A quick overview of business insurance
The basics
Although it may seem overwhelming, there are basically three
types of protection: property, general liability, and workers
compensation insurance.
Property insurance protects against physical damage or
loss in the case of theft or other catastrophes.
General liability insurance is a form of insurance
designed to protect owners and operators of businesses from a wide
variety of liability exposures. These exposures could include
liability for accidents that occur on the employer's premises, for
products sold by the insured, or a dissatisfaction with work
completed by the insured.
Liability insurance often comes in the form of a Commercial
General Liability policy, also known as a CGL.
There are also specialized forms of liability insurance. For
example, Workers' Compensation is form of liability insurance
that protects a firm against claims from job-related injuries or
illnesses.
Often businesses can bundle property and liability insurance
needs into a Business Owners Package
Policy, also known as a BOP. (Workers' compensation,
however, is typically a separate purchase.)
