One area of the budget that a small business owner simply cannot neglect is their business insurance. Insurance is not an option for most small businesses, as a single large expense can damage a business’s cash flow and put it in an extremely vulnerable situation. There are also certain types of insurance that are simply required for a business to operate legally.
Small businesses that have full-time staff members are required to pay into workers compensation insurance, and most small businesses will need to have at least some measure of liability insurance as well. A small business owner will also want to have a property insurance policy that covers their equipment, any physical property and any physical improvements to their space, such as modifications to a retail location.
Small businesses with full-time employees are also required to offer health insurance options to their employees, which will require the adoption of a health insurance coverage plan. This coverage plan will be governed by new laws starting in January 1, 2014, but there will also be tax credits open to small business owners at the end of the year.
For more information about the personal and business insurance options contact the experts at Agers Insurance Services in California.