Financial Wisdom

Business Insurance Checklist

Every business needs insurance. The types of insurance coverage you need and the amounts of coverage will vary depending on the type of business, size of business and the amount of risk the business is willing to assume. If your business provides personal services or if you are operating the business without a corporate structure, you must consider your personal risks as well. You may want to work with an insurance professional to make sure you have the protection you need.

Here are seven types of insurance you may want to consider.

You may want to print this page (or click here to download the pdf file) to record your information.

Health insurance

Issues
Notes
Providing a health insurance program can be very attractive for employees and business owners, but can be expensive. To contain costs, consider sharing the cost with employees and choosing levels of deductibles and co-pays that result in lower costs.

Type of plan

 

Coverage

 

Deductibles and co-pays

 

Sharing of costs with employees

 

Costs

 

Source of policy

 

Property insurance

Issues
Notes
Business equipment should be insured against damage and theft.
Equipment covered - Be sure to have a list of equipment with costs, values and identification information.

Deductibles

 

Costs

 

Source of policy

 

Business interruption insurance

Issues
Notes
If your business was displaced because of a fire, flood or other disaster, you would need to re-establish the business in another location. Business interruption insurance could provide the funds needed. Temporary space, equipment and supplies could be covered by a policy of this type.
Draw up a list of what would be required in case of an emergency.
Depending on the extent of your needs, a policy of this type may not be too expensive.

Costs

 

Source of policy

 

Liability insurance

Issues
Notes
Claims due to employee actions or negligence can be significant, especially in an age of increasing jury awards.
Some coverage may be provided through other types of policies, but you should discuss your coverage with an insurance professional.

Deductibles

Costs

 

Source of policy

 

Workers' compensation insurance

Issues
Notes
This insurance provides coverage for medical and related costs for accidental injuries suffered by employees in performing their duties.
The amount of coverage required varies by state.
Discuss your needs with an insurance professional

Costs

 

Source of policy

 

Auto insurance

Issues
Notes
Using an auto in your business, even a personal one, may require a commercial auto insurance policy. Speak with an insurance professional to determine the requirements of your business.

Deductibles

 

Costs

 

Source of policy

 

Umbrella insurance

Issues
Notes
Umbrella insurance policies fill gaps that may exist with other policies and provide additional coverage beyond those of those policies.
The costs are usually relatively low and policies are offered by many insurance companies. Some professional organizations also offer these policies.

Costs

 

Source of policy