Don't Risk it. Be Your Own Superhero.
Over the last several years we have seen Denver, Colorado turn into a hub of innovation. New businesses pop up every day, and in pretty much every industry. The very last thing…and we mean THE VERY LAST THING a new business owner wants to think about is…drumroll for the dreaded words…business insurance coverage.
We get it. Starting a new business is not for the weak-spirited. It requires a lot of overhead, and well, it’s just plain scary.
You’re taking a huge risk, but why leave your business at risk?
As first said by Voltaire and most famously said by Peter Parker’s Uncle Ben in “Spiderman” (Come on, we know you didn’t know Voltaire said it first) “With great power comes great responsibility.” The more traction your business gains, the more at risk it becomes. It’s your responsibility to make sure your business is protected from life’s obstacles and unknowns.
Don’t worry. We’re here to help.
Here are some of the basic insurance coverages every start-up needs.
1. START WITH GENERAL LIABILITY. Whether you own a sole proprietorship or run a multinational business, general liability insurance is crucial to protecting your business. From someone slipping and falling in your parking lot to injuries resulting from using your product, your general liability policy covers expenses related to out-of-court settlements, litigation, and court judgments.
“75 percent of small businesses are underinsured, and 40 percent of small business owners have no insurance at all. In fact, one out of three small businesses have been sued or threatened with a lawsuit.”
2. If you are renting a work space or are lucky enough to own a building, BUSINESS PROPERTY INSURANCE is a must. If something should happen to the building or your desktops, laptops, printers, software, etc. inside of your work space, your business property policy will take care of the costs.
3. WORKERS COMPENSATION. Even if you only have ONE EMPLOYEE workers compensation insurance is required by law. If something should happen and you do not have a workers comp policy in place, both you and your business could be in serious danger. If you do not have a workers compensation policy and your employee gets hurt, it will be YOU, as the owner of the business, that is responsible for covering your employee’s medical bills and other costs associated with the injury.
4. If you specialize in any type of profession where a specific service is provided to your client, say you work in IT or own a tech start-up, PROFESSIONAL LIABILITY (ALSO CALLED ERRORS & OMISSIONS INSURANCE) is a must. If you are sued for a mistake, misunderstanding or glitch in your product, professional liability insurance will cover the costs.
It’s important to note that depending on the type of business you own; specific coverages may be necessary to protect your business. Be sure to be open and honest about what exactly your business does when speaking to your insurance advisor about your coverage needs.
Don’t let your business fall prey to life’s unknowns. In the words of Peter Parker’s Aunt May, “You’re not Superman you know.”
Your friendly neighborhood Spiderman