Insurance for the Small Business Owner

Insurance- Its the one thing most small business owners over look!

No one would soon forget the devastating straw market fire and how it disrupted the operation of businesses located in the general vicinity of the Straw market in downtown Nassau.

Businesses of every kind were affected, straw vendors, hair braiders, restaurateurs, accountants, lawyers, fund managers and retailers. Some of these businesses have resumed operation, while others are still not back in business.

In the aftermath it was very surprising to hear of the number of entrepreneur (businesses), whether small, sole proprietors, partnership or corporation who just did not have the required insurance coverage.

This article is to create and awareness of the insurance needs of small business owners.

You may ask why do I need Insurance? 

Well, few things in life are riskier than launching and running your own business.  So you needn't compound that risk by neglecting your business insurance needs. Protecting your business from financial disaster will not only preserve all your hard work and long hours, but it will also help you sleep better.

With that said, under no circumstances should a business be uninsured for its property, equipment, and inventory, as well as against its potential liabilities.

Simply stated, you need Insurance to protect against the hazards or occurrences that may result in the loss of your investment and financial impairment to your business.  

Operating a business is difficult enough without having to be concerned about suffering significant financial loss, or worse, due to unforeseen events occurring.
Business insurance is a complex subject, as diverse as the business itself. 

Therefore, it is extremely important when shopping for insurance coverage to select an agent or broker experienced in business exposures and the commercial insurance market.

Contractual agreements that enable your business to operate, such as leases, merchandising, and finance contacts, may obligate you to insure beyond your immediate concern.

As you shop for your insurance you will see special terms and concepts unique to business insurance. Ask your agent to explain anything you are not familiar with.

Your business has it own unique insurance needs and will not have exposures in every area, which is why your agent or broker must review your specific needs.

However, there are certain coverage’s that are mandated by various legislations e.g:

1. The National Insurance Act requires that all workers (self employed and employed) be covered and pay for Workers’ Compensation to The National Insurance Board.
2. The Registrar of Insurance Companies requires Indemnity bonds for Insurance Brokerage.
3. The Road Traffic Department requires Automobile insurance.

1. Property
2. Time Element
3. Crime
4. Automobile
5. Liability
6. Life Insurance
7. Disability Insurance
8. Health Insurance
9. Employee Insurance Benefits