General liability coverage is one of the most important types of insurance for small businesses. Sometimes called commercial general liability, it can help your business if a non-employee accuses you of causing injury or property damage or sues you.

In such situations, a liability policy can help pay for medical bills, the repair or replacement of damaged items and legal fees to defend your business.

For example, an apartment complex owner accuses a Hilo dog walker of allowing a canine to destroy a flower bed, causing several hundred dollars worth of damage. General liability coverage could help the dog walker pay for the property damage.

Cleaning businesses and contractors can add optional tools and equipment insurance to their Hawaii general liability policy. This coverage can help replace important business gear that is lost, stolen or damaged.

State law requires most businesses with employees to carry Hawaii workers’ comp insurance. This kind of coverage can help cover costs associated with job-related injuries, such as medical bills, rehabilitation fees and lost wages.

For instance, an employee of a Maui event planning firm sprains a wrist while staging a conference at the Lahaina Civic Center and requires several doctor visits. Medical professionals recommend that the employee take two weeks off work to recover from the injury.

Workers’ comp insurance could help pay for the injured employee’s medical bills and cover a portion of lost wages while they’re unable to report to work.

If you or your employees drive for business, you’ll need commercial auto coverage. That’s because personal car insurance won’t pay for accidents that happen while driving for business.

Commercial auto insurance could help a small company in the following situation:

An employee of an air conditioning installation firm in Kailua has an accident in a company truck while returning from a job, injuring another driver. The company’s commercial auto insurance could help pay for the other person’s medical bills and damage to both vehicles.

Hired and non-owned auto insurance is a common commercial auto coverage add-on. This optional upgrade is designed to provide coverage if employees drive their own vehicles or rent cars for business purposes.

Hawaii commercial property insurance can protect your business property, including inventory and your physical premises. It can help pay to repair or replace damaged items after a covered event, such as a vandalism, water, fire or wind incident.

For example, a grease fire at a Pearl City diner-style restaurant damages the cooking station. Commercial property coverage could help pay to repair the grill and replace kitchen gear that was destroyed.

It’s important to read your policy documents carefully to make sure there aren’t exclusions for your business. It’s common for insurance providers not to cover flood or hurricane damage.

Professional liability insurance, sometimes known as E&O or errors & omissions coverage, is a type of business insurance that is often purchased by professional services companies. It can help pay for damages if someone claims they incurred financial losses because you made a professional mistake, missed a deadline or failed to complete work.

For example, a hotel owner in Wailea says that an accounting firm made a property tax error that resulted in significant fines. The accountants’ professional liability insurance could help pay for the financial damages and, if the hotelier sued, for attorney fees, court costs and settlements.