Researching different types of business insurance isn’t always easy.
Business insurance requirements vary from state to state, and names for individual coverages aren’t always consistent among insurance companies. For instance, one insurer might refer to coverage for the accidental breakdown of boilers, machinery and equipment as boiler and machinery insurance, while another insurer calls it equipment breakdown coverage or mechanical breakdown coverage.
To make things more confusing, names like “boiler and machinery insurance” often include coverage for more than their names suggest – such as computers and office equipment.
What does business insurance cover?
Unless you have a customized package, such as a businessowners policy (BOP), specific business insurance coverages are meant to cover specific circumstances, such as crime, business interruption, business income or equipment breakdown.
In more general terms, business insurance may protect:
- Your assets against lawsuits (liability coverage)
- Your property, or customer property, against loss, theft or damage (property insurance)
- Your vehicles against accidents, vandalism or theft (business vehicle insurance)
- Your business against fraud, theft or forgery (crime insurance)
- Your electronic data and computer systems against attacks and damage (cyber liability insurance)
- Your equipment against breakdown (equipment breakdown insurance)
- Your inability to collect from a customer (accounts receivable)
- Your employees (workers’ compensation and employee benefits)
What kind of business insurance do I need?
At the very least, every small business needs property insurance and liability insurance – even if you work out of your home. If you have business vehicles, you’ll need business vehicle insurance. And if you have employees, most states will require you to have workers’ compensation insurance.1
Other small business insurance needs depend on your business type, size, location, annual revenue and years in business.
To make things easier on yourself, find an insurance company you can trust, then search for coverages specific to your industry.
If you need help determining what kind of business insurance you need, call Nationwide at 1-888-490-1549. If you’re ready to get a quote, visit Nationwide’s small business insurance page and enter your zip code to get started.