Has your business insurance kept pace with its growth? While many business owners carry basic property and liability coverage, several important types of protection are often overlooked until a claim occurs.
Here are some business insurance coverages worth discussing with your insurance professional.
Employment Practices Liability (EPL)
Even businesses with just a handful of employees can face employment-related claims. Allegations involving wrongful dismissal, discrimination, harassment, failure to hire or promote, or workplace retaliation can lead to expensive legal proceedings, even if the claim is ultimately dismissed.
Employment Practices Liability insurance can help cover legal defence costs, settlements, and judgments, allowing business owners to focus on running their business rather than managing costly litigation.
Cyber Insurance
Cybercrime continues to be one of the fastest-growing threats facing Canadian businesses. Whether you process payments, store customer information, rely on cloud-based software, or simply use email, your business could become the target of ransomware, phishing attacks, or data breaches.
- Cyber insurance may help cover:
- Data recovery and system restoration
- Business interruption following a cyberattack
- Notification costs if customer information is compromised
- Legal expenses and liability claims
- Cyber extortion and ransomware response
No business is too small to become a target. In fact, small and medium-sized businesses are increasingly targeted because they often have fewer cybersecurity resources.
Professional Liability Insurance
If your business provides advice, professional services, consulting, design and construction work, Health and Wellness services, Technology and digital services, or specialised expertise, a mistake, real or alleged, could result in a lawsuit.
Professional Liability Insurance (also known as
Errors & Omissions Insurance) can help protect your business if a client claims your negligence, advice, service, or work caused them a financial loss or harm. Even if you've done nothing wrong, legal defence costs alone can be significant.
Event Liability Insurance
Hosting or participating in an event? Whether it's a customer appreciation day, charity fundraiser, trade show, festival, or community event, unexpected accidents can happen.
Event Liability Insurance can help protect your business if someone is injured or property is damaged during an event. It may also help cover legal costs associated with a claim, giving organisers greater confidence when planning public events.
Commercial Surety Bonds
Unlike insurance, which helps protect your business from covered losses,
a surety bond protects the organisation or customer requiring the bond. Having the right bonding in place can also improve your credibility, help you qualify for larger contracts, and demonstrate your financial strength and reliability.
Review Your Coverage Regularly
As your business evolves, your insurance and bonding needs may evolve as well. Hiring employees, expanding services, adopting new technology, bidding on larger contracts, or hosting public events can all introduce new exposures.
An annual insurance review is a simple way to identify potential coverage gaps and help ensure your business remains protected as it grows.