The Importance of Having Business Insurance

When it comes to insurance, every small business has individual needs. Events and items to be covered for a restaurant, for instance, will be significantly different than those that a salon or a home office needs. There are, however, broad areas of coverage that apply to all types of businesses. The important thing is to make sure you have insured every aspect of your business that you need to. To demonstrate the number of important aspects business insurance covers, here is a list that will help you be aware of what may need covered.

Events to be covered:

• Flooding
• Fire
• Windstorm (often requires additional policy in hurricane areas)
• Hail
• Lightning
• Earthquake (almost always requires additional coverage)
• Damage caused by aircraft
• Explosions (origins internal or external to business property)
• Arson
• Theft (by employee or non-employee, may require additional policy)
• Check fraud (by employee or non-employee, may require additional policy)
• Embezzlement (may require additional policy because of difficulty of proof)
• Death or disability of key employee or partner (often called "Key Man" insurance)
• Civil Authority losses, such as closure of airports and train stations in emergencies
• Errors and Omissions ("E & O"--often requires additional coverage)
• Property damage, bodily injury, or death caused by employees while on- or off-premises
• Vandalism
• Mudslide
• Sinkholes
• Roof collapse or damage
• Foundation collapse or damage
• Broken glass or damaged buildings and structures caused by riots, war, or terrorism (may now require separate coverage for terrorism)
• Termite/insect/vermin damage
• Mold/fungus damage

Items to be covered:

• Buildings, roofing, internal walls, foundations, attached structures
• External structures, fences, signs, improved roads, bridges, etc.
• Carpeting, furniture, drapes, decorations, etc.
• Office equipment owned and leased (often requires additional coverage for expensive computer systems, phone systems, etc. Check to make sure that damage by lightning and power fluctuations is covered.)
• Security systems (Yes, these can be damaged too, or even stolen.)
• Communication equipment other than telephones, including two-way radio systems and satellite dishes
• Vehicles, machinery, spare parts for machinery, maintenance supplies
• Furnaces, air-conditioning equipment, ductwork, boilers (boilers often require additional policies)
• On-site and off-site stored records
• Cash on hand, bonds, and stocks
• Business inventory (on display or in storage)
• Intellectual property such as trademarks and copyrights (usually requires additional policies)

Also to be included, of course, are loss of income and loss of use caused by any of the events listed above.

All Franchise Insurance (http://allfranchiseinsurance.com/cosmetologyquote.html) offers competitive pricing and fast quotes on salon insurance. Billings Farnsworth is a freelance writer.