Did you know that almost 60% of businesses yearly experience severe property loss? We often insure our homes and cars but rarely consider insurance for our company.
The truth is business insurance can protect you from lawsuits, property damage, and other risks. It’s a vital part of company growth. Here’s why and how.
But before we jump to it, let’s define business insurance and assess why you need it for your organization.
What is Business Insurance, and Why is it Important for a business owner?
Simply put, business insurance protects businesses from losses due to events that may occur during the ordinary course of business.
There are various types of insurance for businesses. Some include coverage for property damage, legal liability, and employee-related risks.
Hence, business owners should evaluate their insurance needs based on potential risks, which vary depending on your company’s environment. Another way to explain this is that a manufacturing company will have different insurance needs than a software company.
Moreover, the risk could mean anything from a fire in the office to data loss or theft. And that’s not even counting the potential for liability lawsuits! And because accidents can happen no matter how careful you are, business insurance covers you.
Why is Business Insurance Important?
It is crucial because it can protect your business from unforeseen events that could otherwise destroy it.
A great example would be employers’ liability. Let’s take a hypothetical scenario where a restaurant worker slips and falls due to a slippery floor. The incident leads to severe injury for the employee.
Well, in such a case as an employer, the WIBA cover would step in and cater for the medical expenses and any temporary or permanent disability. WIBA is a faultless policy. However, the employee says that the accident happened because of negligence on the employer’s side. They say the employer did not provide the proper PPE (personal protective equipment), e.g., non-slip shoes.
In such situations, the restaurant could be held liable for the injuries the worker sustains. This is because the restaurant was responsible for creating and maintaining a safe work environment and failed to do so. As a result, the worker was injured.
Employers’ liability insurance protects the employer from being sued by employees who sustain injuries. It also protects the employer from financial strain that could result from adverse awards to the employee in a lawsuit. This type of insurance is vital because it can help protect the employer’s assets from damages outside the scope of WIBA.
Another benefit is that business insurance can help you keep your business running after a covered event by providing resources to help repair or replace damaged or stolen equipment per policy terms and conditions.
So, consider getting company insurance today and stay protected. With that covered, let’s highlight various business insurance products to help you understand how they would impact your business.
Types of Business Insurance Coverage Available
There are many types of business insurance coverage available, and the right mix of policies will vary depending on the specific needs of your organization. Some common types of business insurance coverage include;
- Property insurance: This type of insurance covers damage to or loss of your business’s physical property, including buildings, equipment, inventory, and furniture.
- Liability insurance: This type of insurance protects your business from claims of negligence or fault that result in injury to another person or damage to their property.
- Business interruption insurance: This type of insurance provides coverage for lost income and expenses incurred if your business is forced to close due to a covered event, Such as a fire or machinery breakdown.
- Employee benefits insurance: This type provides coverage for employee health and life insurance, disability insurance, and retirement benefits.
It’s best to consult an expert when evaluating your company’s business insurance package.
At Dawit Insurance, we provide personalized business insurance packages, like the SME combined policy insurance, to meet your company’s specific needs. Our agents will work with you to assess your needs and recommend the policies that best suit your business.
Below are some of the types of business insurance coverage we offer.
Business Insurance packages at Dawit for Business Persons in Kenya
Dawit Insurance Agency’s business insurance packages offer companies the best solutions for company owners. We have combined these packages to suit business needs.
- Comprehensive Insurance for Small and Medium-Sized Enterprises(SMEs)
- Public Liability Insurance
- Motor insurance
- Commercial Property Insurance
- Work Injury Benefits Act Insurance
- Ocean Marine Insurance
- Inland Marine Insurance
- Machinery Breakdown Insurance
There is no denying that business insurance is a vital part of running a successful company. With the right package, you will protect your business from unforeseen events and help you keep your doors open after a covered loss.
When choosing business insurance, it is essential to work with an experienced agent who can help you assess your risks and choose the right coverage for your business.
Dawit Insurance Agency has over 16 years of experience helping businesses in Kenya choose the right insurance for their needs. Contact us today to learn more about our business insurance services.
And yes, understanding the various types of business insurance available is essential, but also, you should know how to use it best. Well, here is the answer.
Ensuring Your Business Insurance Works for you
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Get Recommendations on the Types of Business Insurance You May Need.
Before shopping for business insurance, you should get recommendations on the types of coverage you may need. You can do this by talking to other company owners, your accountant, your financial advisor, or an insurance agent.
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Assess Your Risks.
Once you know the types of coverage you may need, the next step is to assess your risks. This will help you determine the range and the type of policy that best meets your needs.
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Ensure you choose the right insurance Insurance Agent.
You’ll want to select an experienced Licensed insurance agent who can help you understand your options and choose the right coverage for your business.
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Get Quotes from Multiple Insurance Companies.
Once you’ve selected an insurance agent, you’ll need to get quotes from multiple insurance companies.
Your agent will assist you in comparing the coverage and premiums of each policy before making a decision. It would be best to leverage their expertise and relationships to have an upper edge when making your choice.
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Read the Policy Carefully.
Once you’ve selected a policy, please read it carefully to understand what is and is not covered. You need to understand the Expectations vs. Reality of your organization’s insurance package. If you have any questions, ask your agent before signing on the dotted line.
Now that you know how to choose company insurance that will work for you, it’s time to start.
Contact Dawit Insurance Agency today to get started on protecting your company.
The Simplest Way to Make the Best Of Business Insurance
There are many things to be considered when it comes time to insure your business. You must ensure you get the most out of your insurance by following these few tips. After all, business insurance is not something you want to waste money on.
First and foremost, you should look into what risks your business is prone to. Doing this before you start looking for insurance is critical. Majorly because you’ll be able to determine the most suitable types of coverage based on this assessment; besides that, it will aid in evaluating how much coverage you should get.
Once you understand your risks well, you can start shopping for the best policy. Be sure to compare the coverage and premiums of each policy before making a decision. You should also make sure that you read the policy carefully to understand what is and is not covered. If you have any questions, ask your agent before signing on the dotted line.
Lastly, you need to ensure that you get the most out of your company insurance by working with an experienced agent. A professional agent can help you assess your risks and choose the right coverage for your business. They can also help you save money on your premiums by bundling your policies together.
Bottom Line: Is Business Insurance Necessary?
Without a doubt, company owners can protect their businesses by getting the right insurance. The good thing is that you can get assistance in choosing the optimal business insurance for your company.
There are many things to be considered when it comes time to insure your business, and following these tips will make the process easier.
Assess your risks, shop for the best policy, and work with an experienced agent. Doing so will ensure you have the coverage you need at a price you can afford.
Dawit Agency is here to help you get the coverage you need for your business and ensure sustainable growth. Contact us today to help grow and preserve your legacy.
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This article is written and published by Dawit Insurance Agency Limited.
