No matter your company size, your people are your most important asset. They’re the backbone of your business. That’s why one of the most important aspects of running your business is keeping your employees happy.
While fire policies have inbuilt covers for many risks like flood, malicious damages etc., one still need the coverage for earthquakes or terrorism to be added. Depending on the type of business, a fire policy should be extended to cover associated losses which may result from the main peril.
Leased office interiors and furniture damage is a tenant’s risk when the rental provides only for normal wear and tear.Insuring buildings and contents at acquisition cost often leads to an under insurance. One may miss insuring the cables and internal roads, exposing them to uninsured losses.
Assets like servers, laptops, routers and storage devices require specialised insurance. These assets can be insured for short circuit, voltage fluctuations and breakdowns apart from fire and burglary. Laptops can be covered for the risk of theft or physical damage occurring outside the office.
Burglary does not cover the risk of a missing asset taken away from office by an outsider without evident housebreaking. Unless specifically bought a rioting loot is not covered. An Employee theft cannot be covered by theft insurance. Leave to professionals to buy the right cover.
A fire or flood damage to your office will also disrupt business continuity leading to revenue losses over months. While your business stalls, fixed expenses like rent, loan interest and salaries do not. A business interruption cover protects your fixed costs to keep your business running.
Detecting an employee fraud is difficult and losses are large. Losses from fraudulent wire transfers or bill payments can be recovered through a fidelity cover. Money insurance is taken to recover loss of “monies” stolen from office or looted from your employees outside the office.
Do you operate a business from a home office? If so, does your business require furniture and equipment? If these items were destroyed by a fire, how much would it cost to replace them? Would your homeowners’ policy cover this cost? If a client or business associate was injured on your property and filed a claim against you, would your homeowners’ policy cover the claim?
Many business owners who work from a home office assume that their homeowner's policy will protect them against any property or liability losses that might occur. This assumption is incorrect. A typical homeowners policy contains a number of business-related exclusions or limitations.
Many homeowners insurers offer endorsements that expand the scope of coverage provided for business property.This endorsement extends the policy to cover a business owned by the policyholder if the business meets certain requirements. For details on how to expand your policy, consult Our insurance advisors.
Before buying insurance for your home office, you should assess your risks. First, take an inventory of all the property you use in your business, including computers and software. Next, you'll need to determine the replacement cost of your business property. You can check the prices of new furnishings and equipment at your local office supply store.
If you’re renting office space for your company, having your own business insurance policy is a must. Even though the property owner or landlord is responsible for having insurance on the physical building, business insurance helps protect belongings and mishaps that are your responsibility.
Office Insurance is an issue every business owner needs to consider. Insurance is especially important to the small business owner because of the often close relationship between business and personal assets.
An uninsured personal loss suffered by a small business owner can have a crippling effect on the business. How can personal losses affect a business? A solely owned, unincorporated business has no legal existence apart from its owner. Consequently, a large uninsured loss suffered by the owner can devastate the business. A business owner may be forced to sell business assets — or the business itself — to extinguish his or her debt.
If you are like many people who run a small business, you do so by way of the "single pocketbook," that is, as a sole proprietorship. Even though, hopefully, you keep separate records related to the business, as far as the law goes you and your business are one being. If an auto accident, an accident at home, or another unforeseen event causes a big economic loss to you personally (rather than to your business), your ability to profitably run your business may be in doubt, even if the cause of the loss had nothing to do with the business itself.
First, the loss may cut business profits, or make it necessary for the owner to pour more money into the business to keep it afloat.Second, the owner may have legal liability to others to pay for the business's loss. The extent to which a business owner can be held financially responsible for debts and legal judgments of his or her business depends on several things, including the legal form in which the business owner owns and operates the business.
Even if you have taken steps to make your business a separate "person" in the eyes of the law, by creating a corporation or LLC, your personal economic losses may be detrimental to your business.
You fail to respect the corporate structure by actions such as treating corporate property or money as your own personal property.Your corporation is under capitalized. That is, the corporation does not have anything near the amount of assets that it may need to meet liabilities.You voluntarily waive limited liability (such as by agreeing to guarantee, as an individual, the debts of your corporation).