Running a real estate business is never easy. There are so many risks that owners face, from business income risks to liability risks. And during the COVID-19 pandemic, the risk is even multiplied which is why having a Business Owners Policy is so critical at this time to protect your assets.
Much like every homeowner looks up for home insurance quotes, before a business owner gets a Business Owners Policy, it is important for him or her to compare quotes from the great business insurance companies available in the market these days. And considering how badly COVID 19 has impacted most businesses, especially small businesses, it is important to find a cheap, yet effective Business Owners Policy.
Read more about this: Cheap Business Insurance Study
But how is it that a Business Owners Policy can help you — especially during the pandemic? Here are all the ways in which you can benefit from buying this type of insurance:
Risk of Being Sued
With businesses opening up despite the pandemic, the risk of getting sued also increases. This is because of the potential for infection when a customer, a supplier or even an employee comes to your business premises. Having a Business Owners Policy can protect you from the cost of litigation.
Here are some of the common liabilities you can face during the COVID-19 pandemic:
- Premise Liability: If your customers, suppliers or even employees feel that you have not adequately protected them from exposure to the virus, failed to warn those visiting your premises that one of your employees has contracted the virus, or have even failed to carry out adequate contact tracing, then you could face Premise Liability claims.
- Negligence: Some people may even sue you for Negligence if they feel that you have not acted responsibly in protecting them from harm. This kind of claim is common for many businesses — regardless of a pandemic — and Business Owners Policies can help you bear the costs of such liabilities.
- Medical Monitoring Claims: If a person contracts COVID-19 and believes they did so when they visited your premises, they can file a claim against you for compensation for future medical monitoring. While the disease has a short incubation period, its long-term impacts are still not fully known and this means that such claims can be allowed.
- Misleading Advertising
There are many companies and businesses today that are actively advertising the steps they are taking to keep their premises safe for their customers, suppliers and employees. However, if one of these parties believe that what was advertised is actually false or misleading, they may sue the business for misleading advertising.
Online Security Issues
While most businesses have been forced to close their physical premises, many have tried to alter their operations by providing online services. But while overall crimes have gone down dramatically, online crimes are on the rise. In fact, the FBI has issued an advisory about being targeted by hackers (among other online criminals).
Once again, Business Owners Policies can help protect your data from such attacks.
Loss of Income and Business Interruption
While this may be a hotly debated topic at the moment, it is important to have such coverage to protect your business from loss of income. Yes, insurance companies are contesting the thousands of claims for business interruption since April and there are more than 1,000 lawsuits against insurers in courts across the country.
However, the state and federal governments are taking steps to help the claimants get their due. So, while you may have to wait for a claim at this time, these claims will be paid out at some point.
But such kind of coverage doesn’t only help during the COVID-19 pandemic. There are many other reasons why a business interruption or loss of income coverage is important. Fires, thefts, or other calamities could damage your business, leading to a loss in income. And if you have Business Owners coverage, you will be able to recoup some of your losses.
Conclusion
When buying Business Owners insurance, it is critical — especially because of the COVID-19 pandemic — to know exactly what the terms of your insurance are. It is also important to follow all government guidelines to ensure the safety of your establishment, employees, customers and suppliers to reduce the risk of being sued or suffering a business interruption.
Now is the time to be even more vigilant to protect your business from further losses.
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