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Questions To Ask When Purchasing Small Business Insurance

Questions To Ask When Purchasing Small Business Insurance

Congratulations! You’ve just started your venture as a small business. In a tough market, and at times discouraging, America relies on its small businesses regardless – yours is no exception.

Part of being a small business means serving your community responsibly, and with that comes safety through small business insurance. Deciding what to do with personal insurance can be difficult enough and insurance for your small business can be even more overwhelming.

Lots of questions can arise in the process as well, which is good. We’ll try to give out answers to a few questions that can lead you to a clearer path when purchasing small business insurance.

Where do I start?

Every journey has to have a beginning point. When it comes to your options with small business insurance, a great place to start is with us at SFM Insurance. For more than 200 years, our independent agency has proudly found solutions for our client’s insurance needs to protect their assets.

The second step in the process is evaluating what your business needs are. What industry are you in? What are other smaller businesses in the area doing? What can you afford? During our free consultation, we’ll take a look at all of these.

Personal vs. Business?

A few times in this post we’ve mentioned personal insurance and business insurance. Both are equally important, but knowing their boundaries and coverages is more important.

Simply put, personal insurance such as health insurance or car insurance, gives only you and those you claim coverage. That insurance wouldn’t work if something happened to you in a company-owned vehicle or on company property.

Types of insurance?

Much like personal insurance, there are all sorts of different plans and types of insurance for your small business. Below are just a few types of insurance options available with a description for them.

  • General liability insurance (GLI) covers if and when property or someone is injured while on business grounds or conducting business.
  • Property damage insurance (PDI) covers all things related to business property including: buildings, signs, physical advertisements, inventory and materials.
  • In this day and age, it’s borderline irresponsible to not have a website for your business. With cyber liability, you’re protected in the event your website gets hacked.

Cost efficiency for what I need?

With small businesses, one of the most important things is revenue, cash flow and other sources of capital that contribute toward your source of profit. Simply put, resources are tight and sometimes not always readily available. A great way to make sure you’re getting the full benefits with your insurance while on a budget is bundling various forms of coverage.

Bundling can save you unnecessary amounts of resources on the things you need, and instead give you the tools to allocate your resources elsewhere to make your business grow.

If you’re ready to take that first step into business insurance, or to allow us to review your coverage and see if we can find you a policy that better meets your needs, reach out for a free consultation today! For more tips and our latest updates, visit us on Facebook, Twitter or LinkedIn!