Owning a business is more than running operations day in and day out. Workers have to get paid, inventory needs to be stocked, and more is required. Another aspect business owners are responsible for is business insurance. However, each business is different in regards to the coverage they need.
General Liability Insurance
This type of insurance is not required in Texas but is extremely important for business owners to have. General liability insurance protects business owners against multiple types of claims, including bodily injury and property damage. Specifically, premises/operations coverage pays for damages or injuries that occur on the business’s property, while products/completed operations coverage will pay for all that in addition to if there was an accident or injury because of the business’s completed work or product.
Business owners can also purchase excess liability coverage, which provides funding if a claim costs more than a general liability policy’s dollar limit. Another option is umbrella liability coverage which provides additional coverage that the general liability coverage wouldn’t cover.
Workers’ Compensation Insurance
While most states require businesses to carry workers’ compensation coverage, Texas does not. However, this type of coverage is critical for business owners to consider as it provides employees compensation should they suffer a work-related illness or injury. Workers’ compensation insurance also protects business owners from a co-worker or contributory negligence accusations and assumption of risk.
If a business owner does not have workers’ compensation coverage, they are responsible for any costs if an employee brings a personal injury lawsuit against the business. If it’s the employee’s fault that they got sick or hurt, it would still be the business owner’s responsibility to pay for any costs related to a workers’ compensation lawsuit.
Additional Insurance Options
There are a wide variety of additional insurance options available including:
- Professional liability insurance: protects professionals and covers potential client lawsuits over mistakes or missed work;
- Cyber liability insurance: protection of cyber attacks or other security data breaches; and,
- Business interruption insurance: helps business owners if they have to shut down their business temporarily.
When to Contact Hawash Cicack & Gaston, LLP
Despite having the proper insurance, the insurance companies won’t always pay out claims. That’s when you need to get the team at Hawash Cicack & Gaston, LLP involved. We will review your claim and fight for you against the insurance company. You have options when the insurance company says no — get in touch with us by filling out our online form or by calling (713) 589-7249.