Like Car Insurance

Business insurance is a comprehensive type of policy that may include a number of different types of coverage. In general, companies select the types and amounts of coverage they need in line with their size, the nature of the operations and the products or services they offer. You should definitely consider getting such type of a policy, after you learn more about it.

There are different types of business insurance coverage. You can buy a package only with the covers you actually need. Still, it is worth looking at all available types.

Property coverage is usually included in every policy. It covers your company's property and its contents against damage and loss. It is worth pointing out that standard coverage may not cover your property against all possible perils. Much like with home policies, you can cover your property and its contents at actual cash value or at replacement cost.

Casualty business insurance coverage is often bundled with property coverage. It covers your company against any claims from people who suffer from an injury or any other kind of condition due to an accident that has occurred on your company's premises.

Liability coverage covers you when claims for negligence on the part of your company or its employees are made against you. For instance, if a product made by you causes an injury, the policy will cover the compensation. You can choose from product and service liability coverage, depending on what your company produces.

Business interruption insurance covers you in case the cash flow and/or profit of your company is damaged due to an interruption your company's operations. Commercial auto coverage covers the vehicles used by your company.

Workers' compensation coverage, life and disability coverage and health insurance can also be part of a business insurance package. The first one is designed to compensate workers in case of injury at the work place. The second one protects your company in case a valuable employee dies or gets permanently disabled and can no longer work. More companies now purchase health insurance to offer as part of the benefit package to their employees.

This type of policy works just like traditional ones. You get to pay a premium annually on in installments. When you make a claim, the insurer evaluates it and issues compensation.

Now you know what business insurance is. You can readily purchase the types and amounts of coverage you need. Just make sure you shop around to find the best deal.