How many of you know about insurance? When people hear about this, they usually think of the car – the car insurance is called MTPL and it is mandatory for anyone who has a car. However, the house insurance is also mandatory and it’s for anyone who owns a real estate property. It’s about protecting what you have against different accidents – theft, fire, weather (like heavy snow or rain, tempests, floods, etc), destruction and others.
What you don’t know yet is that a business will also need to be ensured. It’s not mandatory in every country, but it’s something that the business owners should keep in mind if they want to sleep sound and safe, so let’s see about the importance of insuring your business.
A business insurance works in the same way a car insurance or a house insurance works – it protects your investment. No matter the type of business, there are some money that you have invested in it – location, materials, furniture, licenses and others; the insurance will help you protect everything you have there – things and products that you use.
If something happens to your store or your shop, the insurance company will compensate you for your loss. This means that – depending on the type of insurance that you have – the insurance company will give you a sum of money to allow you to rebuild your business – to replace the furniture, a broken window, a stolen product (actually more stolen products), the destruction of your shop, the fire that destroyed the car of your business and so on.
Compensation will be made according to the applicable laws in insurance, and only after an evaluation has been made by the insurance agent.
How to Make It
First of all, you will have to go to several insurance companies. They will give you an insurance agent that you will talk to, and bring him or her to your business location. There, you can talk about what you want to insure. Some business owners want to insure the location with everything that is in it – meaning every furniture that you have there, all the products, the computers and other equipment and so on; other business owners would like to insure only the products or the computers, while others who don’t have too many things at the location, but who have a deposit or a storage place, would like to insure everything that is there, along with the car that they are using (for delivering goods, for example).
The insurance agent will tell you what you can insure and what you can’t, as some good are perishable and these can be insured only in some cases.
Types of Insurance
Each insurance company has different types of insurance, but any of them can be customized based on the wish of the client. Some people want to have an insurance that covers all and everything, from fire to weather accidents (heavy rain, snow or flood), from theft to burglary, and so on. In this case, if you choose an insurance that covers every possible accident or situation, be ready to pay more money. The payment can be made monthly, twice a year, three times a year or you can pay it all at once for a year.
For those who don’t think that some situations are prone to occur, you can choose a type of insurance that covers theft, burglary, fire and other type of accident. These will cost less, but you will still receive compensation if any of the above happens.
When you choose a type of insurance, make sure you receive all the relevant information from your insurance agent – it’s important to take a good decision, as this is the only way your investment can be protected.