Small business insurance is a funny thing. You hope you'll never need it. But, if you're starting a business, it's usually a good idea – if not essential – to purchase a policy.Here's a look at some reasons why you need small business insurance, how to choose the best coverage and the average costs you can expect to pay.
If you run a small business, you need business insurance to protect yourself, your employees and your clients. Typically, you'll need coverage against:
Unexpected costs can hit you where it hurts, so don't get caught out. Plan for your small business's future safety right from the outset.
Selecting the right policy depends on your business. If you plan on hiring employees, you'll need employers' liability insurance, because it's the law. In contrast, while other types of business insurance aren't obligatory, they may be good to have.Here are some types of insurance policy to consider:
Step 1: Decide what insurance is essential and which would be 'nice to have'.Step 2: Research the type of coverage that is usually standard. Is there an overlap between benefits? Could you combine more than one cover into a single policy?Step 3: Use a website like Compare the Market to get an idea of what's available and how much you can expect to pay on average.
You might find the cost of small business insurance a bit of a shock when you first begin operations. Luckily, there are ways to lower the expense:
If you need help, take a look at Simply Business to try a simulation.