Choosing the Right Insurance for Your Business in Canada
As none of us can predict the future, investing in business insurance is the safest way to protect your business from potential threats. Deciding what kind of insurance is right for you can be challenging and confusing as there are many types of insurance coverages that can benefit your business in different ways. Should you consider, Errors and Omissions Insurance or Directors and Officers Insurance or will General Liability be sufficient?
A helpful tip for mapping out your insurance policy is making note of things your business needs in order to run efficiently. If your business can’t run without something, ensure that it’s factored into your insurance policy – so that you can afford to fix or replace it if necessary. There are key factors used to determine what kind of insurance will work best for you, depending on your type of business:
General Liability Insurance
General liability covers physical risks, such as bodily injuries and property damages. This type of insurance protects from third party claims (customers, delivery people, other non-employees) such as property damage to another person’s belongings, or injuries from someone getting hurt from your business. General liability insurance can also protect against advertising errors creating a lawsuit for copyright infringement. Many contractors and businesses benefit from general liability insurance.
Errors and Omissions Insurance
Media Professional Liability Insurance, sometimes called Media Liability Insurance or Errors and Omissions Insurance, is a specific kind of insurance that safeguards businesses in the media and advertising field from legal claims brought forth by other parties. This insurance addresses claims concerning carelessness, errors, or missteps made by media professionals, which can lead to financial losses, damaged reputations, or other negative impacts on clients. Its purpose is to shield businesses involved in creating or distributing content, like publishers, broadcasters, ad agencies, writers, entertainment firms, and other media-related companies.
Commercial Property Insurance
Commercial Property insurance can protect any business with physical assets in the event of fire, flood, theft, or other damages or loss. Protecting the assets in a commercial space with insurance coverage will allow for an easier financial recovery time and to replace key components for business function.
Commercial Auto Insurance
Businesses that are regularly transporting people or products are covered from claims by drivers, property owners or other third-party individuals with the help of commercial auto insurance. It covers injuries or property damage that is caused by a business vehicle and can assist in providing coverage outside the physical commercial property.
Directors and Officers Insurance (D&O)
Providing a safety net for the board or executives who may be misusing funds, failing to remain diligent, loyal, and obedient, and protecting them from employees or regulators can be done through Directors and Officers Insurance. Failure to meet duties can expose the board or executives to potential claims which can then end up becoming a financial drain. Securing a plan to avoid future financial disputes can be a lifesaver.
There are many types of insurance for businesses which can lead to owners over-insuring a business (a financial burden) or under-insuring (creating risk for potential claims made outside of the policy). It’s important to create a policy that suits your business needs; meet with our team at All-Risks Insurance Brokers Danforth to get started on a business insurance quote today to protect what matters most.