Business insurance involves a package of different types of coverage (also known as an insurance policy). You can choose the policies you need based on your operations and potential risks.
Here are some examples of common types of business insurance:
General liability insurance, also known as business liability insurance, is often the first kind of insurance business owners purchase. It can help your business cover costs if you or an employee accidentally damage someone’s property or if someone other than an employee gets hurt (the legal term for this is bodily injury).
Learn more about general liability insurance.
Professional liability insurance can help protect your business from professional mistakes. This kind of coverage is also known as errors and omissions (E&O) insurance. It is common for professional services.
Learn more about professional liability insurance.
Workers’ compensation insurance covers workplace injuries. If an employee gets hurt on the job, it can help pay for medical expenses and cover lost wages.
It’s often required by state law when you have employees. You can also protect yourself by opting for voluntary business owner’s coverage.
Learn more about workers’ compensation insurance.
Commercial property insurance
Commercial property insurance can help protect many of the physical items you need to do business. It can help pay replacement costs if your business property is damaged by water, fire, wind or vandalism.
A business owner’s policy (BOP insurance) combines general liability insurance and commercial property. It is often cheaper to bundle these two policies than buy them separately.
Learn more about commercial property insurance.
Commercial auto insurance
Commercial auto insurance** is for small business owners who own or drive vehicles. It can help pay for damages if you or an employee are involved in an auto accident while driving for business.
Learn more about commercial auto insurance.
Some types of business insurance are designed for specific industries
The business insurance policies listed above are common for many different types of businesses. However, other more niche coverage options designed specifically for different types of businesses.
- Product liability insurance can protect your business from having to pay legal fees if a customer says an issue with your product caused an injury or property damage. It is included with NEXT general liability coverage for retailers.
- Liquor liability insurance can provide financial help for restaurants if you serve alcohol to someone who goes on to cause an injury or property damage.
- Tools & Equipment insurance — This coverage at NEXT can help construction and cleaning businesses repair or replace tools and equipment if they are stolen or damaged outside of normal wear and tear.