So, you’re ready to start a business and make your passion projects profitable. However, there are a lot of ways that things can go wrong and cost you a lot of money. Luckily, there are various types of business insurance available to protect your company. But how can you make sure you’re getting the right type of insurance for your Atlanta business? Start by taking a look at this guide.
How to get business insurance in Atlanta.
1. Find a business insurance agent
Ultimately, the easiest way to get the insurance you need will be to work with an independent insurance agent. Independent agents (like us!) have relationships with different carriers. We know all about the Georgia regulations for insurance, we’re familiar with the discounts you may be eligible for, and our agents have many years of experience with various industries. So, we can pair you with a professional in your business’s industry, identify your specific risks, and do all of the shopping for you so that you only get quotes on the best policies for you.
2. Know your risks
There are a ton of different factors that determine the type of risks you’ll need to protect your company against, including your business location, business age, number of employees, etc. Restaurants face different dangers than auto body shops. Professional organizers face different risks than event planners. Even a tow truck company is going to have different concerns than an auto hauler operation. So, it will be important to sit down, take a moment, and think about the worst-case scenarios that your business may face.
3. Find out what type of business insurance is required
Just as there are certain permits, licenses, and regulations to abide by when you form a business, there may also be requirements for the types of insurance you must have. Usually, it’s a good idea to start out with:
General Liability
General liability is the form of coverage that can help you cover the cost of medical bills if someone is hurt on your business’s property. It can also help pay the legal fees if the person sues you for the injury.
Commercial Property
Regardless of if you sell goods or services, there can be a lot of equipment that goes into running your company. If something were to happen to it, you wouldn’t want to go into personal financial ruin trying to get your business back up and running. Commercial property coverage can help a business repair or replace property if it was damaged due to a covered loss. Covered losses for a business typically include:
- Fire
- Lightning
- Windstorms
- Vandalism
However, coverage differs from policy to policy. So, check your declarations page, your policy, or ask your agent about exactly what is covered in your particular business insurance policy.
Workers Compensation
Georgia actually requires that a company with more than three workers, including part-time employees, must have workers compensation insurance. Your coverage must be able to pay an employee a portion of their average weekly wages while they are medically approved or required to take off work. There may be more in-depth regulations for your specific industry, but those are the general basics.
You may also be required to have certain types of insurance specific to your industry. This can be especially true of contractors. Some clients will mark certain types of insurance as “required” in order to do business with them. Be sure to look through your contract to find out what types of coverages you need to do the business you want.
4. Be prepared to answer a few other questions
Again, there are a ton of factors that can determine the type and amount of business insurance you need. The most common questions that an agent will ask you to find you the right coverages are:
- What type of business do you have?
- Do you have any past claims?
- How long have you been in business?
- Where are you located?
- What type of building are you located in? How large is the space?
- How many full and part-time employees do you have?
- What is your gross annual revenue?
These questions can vary depending on your industry and how you operate. Risk is determined in different ways depending on the industry, after all. Still, it’s nice to have an idea of what you may need to answer to get the best rates.
5. Calculate how much coverage you need
Sure, you need insurance. Only going for the minimum amount of necessary coverage, however, could be disastrous. Instead, consider how much money you would need in a catastrophic situation to get going again.
Consider how big your business is. Do you have enough coverage to replace vital equipment? Do you have enough coverage to take care of an employee or multiple employees if they’re injured on the job? Do you have enough money to handle a lawsuit? Anything that could sink your business financially is a potential type of insurance you’ll need to include in your business insurance policy.
6. Determine your budget for coverage
Now that you know about how much coverage you need, budget how much you’ll need to get that type of insurance. That number can vary greatly depending on your location, your industry, and the types of risks you’re exposed to.
Don’t forget to include the rates of things like workers’ comp, professional liability, and flood insurance. So, you’ll need to be prepared to pay for at least the insurance that’s required by the state plus what may be necessary for your industry.
So, there’s the run-down on what it takes to get the business insurance you need. It may seem like a lot to consider, but our agents are ready and raring to get you affordable rates on the coverage you need. To start get competitive quotes on the best business insurance for you, just give us a call, fill out our online form, or LiveChat with our agents today!