3 common business insurance mistakes that can cost you big

Business insurance Las Vegas is an important step towards protecting your company and its assets. What you may not realize is that gaps in coverage can be costly for your company. Here are some of the most common mistakes to avoid when it comes to insuring your business.

Not having enough coverage

There's more to protecting your business than just making sure you have insurance. You also need to make sure you're insured for the right amount and the right type of coverage.

For example, if someone slips and falls on a wet floor in your restaurant and is injured, that would be covered under general liability insurance, which covers bodily injury and property damage claims.

But what if they were also bitten by a rat? In this scenario, general liability insurance might not cover their medical expenses or any pain and suffering they experienced as a result of the rodent bite. In this case, it's important to make sure you have an extra layer of protection through occurrence-based coverage.

Failing to update your insurance when you make changes to the business

Regardless of your business type, there are two types of insurance you should have to protect yourself. Property insurance protects the building(s) where your company operates and liability insurance protects against lawsuits.

If you're a small business owner, it's likely that your property and liability insurance were bundled with your mortgage or loan agreement when you first opened your business. When making changes to your company, it is important to review your current policies and consider whether they need updating.

For example, if you're purchasing new equipment for the office, such as a new photocopier or fridge for the break room, you'll want to make sure those items are covered under your property policy. And if one of those employees is now pregnant and can't travel as much as before, you'll want to update the liability policy so the additional coverage is available in case she injures someone on a business trip.

Another common mistake is neglecting to update an existing policy because it doesn't seem like anything has changed with the company. This could be a costly mistake: If something happens and there isn't any coverage for this event under your current policies, then you'll be paying out-of-pocket for damages or injuries related to this event without any

Not keeping track of all your assets and insuring them accordingly

When it comes to insuring your business, you need to think about the location of your assets and make sure they're part of your plan. For example, if you only insure your office building but neglect to insure the computers and servers inside, you may be leaving yourself open for a large risk.

It's important to make sure that all of your assets are accounted for and insured accordingly. You can't assume that just because you have an insurance policy for one asset means another is automatically covered. This is especially true with digital assets—like software licenses or data backup systems—which don't always fall under the traditional definition of property coverage.

To avoid these mistakes, it's important that you take inventory of everything in your office and include those items in your insurance plan. Otherwise, you might not be adequately covered if something were to happen.

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