Small Business Insurance Primer by monkey6


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									Small Business Insurance Primer
Adapted from content excerpted from the American Express® OPEN Small Business Network

It can be difficult to determine which kind of insurance you need for your small business. Different types of insurance
have confusingly similar names; your state, town, or county may have its own insurance requirements; and many
industries have coverage specific to them.

Insurance is one of the most neglected small business responsibilities. Not having the appropriate insurance for your
small business is a mistake because a disaster can shut down your company permanently, or at least wreak havoc on
your assets.

The Insurance Information Institute (III) in New York City estimates that about 40 percent of small business owners
have no insurance at all, because many falsely believe they can't afford coverage. The truth is a small business can't
afford not to have adequate insurance. Without insurance, you're unnecessarily putting your livelihood at risk. That's
also why many landlords, suppliers, and other entities you work with will probably require you to have coverage.

If you're having difficulty determining which kind of insurance your business should have, you might want to check
with the following agencies:

         The county or city clerk
         A local chapter of your industry association
         The state insurance office

Below are some of the different types of insurance small businesses use. Click on the type of insurance to get a more
detailed description.

Insurance for Your Business

         Business Owner's Policy
         General Liability Insurance
         Property Insurance
         Professional Liability (Errors & Omissions) Insurance
         Commercial Automobile Insurance
         Umbrella Insurance
         Business Income/Extra Expense Insurance
         Product Liability Insurance
         Extra Equipment Insurance
         Specialized Equipment Insurance

Insurance for You and Your Employees

         Health Insurance
         Disability Insurance
         Life Insurance
         Keyman Insurance
         Workers' Compensation Insurance

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