Why Your Business Needs Insurance

Business insurance protects your company from financial losses due to lawsuits, property damage, employee injuries, and more. Many clients and landlords require proof of insurance before working with you.

Types of Business Insurance

General Liability

Covers third-party injuries and property damage. Essential for most businesses. $500K-$2M coverage typical.

Professional Liability (E&O)

Covers mistakes, negligence, and malpractice claims. Critical for consultants and service providers.

Workers Compensation

Covers employee injuries on the job. Required in most states for businesses with employees.

Commercial Auto

Covers vehicles used for business purposes. Required if employees drive for work.

Business Owner's Policy (BOP)

Bundles general liability and property insurance at a discount. Great for small businesses.

Cyber Liability

Covers data breaches and cyber attacks. Essential for businesses handling customer data.

Average Business Insurance Costs

Coverage Type Monthly Cost Annual Cost
General Liability ($1M) $30-$100 $400-$1,200
Professional Liability $50-$150 $600-$1,800
Workers Comp (per $100 payroll) $0.75-$2.50 Varies by payroll
Commercial Auto (per vehicle) $100-$300 $1,200-$3,600
BOP Bundle $40-$150 $500-$1,800
Cyber Liability $50-$200 $600-$2,400

Insurance by Industry

  • Contractors: General liability, contractor's license bond, tools coverage
  • Restaurants: Liquor liability, food contamination, workers comp
  • IT/Tech: Cyber liability, E&O insurance, data breach coverage
  • Retail: Property, inventory, general liability
  • Healthcare: Medical malpractice, HIPAA compliance coverage
  • Trucking: Commercial auto, cargo insurance, motor carrier filing

How to Get Business Insurance

  • Assess your risks and required coverage types
  • Determine coverage limits needed (often $1M minimum)
  • Get quotes from multiple providers
  • Review policy exclusions carefully
  • Consider bundling for discounts (BOP)
  • Request Certificate of Insurance for clients