Did you know 75 percent of all US businesses are underinsured? Essentially, one in four businesses could possibly go under if hit with any type of liability, natural disaster, interruption, or other disruption. Furthermore, 40 percent of small businesses have no insurance at all. The catastrophic damage that would be done to not only their business, their assets and their employees’ welfare could be life-altering.
Many small business owners say they can’t afford business insurance but when looking at the chances of risks, can they afford not to? More than a third of small business owners in 2016 experienced some sort of event that led to a business insurance claim. In the absence of business insurance, the owners and assets of the company would be at risk.
Business insurance is based on your industry, size of company, number of employees, risk and more. And, it might be less than you think. For small companies, monthly premiums for business insurance in Defiance, Maumee, Montpelier, Napoleon, Perrysburg and Sylvania may be less than you pay for lunch every month!
Let’s look at a business that might feel they don’t need business insurance. A small business owner such as a shoe cobbler may not have a lot of inventory as far as materials, just ordering as needed. He only has a few part-time employees and his lease offers some very basic protection against fires, storms and natural disasters. Now let’s look at the risks.
- One of his customers experiences a problem with his work when the heel breaks off their shoe. They trip resulting in an injury and sue the cobbler for faulty work.
- An employee is caught stealing credit cards damaging multiple customers’ credit ratings.
- A dissatisfied customer decides to post multiple bad reviews on internet rating sites damaging the company’s reputation and business.
- The cobbler or someone in his family experiences a long-lasting illness causing a disruption in business.
Even businesses that feel they are completely safe can benefit from simple business insurance coverage.
Any service companies can benefit from business insurance even if they are not handling products. Consulting companies can be sued for the advice or direction they give. Accounting firms can be sued for their tax preparation. Or, for a breach in their cyber security.
We can’t name all the types of industries that should carry business insurance because every industry needs it! Whether this is the first time you are looking into business insurance or would like a review of your policy, Beck Insurance has helped businesses throughout Northwest Ohio, Michigan and Indiana with comprehensive business insurance for over 70 years.