Starting a Business? Here’s What You Need to Know About Business Insurance

Starting a new business is an exciting venture—but it also comes with its fair share of risks. One of the most important (and often overlooked) steps in launching a business is making sure you have the right insurance in place to protect yourself, your employees, and your assets.

Here are a few common types of business insurance most new business owners should consider:

1. General Liability Insurance

This is one of the most essential coverages for any business. It protects against claims of bodily injury, property damage, and personal injury that could occur during your business operations.

2. Commercial Property Insurance

Whether you own or lease your space, this coverage protects your physical assets—like buildings, equipment, inventory, and furniture—in case of fire, theft, or other covered events.

3. Business Owner’s Policy (BOP)

A BOP bundles general liability and property insurance into one convenient package—typically at a lower cost than purchasing each policy separately. It’s a great option for many small businesses.

4. Workers’ Compensation Insurance

If you have employees, most states require you to carry workers' compensation insurance. It helps cover medical expenses and lost wages if an employee is injured on the job.

5. Commercial Auto Insurance

If your business uses vehicles—whether company-owned or personal vehicles used for business purposes—you’ll likely need commercial auto coverage.

6. Professional Liability Insurance

Also known as errors and omissions (E&O) insurance, this coverage is important for service-based businesses. It protects you if a client claims that your services caused them financial harm.

These are just a few of the most common types of coverage to think about when launching your business. Every business is unique, and your insurance needs can vary based on your industry, size, and how you operate.

Not sure where to start? Insurance Connection is here to help you navigate the world of business insurance and find the right protection for your unique venture. Give us a call or stop by—we’re happy to walk you through your options and get your business off to a confident, well-covered start.