Before answering this question we need to understand that why the company or business is going to need an insurance.
If you are a company who is not on a big scale or so but still needs an insurance then you would have to consider the insurance policy according to your needs or worries. Like if you are a restaurant owner then you would like to insurance the appliances you have that if they get burned or torn down or if you are living in a suburbs and worried about some criminal to break into your restaurant and destroy the tables or glass doors then you would like to insure that.
If you are a company who transports the product from one location to the other then, you would need an inland marine insurance which will give you the leverage to accommodate the losses if there could be any. You will like to insure the product for their hazardous content too if they could hurt the employees or the employees are so rough that they could destroy the products and cost you millions of dollars.
Also if you sell products and you think that giving the funds or expensive products in the hands of the employees is really threatening so you would need a liability insurance which will cover that up by protecting you from any fraud.
Now comes the point that, are these insurance really expensive? For me let’s analyze the American market and see the outcome they are providing or the favor it is giving against the money you are paying is worth it or not.
General liability Insurance
Many people are in the construction business in the country of America and many of them go for the general liability insurance. What this insurance does for you that, if you are working as a constructor then it is certain that you would do some property damage which could lead you to jail too if you are not able to cover that mess up. This insurance helps you there, by protecting you from any charges which could lead you to court. Like if you are working on a customer’s property and your employee backs the truck and on the way, he turns down the tree which was on the property of the customer. This is when the customer will claim the insurance and the general liability insurance will help you there. Now, just imagine if you would not have been having this insurance then the tree alone would have cost you like $5000 dollars with installation whereas the yearly insurance rate of this insurance is not more than $3000.
Property insurance is one of the most bought in the world and America is prone to some property damage from various reasons. The property could be a building, a corporation, equipment or the house of a family which could be in the path of a tornado. Now a normal small house could be of $100,000 but the property insurance could of that house which could be around $5000 a year is not expensive at all. A company worth million could be damaged by the fire or so, here the business insurance will help you to stand on your feet with not much burden on your pocket.
The insurances are not expensive for every company it is the method which could be expensive sometimes. If you will follow some steps then you could save lots of money and insurance claims.
Improve the security of the company and follow the protocols. By doing this you would lose the risk of many damages and you would not have to pay a lot of money to cover up for any damages or don’t have to abide by any insurance whatsoever. For protection against fire, you will not be needing a fire department, a simple extinguisher would work. An injury could be protected if you will give protection gear to the employees and they are all good to go. Not only that, but training the employees about these could also allow to wear out the problems if any and save a lot of money with successful business.
With all of these into perspective, I am sure you would be considering to take some insurance now or would be clear about your question of business insurance being expensive or not