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What Types of Insurance Will My South Carolina Business Need?

All of your hard work and investment in your South Carolina business could get lost in an instant if you do not have the right insurance coverage. The kinds of insurance you should carry will depend on several different factors, like your industry and the risks your business faces.

South Carolina business attorneys can talk to you and help you create a risk management plan that includes business insurance. Here are some types of insurance that South Carolina businesses can need:

Business Owner’s Policy (BOP) Coverage

A Business Owner’s Policy (BOP) is a single policy that provides business liability and business property insurance all in one. Liability can cover your company if someone gets hurt on your premises, by one of your products, or from another covered cause. The business property coverage protects you in the event of theft, a fire, or other types of property damage or loss. 

The language in your policy will determine the amount of coverage, the types of benefits, and the covered perils. The policy will also control matters like the limitations and exclusions, or non-covered items or situations.

Business Income Insurance

Companies all over America experience a sudden loss of business income as a result of the COVID-19 pandemic. We learned that no business is entirely immune to regional, national, or global crises. Companies whose products were still in demand had to deal with production, supply, and distribution challenges that many had never faced before.

Business income insurance can provide a safety net for your company. As long as the cause of the loss of business income is covered by the policy, this coverage can replace income, up to the limits of the insurance. This type of insurance can make the difference between a temporary pause in business operations and going out of business forever.

Workers’ Compensation Insurance

If you regularly employ at least four full-time or part-time workers, South Carolina law requires you to carry workers’ compensation coverage. The benefits that this insurance can pay include medical care, lost wages, and disability to employees who get hurt or develop an illness because of their line of work.

Some employers are exempt from maintaining workers’ compensation insurance. You do not have to carry this type of coverage if:

  • The total paid to your employees during the previous year was less than $3,000, no matter how many people worked for you during that year.
  • Your business is a railroad or railway express company.
  • Your employees are agricultural workers.

These are but a few examples of companies that are exempt from the requirement of carrying workers’ compensation insurance.

Data Breach Insurance

Every size and type of business is vulnerable to hackers. You can buy coverage that can help with the cost of liability, legal fees, identity theft protection services, and even public relations expenses. Some cyber liability and data breach insurers can help you navigate through the mitigation process when you experience data loss, theft, or a breach

You might need additional types of insurance, like motor vehicle liability coverage, depending on the covered perils of your existing policies. A South Carolina business attorney can help you evaluate your business insurance needs.