Business Insurance Business insurance is a smart way to protect your business. A financial disaster could ruin a business. The proper insurance can provide help to keep a business afloat. In some cases, a business might be required by law to have insurance. A business owner purchases a business policy through an insurance company. Just like with traditional insurance, this coverage provides financial support to a policyholder. In this case, the policyholder is technically a business. When the business suffers a loss and files a claim, then the insurance company pays for the loss. However, the loss is only covered up to the limits defined in the policy. Business coverage helps with losses such as property damage, liability and theft. It’s important for a business to get coverage that fits their business. For instance, a doctor’s practice would need malpractice insurance. Speak with a lawyer or insurance agent to discuss what’s best for your business. Options Liability – Liability covers a business when claims or lawsuits are filed against a business. Property – Property insurance covers physical assets. This could include loss from fire, theft or natural disasters. Physical assets of the business could include inventory, buildings, computers, equipment or furnishings. Workers’ Compensation – This is required in some states, and it covers medical costs and lost wages for employees injured on the job. Commercial Auto Insurance – This is auto coverage for businesses that use vehicles in the operation of the business. Benefit Having business insurance is a good idea for any business. It’s often required by law, and can help keep a business afloat.