Is your small business properly protected with insurance?

No matter what industry you are in, you need to protect your business, your employees and your bottom line. Being savvy about insurance, and working with an insurance provider suited to your business and industry, are key to protecting your investments.

Every business owner should:

Avoid the gamble: The decision to not buy insurance, or buy the wrong coverage, can be risky. The premiums are likely less than the costs you may face having to deal with something without insurance.

Boost your insurance IQ: Learn about the different types of insurance by reading the Canada Business Network’s Insurance for your Small Business or the Insurance Bureau of Canada’s Key Types of Business Coverage.

Are you puzzled by insurance words and terms? The Insurance Bureau of Canada’s glossary provides definitions.

Team up with your insurer: Every business should have an insurance broker. The broker is the connection between you and the insurance company.  Be confident about your insurance representative. Do they have experience in your industry? Are they familiar with your business? Do they have the correct values for your assets? Build a positive working relationship as there may be other ways your insurer can support your business.

Make your safety plans work harder: If protecting your business with investments such as a burglar alarm, and overseeing a workplace culture of safety through policies and procedures, use those tools when purchasing insurance. It’s important your insurer knows all that you do to reduce risk.

Have a Business Continuity Plan: Are you ready to survive a disaster or sudden loss of key people? Do you have a plan outlining where you will operate and how you will:

• communicate with customers and staff
• replace equipment and stock
• continue to generate revenues and pay bills
• retrieve information and documents

If you don’t have a plan, the Business Development Bank’s Business continuity plan and templates is a great resource.

If you do have a plan, when was the last time you reviewed it to ensure you are prepared for unexpected events?

Having insurance and a disaster plan shows employees that you are prepared. Although you can’t always prevent disasters, putting policies, procedures and protections in place will help mitigate the fall out from major events.