Starting a business is a significant investment that comes with many risks. One minor mistake, and you could be sued. Commercial insurance is a safety net designed to protect businesses in emergency situations. Here’s a closer look at what commercial insurance entails.
Houston, Texas, is one of the largest cities in the United States. The city is home to thousands of businesses. More than 500 new businesses have opened throughout the city in the last four years. In such a competitive market, you always look for ways to stand out from the competition. Purchasing commercial insurance is an important step. If you don’t have the necessary coverage, you’re left vulnerable if your business suffers a loss.
Types of Coverage Available
Your insurance provider in Houston, TX, will inform you about the different types of coverage you can add to your commercial insurance policy. They are:
- Professional liability insurance: If you perform a service, professional liability coverage can protect your business if a client accuses you of negligence.
- General liability insurance: It protects you if your business is responsible for causing an advertising injury, property damage, or bodily harm.
- Commercial property insurance: If you are operating your business out of a specific building, commercial property insurance protects your business if the building is damaged. You are also covered if any of the equipment inside the building is stolen, damaged, or vandalized.
- Commercial auto insurance: If you have a fleet of commercial vehicles, commercial auto insurance in Houston, TX, covers your business if the vehicles are damaged or stolen.
- Workers’ compensation insurance: It is an important part of your policy. Workers’ compensation provides benefits to your employees if they are injured on the job. The policy covers their medical treatment and prevents you from possibly dealing with a lawsuit. It’s recommended that you assess the potential risks on the job since adding workers’ compensation is not a mandatory requirement for Texas businesses.
Business Insurance Costs
The cost of business insurance varies throughout the state. Every business has unique factors to consider. The size of your business is important. If you have a large business, you will likely add full coverage, which raises your insurance costs. Insurers may also assess the years of experience your business has and whether you have filed any claims in the past. It’s recommended that you work with an independent insurance agency, as they can help you assess multiple quotes at one time.
Does an LLC need Business Insurance?
If you are operating your business as a Limited Liability Company, your professional and personal assets are separate. However, you will still have to deal with potential risks related to your business. Purchasing insurance is recommended to prevent you from handling future claims out of your own pocket.
Contact J. Archer Insurance Group for Further Details
Purchasing commercial insurance is a worthwhile investment. You can secure both the short-term and long-term future of your business and are prepared if an emergency occurs. If you have any questions about your policy, contact the team at J. Archer Insurance Group, and we will be happy to assist you.