Definition - What does Business Insurance mean?
Business insurance is insurance that protects commercial enterprises from any losses that occur during the normal course of business. There are many types of coverage available, including liability and property damage. Due to the varying nature of the working environment, companies carefully examine potential risks to determine their specific insurance needs.
Insuranceopedia explains Business Insurance
Business establishments face various risks in their day-to-day operations. Small businesses, in particular, should carefully assess their risks and purchase the right coverage because they face more financial exposure in the event of any loss. There are a plethora of business insurance products available, which include:
- General liability insurance that covers legal costs due to accident, injury and claims of negligence;
- Product liability insurance that provides financial protection in the event that a defective product causes bodily harm or injury;
- Professional liability insurance that protects business owners from malpractice, damaging errors and negligence when serving a client:
- Commercial property insurance that provides protection from loss and damage of company property from an assortment of perils; and
- Home-based business insurance for home-based businesses, which homeowners policies do not cover