No matter the size of your organization, insuring your business is a critical part of protecting your assets and avoiding hefty expenses associated with unforeseen incidents. But just as your small business is unique, it’s important to tailor your policy to ensure you get the right coverage for your needs. If you own a small company, here are five types of business insurance that you’ll want to consider — and how they can protect you.

5 Essential Types of Small Business Insurance

1. Property

Basic property coverage is typically included in any business insurance policy. It’s designed to protect against losses to various commercial property you own — including the physical building, as well as the products and tools inside. Covered incidents may include damages related to fire, theft, vandalism, and severe weather. However, you will need to purchase separate insurance to cover flood-related damages.

2. Liability

If a customer sues you for damages — such as those caused by a personal injury that occurs on the property — general liability will help with the settlement. Some small business owners also opt for professional liability coverage, which helps pay for damages caused by your products or services. If you’re concerned that your coverage limits are not high enough, it’s also wise to invest in umbrella liability insurance.

3. Workers’ Compensation

When you have workers’ compensation as part of your business insurance plan, your employees will not be able to sue you in the event they are injured on the job. Instead, they will file a workers’ compensation claim through the state. If approved, your policy will cover related expenses — such as lost wages and medical care.

4. Commercial Auto

If your company owns vehicles that are used for business purposes, commercial auto insurance is recommended. This commercial coverage can pay for damages caused by any employed drivers while operating company vehicles.

5. Business Income

Any incident that prevents your business from remaining open can lead to exhaustive losses of income. Business income insurance is designed to help cover these losses up to a certain amount so you won’t need to worry about having to close or forgo a paycheck.

When you’re faced with all the responsibilities of being a business owner, sorting out your insurance needs can be time-consuming. That’s why Wilmoth Insurance Agency Inc. is dedicated to streamlining the process as much as possible. Based in Cookeville, TN, this agency provides one-on-one assistance so you can develop a business insurance policy that addresses your specific risks while keeping your premiums affordable. To learn more about their coverage options, visit the provider online. To build a custom quote, call (931) 526-6181 to speak with a friendly agent.