Congratulations! Opening a new business is an exciting achievement, and you should be proud of your new venture. Before you open those doors, remember to take a deep breath and consider how to protect your business.
You want to be prepared for anything, and that’s why it’s important to evaluate what kind of commercial insurance is right for you. Here are some aspects of business insurance to consider when opening your business in Florida.
What is Commercial Insurance?
Commercial insurance provides you and your business with protection against the unexpected:
- Damages caused by natural disasters
- Property destruction
The costs associated with running a company can quickly become enough to run you out of business if you don’t plan accordingly.
Is Commercial Insurance Legally Required?
Workers’ compensation insurance is required both federally and by Florida law. This coverage (also known as “employer’s liability coverage”) provides for loss of income and, in some cases, medical reimbursement to employees injured on the job. This coverage protects you, the business owner, from lawsuits by the employee who may have been injured on the job. To find out what specific type of Workers’ Compensation may apply to your business, visit the Florida Division of Workers’ Compensation website.
If your business requires the operation of a vehicle, Florida law also requires you to acquire commercial auto insurance. This protects your business and employees when out on the road. You’ll also want to check with the city or county in which you set up shop for any additional insurance requirements.
Consequences for Not Having Commercial Insurance
If you operate your business without legally required coverage, you could face significant penalties, including fines and possibly even a felony criminal charge. Talk to your insurance agent to learn about the minimum requirements specific to your business is the best way to stay ahead of any potential liabilities for you and your business. Like any step taken when starting your business, finding the right insurance should be a process undertaken with focus and consideration.
What to Look For
Assess Your Risks
- What kinds of damage could your business face?
- Do you have a brick-and-mortar and need physical protection?
- Are you ready for national disasters?
- As much as we like to think we’ll avoid lawsuits, perhaps you’ll want a layer of protection against such things in your insurance plan.
Take time to consider prices and benefits, down to the fine print. Make a list of your options, and be ready to compare prices and benefits in detail.
Reassess Every Year
Your initial liability needs might fade after your first year or two. Therefore, depending on how much your business expands, you will want to discuss changes with your insurance agent and add or remove certain coverage. Set a time each year to take stock and update your plan.
Protect Your Commercial Business With Farm Bureau Insurance
Farm Bureau Insurance offers commercial insurance for small businesses like yours. To learn more about how we can help insure you, contact a local agent using our Agent Finder.