Startup Guide: Business Insurance 1 year ago

Even as a startup, insuring a business is important because unanticipated events might occur at any time. Like any other type of insurance, business insurance can help cover damages you would otherwise have to pay. 

 

Having your business ensured allows you to focus on expanding your business and achieving your goals by having the confidence of knowing that your company is covered.

 

What is Business Insurance? 

In the event of natural disasters, data breaches, client injuries, and other similar business problems, having business insurance can help a company survive. It can come in handy for potential losses caused by risks encountered during regular business operations.

 

Reasons why you should get Business Insurance?

1. Protect your Employee

In case one of your employees becomes ill or injured at work, there are business insurance policies that will cover expenses like medical expenses, lost earnings, etc.

 

2. Protect Customers

If a customer slips, fractures their leg, and requires medical attention, some insurance can help cover a customer's hospital expenses.

 

3. Protect Assets

Business insurance can help protect your properties and other assets in case of natural disasters, data breaches, and other unforeseen problems.

 

What is HMO?

Health Maintenance Organization (HMO) is the most common kind of medical insurance, and it offers healthcare services through its nationwide network of accredited hospitals, clinics, and physicians. Companies looking to provide healthcare for their employees can use the HMO's services–Making it convenient for employees to access healthcare services.

 

Types of Business Insurance

There are various types of business insurance depending on businesses' needs, and each has particular advantages. 

  • Property Insurance - This can be ideal for small businesses like those with fifty (50) or fewer employees because It is intended to offer sufficient protection in the event that operations must be suspended or scaled back as a result of damage to property caused by natural disasters like flood, fire, and unfortunate events. 
  • Public Liability Insurance - In case your company faces lawsuits filed by third parties. Liability insurance can help cover the costs of defending yourself in court and paying any damages resulting from negligent business practices.
  • Workers' Compensation Insurance - In a workplace accident affecting your employees' physical or mental health, workers' compensation insurance pays for employees' medical and health expenses. This ensures that the injured party will be compensated rightfully. 
  • Data Breach or Cyber Liability Insurance - As technology develops, hackers' skills become more creative, resulting in several cyber-attacks. It may compromise your data security system and even lead to a lengthy lawsuit. This type of insurance can help your business cover various expenses and prepare for unforeseen cyber-attacks. 
  • General Liability Insurance - It is a little more comprehensive than other types of business insurance–This can help protect your business against typical hazards, including slips and falls, advertising liability, workplace accidents, etc. City Hall Local Government Unit often requires this.

 

How to Make A Claim?

Although different insurance companies will have their own procedures, there are some standard measures when filing a claim. 

 

As soon as you decide that you need to file a claim, contact your insurance agent and give them a detailed description of the situation, along with copies of the incident report and any other relevant paperwork.

 

Generally, here are the common requirements you need to submit to your insurance provider:

  • Written report/affidavit of accident 

  • Medical report/certificate

  • Doctor's prescription

  • Death certificate

  • Security report

  • Photos/proofs of the damaged property

  • Estimate of repair/replacement

  • Supporting documents (invoices/receipts)


 

When getting insurance for your business, it is advisable to always do your due diligence, especially when choosing your insurance provider and deciding your type of insurance.


When making a claim, especially if you need legal assistance, you should always consult a lawyer who can walk you through the processes you have to take.

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