Last updated on April 30th, 2022 at 09:33 am
No one knows when a natural disaster might strike, or when a disgruntled employee might decide to sue. That’s why it’s important to have business insurance in place, to protect your Canadian company from any potential losses. Business insurance can provide coverage for a variety of risks, including property damage, liability claims, and employee injuries.
Here are some reasons why you need business insurance for your company.
To Protect Your Property
Business insurance can help to cover the cost of repairs or replacements if your business property is damaged or destroyed by a covered event, such as a fire or severe weather. There are a variety of property coverage types available, so you can tailor your policy to meet the specific needs of your business.
For example, if you run a manufacturing business, you might need coverage for your equipment and inventory. Or, if you have a retail store, you might need coverage for your fixtures and inventory. And as seen at apollocover.com/business-insurance/, you can even get coverage for a small business interruption, which can help to cover your lost income if your business is forced to close due to property damage. If you don’t have business insurance, you could be left to pay for repairs or replacements out of your pocket, which could be a financial burden for your company.
To Cover Your Business Liability
If your business is sued for causing injury to someone or damage to their property, business liability insurance can help to cover the cost of legal expenses and any resulting judgments or settlements. This type of coverage is essential for any business, as even a small lawsuit can quickly become expensive.
For example, let’s say that a customer slips and falls in your store. If they decide to sue you for damages, business liability insurance can help to cover their medical expenses, lost wages, and pain and suffering. Without this type of coverage, you could be responsible for paying these costs out of your pocket, which could quickly bankrupt your business.
To Cover Your Employees
On the other hand, if one of your employees is injured on the job, without liability as a result, workers’ compensation insurance can help to cover their medical expenses and lost wages. This type of coverage is required in most countries, so if you don’t have it, you could be facing hefty fines.
And, if you have any employees who work remotely, you should also consider business travel insurance. This type of coverage can help to cover the cost of medical treatment and evacuation if they’re injured or become ill while traveling for work.
To Get Affordable Financing
Many banks and other lenders require businesses to have certain types of insurance in place before they will approve a loan or line of credit. For example, most lenders will require that you have property insurance if you’re using your business property as collateral.
And, if you’re leasing commercial space, your landlord will likely require that you have liability insurance and possibly even workers’ compensation insurance. So, having business insurance can help you to get the financing you need to grow your business.
Business insurance is essential for any company, large or small. If you don’t have coverage in place, you could be facing a financial disaster if something goes wrong.
So, make sure you’re properly protected by purchasing a business insurance policy that meets the specific needs of your company.