Operating a small business in a large city like Calgary is difficult. Aside from managing your business, you also have to secure your business assets from possible risk.
Business insurance protects companies from losses that may arise during the usual course of business.
You can assess your business insurance requirements based on prospective risks, which might vary depending on the environment in which you operate.
With the wide variety of insurance plans available, choosing which business insurance plan in Calgary to invest in is daunting.
Here is the list of business insurance plans you need to invest in.
Property and Liability Insurance
Property insurance for commercial inventory often covers furniture, fixtures, inventory, office equipment, and other materials held at your location or off-site.
You can ensure those products for replacement cost or actual cash value, compensating for the property’s depreciated value.
Replacement cost plans have higher premiums, but they can help your business recover from a loss faster since you can replace all lost or damaged goods with new ones.
If you lease part of your business equipment, the leasing company may require you to insure it at replacement value.
On the other hand, liability insurance is intended to safeguard a company from reparations even if they are careless or accountable for injury, damage, or loss to another person’s property, health, and reputation.
When a claim is brought against a business, the insurance company often pays the damages, legal defense expenses, and settlement payments.
Liability coverage includes bodily injury. It compensates the injured person or company for the cost of treatment, loss of services, and restitution for death due to an injury.
Property damage is also covered in liability coverage. If your business damages someone else’s property, property damage coverage can compensate for the value of the physical damage to the property or the loss of use of that property.
Commercial Auto Insurance
Commercial auto insurance is a policy that provides physical damage and liability protection for amounts, situations, and uses that are not covered by a personal auto insurance policy.
This commercial vehicle insurance covers many commercial vehicles, from automobiles used for business, such as corporate cars, to commercial trucks, and cars.
Box trucks, food trucks, labor vans, and service utility trucks are just a few examples of large commercial vehicles that will need a commercial auto insurance policy, including coverage for the people driving the car and the equipment inside.
Professional Liability Insurance
If you’re a Calgary-based professional who provides a service or advice, you can be sued at any time by a customer who believes you made a mistake.
Even if you are innocent, you will be liable for the cost of defending yourself against these allegations.
Commercial general liability insurance coverage does not cover financial loss claims resulting from advice or services provided in your profession. Thus, it is essential to have professional liability insurance.
Professional liability insurance safeguards you against claims arising from services or advice you supply to a customer.
Typically, a customer sues because of financial damage from a perceived misrepresentation made by your advice.
Professional liability insurance covers your legal fees, including your defense, and any judgments or settlements for covered claims up to the policy amount.
You can get professional liability insurance to protect your personal and business assets. However, even if you are innocent, you still need to pay for your court defense.