Small Business Insurance Misconceptions

Small Business Insurance Misconceptions

If you own a small business, hopefully you agree that you can’t afford to operate without a Central Florida Small Business Insurance policy. The question you should ask yourself isn’t, “Will I ever make a claim on my policy?” The more accurate question is, “I wonder what problems I’ll encounter that necessitate an insurance claim?”

While you probably understand that insurance is necessary, before you decide on coverage, be aware of the following small business insurance misconceptions so you don’t pursue inadequate coverage. Buying anything (insurance included) is technically optional. If you want to fully protect yourself and your business, though, don’t believe the following myths.

Errors & Omissions (E&O) Insurance is Optional

You can be held liable for anything that has a negative affect on your customers, whether you are really at fault or a customer believes you are at fault. If you provide advice that doesn’t pan out, you can be sued. Many lawsuits are frivolous, but you still have to defend yourself and that costs money. E&O insurance pays the legal fees you’ll incur.

Business Auto Insurance is Optional if You Drive Your Personal Vehicle

Many business owners learn the hard way that this assumption isn’t accurate. If you take time to read your personal vehicle insurance policy, odds are good that you’ll see a clause excluding coverage for that vehicle when it’s used for business.

Property Insurance is Optional if You Work from Your Client’s Site

Some of your clients may have policies that protect you as a contractor for physical damages at their site. Others won’t have this protection. If you operate a handyman business and you do something that causes a flood or fire in a client’s home, you will be glad you have property insurance to cover the costs of the damages.

There are so many insurance products available that it’s understandable you’re not certain what exactly you need to protect your business. That’s where we come in. Call us today at Newman Crane & Associates Insurance, (407) 859-3691, and we will craft an insurance policy tailored specifically for your business.