Running a business on your own can be both a rewarding experience as well as a cause for much worry. A lot many perils and pitfalls await you in the course of your business years. Unless you are not adequately prepared against these, it can cause serious financial problems. It can, in turn, take a toll of your mental and physical health as well.
As the central figure that holds together the business, it is essential that you, as a business owner, must take the necessary precautions to ensure your business runs smoothly.
Here are 8 policies to safeguard your business.
1. Getting insurance policy with COVID-19 coverage
The central foundation of any business is its owner. As a business owner, if you are affected, then everything can go down the drain. It is crucial to get a health policy with COVID insurance that would cover for any hospitalisation charges required for treatments related to COVID-19. This will help you cover financially, and you can avail the best treatment facilities without worrying about its cost. Furthermore, this would create less pressure on your entire financial planning. You would be able to divert the amount you save on hospitalisation charges onto your business needs.
2. Getting your shop insured
If a fire or any natural disasters ravages your business, it would be difficult to get back on your feet. The crippling effect of the financial losses and building up your shop again from scratch can be taxing. A shop insurance will insure your shop against theft, fire and natural disasters.
3. Safeguard your home
Right after your shop, your home would be the next valuable investment. You can protect your home as well from natural disasters and theft with home insurance in India. An extensive home insurance will cover your home and the contents inside it. Certain insurance policies are capable of replacing the contents inside your home instead of providing the equivalent amount.
4. Motor insurance for your vehicles
A third-party insurance policy is mandatory for your vehicle, be it a car or a bike. Without it, you will be liable to pay a fine of Rs.2000/- for the first-time offence and Rs.4000/- for repeated offence. You can extensively insure your vehicle with a comprehensive insurance policy. This will cover for any damages caused to your own vehicle as well. Additionally, an insurance policy will help you navigate the legal liabilities when you cause an accident to a third-party.
5. Term insurance
Term insurance policy is a type of life insurance policy. It provides coverage for a specific term or years. If the policyholder dies during this period, then the insurer will provide a death benefit to the nominee. Life being as unprecedented as it is can throw in many difficulties in your path. The best way to ensure that your loved ones doesn’t suffer in your absence is to get a term insurance policy. This will empower them to overcome financial difficulties and take the reign of your business.
6. Worker’s Compensation policy
If your business requires your employees to operate in high-risk environments, it is best to have a worker’s compensation insurance policy. If your employee is injured while at the job, then this insurance policy will provide wage replacements and medical benefits. In return, the worker must not sue the company. This will protect both your business while also fairly compensating your worker.
7. Data breach protection policy
The world is increasingly turning more digital day-by-day. It is vital to adapt to these changing tides. Otherwise, you will be left behind in the race. Take your business online. Making use of online software and data tracking systems improves your business operations. But it also comes with its own perils. If your business stores sensitive information and if a data breach occurs, then Data Breach policy will help you cover for these losses.
8. General liability insurance
If you, your workers, your product or the services you provide causes bodily injury or damage to a third-party, they have the right to sue you. To protect the parties mentioned above from this liability, you can opt for a General Liability insurance policy.