Business insurance is essential for any company to protect itself from unforeseen mishaps. It can be a natural disaster, theft, employee illness or death, or any legal action.

Small business insurance is not common. But it is a very helpful tool for the thriving of the company. In today’s world insurance is rarely unused.

Why should small businesses get insurance?

The owner of a business is a leader that has to shelter all employees and the company. Insurance is a support to the owner. If exposure and risk management is not accessible by the owner, expert advice must be taken.

Small businesses need insurance to avoid external events from hampering growth. It includes protection from theft, liabilities, medical allowances,

As the company flourishes the type of business insurance best also changes.

Types Of Small Business Insurance

There are different types of business insurance in the market. Small businesses can opt for the same but for lower maturity values.

1. Liability Insurance

This helps the company to settle legal debts. Upon a third-party liability or lawsuit claim, the owner has to pay a huge sum. With this cover, the insurance policy will compensate them.

It includes all types of liabilities including general, public, professional, and commercial.

Professional liability insurance is for issues arising out of negligence in providing services.

2. Employee Insurance

It is a kind of insurance that covers the expenses of employee illness and death. If the company is sued by any employee the policy covers the expense. This is compulsory in some countries.

3. Vehicle Insurance

Both for commercial and other transport damages insurance is a must. Vehicle insurance covers the damage in case of vehicle loss. For third-party liability, commercial vehicles need a compulsory vehicle insurance.

4. Medical Insurance

They are relatively new options in this category. The medical cover given to employees assures them of protection against health problems. This is essential for providing the employee’s reassurance for paid leave in serious illness.

5. Income Insurance

These help in paying a fixed amount upon any business interruption. After stalling due to any reason the matured sum helps restart the company. In case the business is not able to run after any downfall, an assured amount is credited to those covered.

6. Property Insurance

Damages to the property owned by the company are covered in this. Any damage caused to property is paid off by this insurance.