As a business owner, the risks you face are significant. Mitigating those risks with proper insurance coverage is absolutely paramount to protecting your assets and ensuring your company’s success. In particular, the liability exposures associated with owning and running a business are plentiful. Understanding the different types of liability insurance available to you—and knowing how they can protect you—is the first step to ensuring you have complete coverage.
General Commercial Liability
If a bodily injury, property damage or personal injury claim is filed against you or someone at your company, general liability coverage will provide protection. Many business owners choose to combine their general liability and commercial property coverage to create a comprehensive business owners policy (BOP). Additionally, many proactive employers opt for additional liability coverage in the form of an excess liability policy. Also known as commercial umbrella insurance, excess liability protection kicks in when the limits of your basic liability policy have been reached. Considering how common multi-million dollar lawsuits have become, excess liability is recommended for most businesses. Premiums are generally low and the benefits far outweigh the cost.
If you are a professional service provider—such as a doctor, lawyer or accountant—then you are legally accountable for the services you provide. As such, you are at risk of claims being filed against you due to underperformance or failure to perform. However, professional liability insurance protects against negligence claims filed by clients or patients. Also known as medical malpractice insurance in the health care industry, or errors and omissions insurance in other fields, the type of protection is the same. It ensures that one mistake or accident won’t ruin your career or result in costly payouts.
In today’s technological age, cybercrime is a greater concern than ever. Being aware of the importance of privacy and cyber security, and taking the appropriate steps to protect your business from hackers, is a critical piece of risk reduction. Even so, businesses rarely see a security breach coming. Cyber liability insurance is your last-stop protection when your customers’ or clients’ personal information is exposed.
For more information about the types of liability coverage that your business may need, contact The SIG Insurance Agencies at (203) 359-0880. You have options; we can help you explore them.