Business Insurance

Guide to Getting the Best Business Insurance


Business insurance allows local owners make sure that their business will not suffer if there is a disaster, accident, or one of the numerous other unforeseen instances that can affect operations. It is a safety net that could mean the difference between a business getting through a rough patch or failing altogether. Deciding to get business insurance is the easy part. Choosing the right insurance plan that will properly protect your business takes some more time and consideration.

Types of Business Insurance

If you're looking for business insurance you could be surprised, and even overwhelmed, by all the options. The U.S. economy supports large and smaller businesses alike and that has lead to just about every kind of business you can think of, and specific insurance policies to protect them.

Here are a few of the more common types of business insurance:

  • Insurance for small businesses
  • Business health insurance
  • Business liability insurance
  • Business auto insurance
  • Business interruption insurance
  • Business disability insurance
  • Business property insurance

Two types of business insurance that owners need but usually are not as acquainted with are business liability insurance and interruption insurance.

Business liability insurance refers to coverage that protects a business if it is sued for negligence. This could be negligence on the part of the business itself or one of its employees.

Business interruption insurance insures a business owner should there be a loss of profit and/or cashflow as a result of an interruption in the business operation. One example is, if the business catches fire property insurance would cover the damage to the building and assets inside, and business interruption insurance would replace the earnings that was lost as a result of business not being open.

Finding the Best Business Insurance Companies

The business insurance company you choose to work with is equally as important the policy you ultimately end up with. Business owners can not let price alone determine which business insurance company will offer the best service. Factors that ought to affect your final decision include:

  • Price
  • Registered/Licensed in your state
  • Customer service
  • Solid and secure track record
  • Longevity in the market place

Business insurance companies can fail and this puts a heavy burden on those they had insured. It's very important to select a business insurance company that has a proven reputation of providing stable services over a number of years. The longer they've successfully provided insurance services the safer they will be to work with.

Check with Standard and Poor which rates the stability of insurance companies. Look for insurance companies that have at least a B+ rating.

Save Money With Business Insurance Quotes

Today, the internet makes it much easier for business owners to find affordable business insurance. Business insurance quotes take a large amount of the work out of comparison shopping online and can also get insurance companies to vie for your business.

While business insurance quotes give you a good idea of what it will cost for a certain policy they are by no means precise. Business owners will still need to narrow their selection down to several business insurance companies that operate in your state and then contact each one to discuss their specific needs. This is the only way to get a quote on what your actual monthly payments and premiums will be.

In addition to helping you narrow down your selection, there is another benefit to getting business insurance quotes right from the start. You can use competitor quotes to negotiate for improved prices and additional services. Make sure to document each quote that you receive and the date that you received it. Rates can change from month to month and even week to week so the date of a business insurance quote is crucial.