There are many types of business insurance and not every company operating has the same exposures. You need to understand the risks you face in your own operations in order to decide which policies will benefit you the most. For example, all companies require some type of property insurance, whether or not a business owns or leases its space.
From the day you open your doors for business, you’re exposing yourself to certain risks. Even before the first employee is hired, it is important to have the right insurance in place. One lawsuit or catastrophic event could be enough to wipe out a small business before it even has a chance to get off the ground.
Standard NJ business insurance policies
Property insurance covers equipment, signage, inventory and furniture in the event of a fire, storm or theft. However, natural disasters and events like floods and earthquakes are generally not covered under standard property insurance policies. If the area where you operate your business is prone to these types of issues, speak with your insurer to price a separate policy designed to address these concerns.
Workers comp insurance, once employees have been hired, should be added immediately to a business’s insurance policy. This will cover medical treatment, disability and death benefits in the event an employee is injured or dies as a result of his or her work with your company. Even if employees are performing seemingly risk-free work, a simple slip-and-fall injury or duties that could cause carpal tunnel syndrome could result in a claim against your business.
If you manufacture products for sale, product liability insurance is another must. Even a business that takes every measure possible to make sure its products are safe can wind up named in a lawsuit due to damages caused by one of their products. Product liability insurance works to protect your business with coverage that can be tailored specifically to fit your needs.
Those three coverages are generally thought to be essential for many business owners facing exposures in their daily operations. There are other policies to consider and you can speak to an agent about your own NJ business insurance needs to safeguard you from a number of risks.