverages
Clemens Insurance discusses some of the important liability coverages to consider so that you can be well prepared for almost any situation. Some may apply to your business, but some may not, so take into account these different items so that you can know your next steps.
Business Owner's Policy (BOP)
This type of coverage is an all-inclusive kind that a business owner would need. Usually, BOPs include property and vehicle insurance, liability insurance, business interruption insurance, and other types of insurance. For example, a lawsuit claiming that a customer or visitor was injured while on your premises (such as injuries caused by trips and falls) can be paid for by business liability insurance. You can customize the inclusions in a BOP according to your business needs. An advantage of availing of a BOP is the bundled services that cost significantly less than the total cost of all the individual coverages combined.
Employer's Liability and Workers' Compensation
This type of coverage is a mandatory coverage for employers. It protects a business against liabilities resulting from the injuries or the death of an employee usually as a consequence of a work-related accident.
This type of insurance coverage protects a business owner from negligence claims caused by financial harm as a result of mistakes or failure to perform.
In most cases, the most appropriate defense against being sued is acting proactively after an accident or incident in the workplace. If a customer is injured on your property or because of the actions of an employee, then medical payments coverage can immediately pay for his or her medical bills without needing to file a lawsuit. Usually, rising to the occasion by paying for an injured person's expenses avoids a lawsuit and maintains a company's reputation in the community.
Directors and Officers Insurance
This type of coverage protects the upper management of a company against their actions that can affect the operations and thus profitability of a business. A director or officer of your company can use this type of insurance to cover for costs or damages lost as a result of a lawsuit determining the direct result of their actions on the job.
Product Liability Insurance
This coverage is provided to companies that manufacture products for sale on the general market. In essence, it protects against lawsuits resulting from injury, death, or any untoward incident of a customer caused by a company's products.
This type of insurance is a classification of homeowner's insurance, covering only to those whose who rent their home. The coverage protects landlords against personal injury within the rental unit, damage to the physical property, and destruction of the contents of the property.
Your One-Stop Insurance Center
Clemens Insurance aims to achieve a high standard of excellence in every liability coverage that we provide. As one of the largest, full-service, independent insurance agencies in downstate Illinois, we help business owners who work hard to provide only the best products and services but get sued despite their industriousness. Talk to us so that we can sit down with you and draft a policy that covers your specific needs. Get in touch with us today to get started. Trust Clemens Insurance today for hassle-free business operations.