The Commercial Insurance Policies Small Businesses Need

Are you starting a business? Insurance can help protect your employees, investors, and even other business companies. Learn about different types of commercial insurance policies in this article!

Business Income Insurance

This particular commercial insurance policy can help businesses recover if they cannot operate because of covered property damages. Business income insurance can help pay for ongoing expenses, such:

  • Rent
  • Payroll
  • Utility bills
  • Other operating expenses (OPEX)

Commercial Insurance for Properties

As the name implies, this policy protects your owned or rented building and property, which can include: 

  • Inventory.
  • Furniture.
  • Computers.
  • Any other item used for operations.

Commercial Insurance for Automobiles or Vehicles

Commercial auto insurance protects your and your employees during any road incident. If your state requires this coverage, it may also apply to cars your company owns, leases, or rents. Regardless of individual states’ laws, this policy can help protect your business if you or an employee causes an accident while driving one of these vehicles.

Commercial Insurance for Hazards

Commercial property insurance, also known as small business hazard insurance, is a type of insurance that protects business properties, like buildings and equipment.

Commercial Insurance for Liabilities

If you offer professional services, you should consider getting a policy to help pay your legal costs if someone sues your business because they claim you made a mistake while providing such services. Such policies are called errors and omissions insurance.

Data Breach Insurance

Small businesses that handle personally identifiable information (PII) are vulnerable to cyber threats. Insurance companies have created coverage for small businesses that can help if such a breach occurs. Cyber liability insurance is available to small businesses that want to respond to such threats with:

  • Notifying individuals whose PII was lost or stolen
  • Creating a public relations campaign to improve the business’ reputation
  • Offering credit monitoring services
  • Insurance companies call this coverage cyber liability insurance.

General Liability Commercial Insurance

A general liability insurance policy covers claims against you and your business, particularly the following:

  • Bodily injury to another person.
  • Property damage to someone else’s possessions.
  • Personal injury, like libel or slander.

Sometimes, bad publicity is the most effective way to kill a business. A policy like this in your corner shields you from that.

Worker’s Compensation Commercial Insurance

State laws require companies to carry workers’ compensation insurance for their employees. Workers’ compensation can help injured employees by:

  • Paying their medical bills.
  • Restoring them to health with ongoing care, such as physical therapy.
  • Replacing lost wages as they heal and recover.
  • Providing disability benefits if they are injured and are temporarily or permanently disabled.

These are especially useful for manufacturing industries, where employees face daily hazards in factories and plants.

Umbrella Insurance

Commercial umbrella insurance provides a secondary source of funds for paying overage on your liability costs. Say a customer slips and falls within your premises. They go to the hospital, where their medical bills cost more than what your general liability policy provides for. This type of commercial insurance can help pay for the costs that exceed your limit.


Commercial insurance policies are protection for emergencies—physical, verbal, or other damages accrued during business operations. Yes, they may be costly, but it’s better to have protection at the ready instead of paying steep prices or consequences every time a customer slanders you, or an accident happens to your employees.

That’s why you should get commercial insurance in Lethbridge from Kirkham Insurance! We provide most of the policies featured above and can help you compare which one suits you best. Get a quote from us today!

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