Getting your business up and running is exciting, challenging
and hard work. You’re finally making money – and you are the
driving force that is making your business grow. But have you taken care of the “What ifs”. Like – “What if I get sick, how do I pay my bills” or “What if I have a fire, how do I keep my business running”. Simply put, the one thing you do not want is to have the business that you have labored so tirelessly on, hit a financial snag.
If you are a sole proprietor or a partnership – both your
business and personal liabilities are at risk. Do you think
you’re safe if you incorporate or have an LLC? Many
are misled into believing this is so, however, you too can
become personally liable if you sign a personal guarantee on
a loan, personally injure someone or act irresponsibility. As
you will see, owning business liability insurance can and
does protects your business and personal life from financia
ruin. My discussion here will be limited to Business Interruption, Overhead, Umbrella Liability and Liability Insurance – explaining what these four types of insurance are, and what they can offer you and your business.
Business Interruption Insurance
Business Interruption Insurance helps to insure against any
economic losses that you may encounter if something should
happen to close down your business. For example, you have
a fire in your corner of the house – your business office.
Your home is covered for property damage – thus, the rebuilding is covered, however, what about the lose income you’re losing while you rebuild? That’s where Business Interruption Insurance can come in to play.
Overhead Insurance
There is one type of business insurance that you may want to
consider when your business is making a good profit, and
that would be Overhead Insurance. Overhead Insurance
covers rent, salaries, utilities, insurance premiums and/or
interest payments that are related to the business – this
type of insurance would cover you in case of a major
illness or accident.
Umbrella Liability Insurance
Umbrella Liability Insurance is used for catastrophic
losses. This will protect you in the event someone
wants to sue you. An umbrella policy will upgrade
your basic auto, homeowners or business insurance
to cover these unforeseen events.
Liability Insurance
If you have people coming to your home-based business,
than liability insurance may be something you should
look into it. Liability insurance will cover you against
claims made by others against you for injuries or damages
that occurred on your property.
Yes, your homeowner’s policy includes some liability
insurance, but it may not cover you for liability claims
caused by your business.
To conclude, life offers many unexpected turns in the
road – and basically, that’s what all insurance does – it
protects you against those unexpected bumps in the
road – and keeps you moving toward your goals with only
limited stales. Personally, I believe I can deal with a
small bump in the road better than a complete halt in
business. How about you?
To your success.
Vickie J Scanlon has a BBA degree in Administrative
Management and Marketing. Visit her site
at: http://www.myaffiliateplace.biz for free tools, articles,
ebooks, how to info, affiliate opportunities, services
and products – to meet your budget and needs.
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