Compass Point Bulletin: Insurance, Another Level

As an attorney I understand the importance of law, especially when it comes to protecting businesses. Contracts are needed and some thought to the creation of a business entity. But there is another level that often goes ignored and is just as important as the legal aspect of your business. Do not forget about insurance protection.

Insurance protection comes in many forms. First, when you are unable to legally contract away your risk, insurance is what fills in the gap. One the most important types of insurance is malpractice. Malpractice insurance provides coverage when you are working in your profession. Should one of your clients have an adverse reaction, then you do not have to pay out-of-pocket. You would have insurance coverage.

Some other the types of insurance you want to think about is property coverage—insuring what you use in your business in case of a loss. There is also liability coverage, separate from malpractice, which has to do with someone injuring themselves on your premises.

We can group together life, accident and health insurance since these are for yourself and not necessarily your business. Should something happen to you and you are the sole practitioner, then life insurance may be a product that can help your beneficiaries after you are gone. Also think about accident or disability insurance—if something happens to your hands, your legs, then how will you be able to work? How will that time off effect your business? Disability coverage could help. Lastly health insurance is good to look into and be informed about coverage and cost.

True North Business Consulting provides legal coaching and thinks about the impact of insurance on your business decisions.