Many business owners feel business insurance is an expense they cannot afford, or is a luxury for more established businesses. Although it is true business insurance can be expensive, it is an expense every business, regardless of the industry, size or length of time in existence, needs to include in its budget.
Even if you have a successful business, disaster could strike at any moment and force you to shut your doors. Companies typically carry insurance to mitigate the risk of unforeseen damage. Although it might seem tempting to cut costs by forgoing insurance, business experts like the Small Business Administration (SBA) highly recommend maintaining a business insurance policy.
You need business insurance to cover acts of God and general liability, such as malpractice. A patient, for example, might sue a doctor's practice if the nurse accidentally gives him the wrong medication. If you have a business in a flood zone, a flood could destroy your business property and allow competition to move into your market while you rebldg.
Business insurance protects a business from closing due to a catastrophic loss. Fires, floods, hurricanes and tornadoes have been the end of many businesses in Texas, as elsewhere. When a company carries insurance against these types of losses, closure and loss are only temporary instead of permanent. Companies should always consider business interruption insurance, a rider on their business insurance policy, to ensure continued cash flow for the duration of a closure due to a natural disaster.
Take a step towards bldging a stronger assured and ensured organization with Mascon Global. For more information contact us.