How to Choose the Right Insurance Coverage for Your Business Size

How to Choose the Right Insurance Coverage for Your Business Size

If you run a business, then it doesn't matter how big or small your business is - you need to purchase business insurance. It may not be required by law, but it would be foolish not to. Business insurance can help to protect your company against all kinds of financial disasters, from storm damage to theft to liability and more.

Business insurance planning checklist for risk management

Source: iStock.com/vinnstock

However, when you're probably asking yourself, "what is the best insurance coverage for my business?" one of the things you'll need to consider your business size.

  • Home-based business - Just because you don't have any employees and are operating your business from home doesn't mean you don't need insurance. Homeowners insurance will not cover your home-based company against business property loss or liability.
  • Small business - Insurers usually consider companies with less than 50 employees small businesses. You can get a BOP (Business Owners Policy) if you have less than 100 employees and revenues of $5 million or less. These policies protect against the most common risks.
  • Mid-sized business - If your company has between 50 and 1,000 employees and boasts annual revenues between $10 million and $1 billion, you can buy a mid-sized business policy. Insurers have specific policies for these types of businesses that combine property and liability coverage.
  • Large business - Large companies have at least 500 employees. Insurers typically provide policies that cover specific needs for larger companies.

If you are wondering, "what is the best insurance coverage for my business?" then contact us at CCW Insurance today.

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