When you are planning for a new business, you should not neglect insurance. After you have created a list of all the things that your business needs to succeed, you must match asset or risk with the most suitable insurance policy. If you are looking for Halifax business insurance for the first time, you may have a little challenge understanding the different kinds of insurance options for small businesses. Before you consult an insurance broker that works with insurance companies in Halifax, here are some of the types of commercial insurance you must understand:
1. Commercial Property Insurance
This is mandatory for all businesses with physical assets. It is totally unwise to avoid paying for property insurance with the risk of problems like flood, vandalism, fire or theft. The type of coverage you look for depends on the property you want to insure, and you must not fall into the trap of under insuring your assets. Definitely, a policy which only provides coverage for your building could seem adequate, but what happens to the inventory and equipment inside the building? Look at it this way, if your business cannot do without it, be sure to place it under insurance coverage.
2. General Liability Insurance
No matter how careful you are as a business owner, you still might have to deal with an accident or damage caused by your product or service. That means your business could be liable for damages that were caused by your staff, or injuries at your office or storefront. That is why you need general liability insurance. It helps your business to stay afloat even after a big claim, so all the hard work you have put into your business does not go down the drain. This policy will cover the cost of legal proceedings and pay for claims.
3. Professional Liability Insurance
This looks like liability insurance, but it is not the same thing. Whereas, a general liability insurance policy takes care of negligence or accidents like a customer slipping and breaking their leg on a wet floor in your office premises, a professional liability policy covers the negative aspects of a professional service. For instance, if you work as a consultant and you provide a client with advice and then their business fails and they blame you for it, this kind of Halifax business insurance will cover the cost of damages and a lawsuit.
4. Commercial Vehicle Insurance
If your business transports products or people regularly, your vehicles need to properly insured because of the essential role they play in daily operations. Your business may not have the money to pay for repairs when an accident occurs and it is accompanied by damages. So, whether you have a fleet of vans or trucks, make sure you get a commercial auto policy for all your business vehicles. Companies with many vehicles must put them under a comprehensive fleet insurance policy instead of getting individual policies for each of them. For most insurance companies in Halifax, a fleet consists of a minimum of five vehicles.
5. Cyber Security Insurance
Today, both small and large businesses depend on computers, data and the cloud to do their daily operations. This makes virtually all businesses vulnerable to cyber attacks. Hackers know this and now close to half of all cyber attacks focus on small businesses. Big corporations have the money to easily make a come back. But small businesses cannot afford that luxury. It is very important to get cyber security insurance from a broker because of its benefits.