The Different Types of Coverage for Your Business

Your business faces consistent and constant risks and exposures, and failing to account for them with adequate loss control measures could have dire ramifications.

Fortunately, many types of insurance can be valuable commodities, allowing your company to pursue innovation and grow toward its goals while maintaining financial security and peace of mind.

Still, while business insurance should be a top priority for companies regardless of size, industry or unique characteristics, these policies can also be nuanced and complicated.

With this in mind, the team at Licona Insurance Group proudly offers comprehensive guidance on the various types of coverage your business may need to consider.

Essential Types of Business Insurance

When assembling an adequate business insurance package in accordance with your company’s needs, several types of policies may be advisable investments.

While policyholders’ exact coverage needs are typically unique, the importance of the financial protections in the following types of insurance may transcend industry lines and specific circumstances:

• Commercial property insurance—Even in the digital age, most companies rely on tangible assets at some level. Structures, equipment, tools, electronics, inventory and furniture can all be instrumental in your business’s daily operations. To that end, this type of insurance can ensure you’re able to repair, restore or replace physical property following covered incidents.

• General liability insurance—This versatile type of insurance casts a multifaceted financial safety net across incidents that may impact other parties. If your company or employees are at fault for an incident in which someone else is harmed, experiences property damage or is affected by personal injuries or reputational harm, a general liability policy can limit out-of-pocket losses.

• Errors and omissions insurance—Another common type of liability insurance, this coverage can limit losses if a client or customer sues your business for allegedly making a professional error or oversight. Also known as professional liability insurance, these policies may assist with legal expenses, settlements and judgments arising from such lawsuits.

• Business interruption insurance—If a covered incident disrupts your business’s normal operations, it could have dire repercussions for your financial standing. Fortunately, this type of policy, also known as business income insurance, can help pay for ongoing expenses and financial losses, such as payroll and lost revenue.

• Workers’ compensation insurance—This type of insurance can ensure your employees can get the care and resources they need following work-related injuries or illnesses. Coverage is often required by law to ensure workers can access medical care, disability benefits and wage replacement.

In addition to the aforementioned types of insurance, your business should identify any additional coverage needs. For example, if you use motor vehicles, you are likely required to carry commercial auto insurance.

Similarly, those who work with sensitive data (e.g., health records, social security numbers and banking information) should prioritize cyber liability insurance.

We’re Here to Help

At Licona Insurance Group, we have served businesses in El Paso, Texas, and throughout the Lone Star State for over 50 years. Contact us today to learn more about your coverage options.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.