Business Insurance

The Truth About Business Insurance: Do You Really Need It & Why?

Every business owner wants to ensure that day-to-day operations remain progressive and functioning. But what happens when an unexpected situation disrupts the order of your workflow? If your company has adequate business insurance coverages, you’re ready.

At Lee Insurance Agency, we offer a wide range of business insurance options to cover your small- to mid-sized company. After evaluating your industry and your individual needs, we create a customized insurance plan to suit your business. Accidents can happen to any business, but our liability coverages reduce harm as much as possible.

What is Business Insurance?

Business insurance, or commercial insurance, is a safety net that protects your business when unforeseen circumstances create setbacks. The more risks a company incurs, the larger the net will need to be. Setbacks vary based on the industry, but a few examples might include:

  • Stolen or damaged merchandise
  • Lawsuits
  • Property damage
  • Accidents or bodily injury

Unforeseen hazards are a part of life, meaning every business is vulnerable. Business insurance considers all potential mishaps and applies them to their designated liability coverage. Commercial insurance aims to provide security and protection for a company.

What Does it Cover?

Business insurance covers a variety of situations that may potentially jeopardize your company. To assess risk factors, ask yourself, “what unexpected situations could hinder my business’s production?” Certain setbacks could include:

  • Retail stores facing theft or shoplifting
  • Farms struggling during harvest season
  • Kitchen appliance issues in a restaurant
  • Software complications or hacks at an auto sales shop
  • A builder injury onsite

Whether through physical, financial, or reputable damage, any business is susceptible to hardships. The right business insurance policies guard assets that may potentially strain a company.

How Much Does Business Insurance Cost?

The cost of your business insurance will depend on the risks covered. If your company has a high potential for risk, you may require more liability coverage. However, insurance premiums will always cost significantly less than paying for accidents out of pocket.

It is always good to have business insurance coverage that protects more than you can pay out of pocket. The cost of business insurance depends on factors such as:

  • Your credit score
  • The type of business
  • Number of employees
  • Location of business (zip code)

After establishing the right insurance for your business, you’ll want to be sure you maintain your coverage on an annual basis. Insurance maintenance is an excellent way to cut down on costs related to risks and insurance. Examples of insurance maintenance include:

  • Covering big-ticket items that are essential to your businesses growth
  • Reassessing the needs of your business and evolving risk factors
  • Comparing previous years to reduce future risks

What Kind of Coverage Will I Need?

Once you have established the risks associated with your industry, you can think about what you want from your business insurance. Business insurance coverage options vary depending on the company to fit the needs of every industry.

Some liability coverages protect a business from the most commonly experienced accidents. These are essential, as they guard against the most likely risks that could impact your business operations. Some of these insurance options include:

Property Coverage

Property coverage insures the structural portion of your business. Brick and mortar shops, offices, and on-property storage units are covered should they be damaged due to weather or machine-related accidents.

General Liability Protection

General liability protection is the most common insurance coverage that protects your small business from regularly occurring risks, including

  • Injuries onsite
  • Libel and slander
  • Legal expenses

Professional Liability Coverage

This coverage is more specific to businesses that provide services for their customers, where negligence could result in a lawsuit. Examples of this include:

  • Liquor store selling to an underage person
  • Bank handling incorrect amounts of money
  • Software engineer making a technical mistake

Worker’s Compensation

This type of coverage protects your business if one of your workers sustains an injury on the job site. Worker’s compensation covers medical expenses and court costs should there be legal ramifications.

Lee Insurance Agency provides a commercial umbrella coverage option to cover all the essential areas that have the potential for peril. Our commercial umbrella coverage expands on general liability for a more in-depth range of risk protection.

In addition to our umbrella coverage, we offer a wide range of business insurance coverages to target your specific industry. A few of our industry-specific plans include:

  • Commercial auto
  • Restaurant and tavern
  • Daycare
  • Church
  • Funeral home

Is Business Insurance Really Worth It?

Business insurance allows you to run your company without the worry and hassle associated with everyday risks. The investment put into a business insurance policy saves your time, money, and stress, and protects against liability.

All business is risky business. In this day and age, it’s not difficult to destroy a business on little to no basis. So when deciding whether or not business insurance is worth it, ask yourself, “is my business worth it?’ If your answer is yes, business insurance is worth it.

Lee Insurance Agency has provided Texas with quality liability coverages for 70+ years. No matter your industry, one of our insurance coverages will secure your needs. Basic plans are perfect for companies that are just starting out or are still trying to figure out their needs. Small business insurance policy bundles are created and modified to ensure ultimate security.

We are members of the Independent Insurance Agents of Texas and are associated with other insurance organizations. Since 1952, we have been the insurance provider that Texan business owners can trust. Our licensed team members get to know and care for your business while crafting a comprehensive and personalized policy portfolio.
Safeguard your business assets with reliable assurance by calling (281) 812-8400 today!

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