It is important that you maintain adequate insurance coverage to protect your business and your personal assets. Following is a list of the more typical insurance policies which business often require.
Because of the complexity of insurance matters, all SCORE clients are advised to seek advice from a licensed insurance agent. Seacoast Chapter 185 provides a Registry of Professionals which contains information on insurance companies and agents and other useful business resources.
Payroll Related
Required Insurance
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Workmen's Compensation
Rates determined by employees' job descriptions (SIC Code). Every employer (including non-profits) who has any employees, full or part-time, is required to cover these employees with workers' compensation insurance written by a licensed carrier.
Other Insurance
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Liability Insurance
Protects against damages, or claims made by others. -
Property Insurance
Insures physical property, including inventory and equipment, against fire and other losses. -
Automobile Insurance
Covers physical damage to vehicles. -
Disability Insurance
Employee benefit which offers optional additional coverage above and beyond what is provided by Social Security. -
Healthcare Insurance
Employee benefit which covers medical, dental, eye care, prescriptions, and/or other health related services for employees and/or family members. -
Life Insurance
Employee benefit which pays the employee's beneficiary upon employee's death. -
Key Employee Insurance
Protects business from the financial impact of losing a crucial employee. Similar to life insurance, except the beneficiary is the business. -
Directors and Officers (D&O) Liability Insurance
Protects the Directors and Officers from liability as a result of their capacity with the company. -
Employee Fidelity/Surety Bonds
Guarantees against dishonest acts of employees. -
Performance Bonds
Guarantees performance of contractual obligations. -
Business Interruption Insurance
Provides funds to pay fixed expenses during a period of time when a business is not operational due to a loss.
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