Simply being small doesn’t necessarily protect a business from risk. In fact, many small businesses in Massachusetts face substantial risks that they need protection from. That’s why insurance companies offer small business insurance.
Small business insurance encompasses many different insurance policies that may help small businesses. The term itself isn’t technical jargon as much as it’s a catch-all for almost any type of policy that a small business could want.
The majority of small businesses in Massachusetts can benefit from having at least some insurance in place. Few small businesses are completely free from risk, and most are exposed to perils that could prove financially devastating. In some cases, even a single incident could bankrupt a small business.
Furthermore, small businesses generally need insurance regardless of what their legal structure is. Sole proprietors, limited liability corporations, limited liability partnerships, S corporations, C corporations and B corporations can usually all benefit from having coverage.
Although most small businesses need insurance, their insurance needs are hardly uniform. In order to meet businesses’ varying coverage requirements, insurance companies offer many different types of policies for small businesses. Some of the more common ones are:
Many insurers package coverages like these into industry-specific policies. For example, businesses might find insurers offering:
All of these are just a small sampling of the many coverages and policies that are available to small business.
A business owners policy (BOP) is a common package policy that’s designed to meet the general coverage needs of small businesses. These policies frequently combine several coverages, such as commercial property coverage, commercial auto coverage and general liability coverage, together. In doing so, the policies tend to offer foundational protection that many small businesses need.
Because they offer such foundational protections, BOPs make sense for many small businesses. Businesses with unique insurance needs, however, might need more nuanced coverages that these policies provide. Any business with unique insurance needs should consult an insurance agent who specializes in helping small businesses. A specialized agent will know what policy options are available and how best to insure a particular business.
For help insuring your small business, contact the independent insurance agents at Charles River Insurance. Our team has helped many small business owners in Massachusetts find coverage for their entities, and we’re here to assist you as well. Because our agents are independent, they can help you find the best small business insurance policy regardless of what insurance company offers it. Of course, they also have the expertise necessary to identify the best policy option.