7 Reasons Why Your Company Needs Commercial Insurance

Lizzie Weakley

November 24, 2014

	Not rated
	Rate:

Commercial insurance is one of the most important things that you can secure for your business. Not only is this a legal requirement in many areas and industries, but it is also the surest way to safeguard your financial health. Following are seven reasons why your company needs commercial insurance.

1. Commercial insurance makes companies more marketable

According to Anthony Clark Insurance Ltd., whether you sell your services to private consumers or are heavily reliant upon good business to business relationships, having the right policies in place could be essential for closing deals. Many buyers are reticent to work with companies that have not bound adequate coverage. With the right protections, you could be asked to bid for more jobs and will likely see a considerable improvement in your bottom line.

2. Frivolous Lawsuits

Commercial insurance protects companies against frivolous lawsuits. These are claims that can be made irrespective of how careful you are to maintain safe working conditions and safe work practices.

3. Maintaining Professional Licensing

Many industries require companies to have professional licenses in order to provide their services. Some of the issuing bodies for these licenses are diligent in their efforts to ensure that businesses always have general and professional liability insurance in place. Thus, coverage could be necessary for maintaining your status as a legitimate operation.

4. Legitimate Claims

Accidents and errors can and do occur. There is a lot that your company can do to prevent these things and to minimize the damages that they cause, however, the provision of professional services will likely result in legal claims at some point in time. This means that coverage is necessary for guarding yourself against the inevitable.

5. Trained Talent

Your trained talent is among your most valuable assets. When key employees are lost, this can cause significant financial harm. Key person insurance can help you deal with the loss of a valuable employee with minimal impact to your bottom line.

6. Business Interruptions

Natural and catastrophic events that lie outside of your control could cause your business to come to a grinding halt. Unfortunately, however, many of your expenses will continue rolling in. Comprehensive commercial coverage will give you the money that you need to weather these unexpected storms successfully.

7. Maintaining Your Commercial Fleet

Good coverage will give you bumper to bumper protection for all your commercial vehicles. Moreover, these plans will protect all of the costly equipment that is stored inside of your company cars and trucks so that vandalism and theft do not leave you struggling to get back on track.

Having the right forms of coverage can protect you from many different types of loss. It will also help you establish a more trustworthy and appealing commercial image. With commercial insurance, you can close more deals, offer better protection to your customers and safeguard your finances.