Why All Canadian Businesses Need Business Liability Insurance

Business insurance is required!

Are you aware of the fact that Canadian businesses face tons of lawsuits each and every year? The truth of the matter is that Canadian consumers can be a little picky and they’ll lash out when they feel like they’ve been mistreated in any way. If you’ve done something that could be considered wrong, there is a good chance that your company is going to pay for it. During the first quarter of 2017, 682 Canadian businesses filed for bankruptcy. Some of these lost money, due to poor business choices or a change in the economy. Others were forced out of business by a crippling lawsuit. Commercial liability insurance can help. You’ll find out below!

business insurance policy

What Is Commercial General Liability Insurance?

First and foremost, you should gain a better understanding of LiabilityCover’s business insurance Ontario policy coverages. This is a standard insurance policy that is designed for business organizations. The insurance is capable of protecting businesses for numerous problems, including bodily injury and property damage. The insurance will usually cover damages that are caused by the company’s operations, products or finished work. The country of Canada tends to experience around 200 or more food recalls each year. If your company is making food, there is a chance that you’ll run into a similar problem.

The insurance might not prevent the recall, but it will help protect you in the event that something goes wrong and a customer ends up sick.

Protects Your Employees

In most cases, insurance for business owners will protect the owner as well as the employee. If the damage was caused by an employee, there is a good chance that your liability insurance will cover the costs. At the same time, you should realize that the best business insurance Ontario has to offer will protect all parties involved. The insurance will help to ensure that you’re able to recover after an accident. The insurance will allow you to keep your business operation during the litigation.

This is absolutely vital for yourself, your family and your employees! With this type of insurance, you’ll be able to keep paying your employees, so they do not starve.

Could Help Avoid A Bankruptcy

Believe it or not, slips and falls are far more common than you could ever imagine. Workers in Canada experience 40,000 fall injuries each year. This only accounts for workers. Can you imagine how many customers fall in stores each and every year? The number is likely staggering and your business could be negatively impacted by a fall that happens at your place of business. There is a good chance that the fall will be blamed on you. It could be the rest of a slippery floor, poor lighting or something similar. Since the risk is so high, all businesses should protect themselves with commercial insurance.

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Avoid being sued into a bankruptcy by protecting your business with the appropriate insurance policy. Business insurance can help to ensure that your business remains operational during the litigation. Otherwise, you would be forced to shut down and lose money.

Protection Against Third-Party Lawsuits

Every company is at risk of third-party lawsuits. Regardless, of the business type, a third-party lawsuit can pop up out of nowhere. Businesses are not only at risk of customer-related lawsuits, but also employee-related lawsuits. While it is impossible to satisfy every single person you serve and every employee, you can protect your company from financial loss connected to allegations and claims brought by these individuals.

Customers and employees can file a claim against a business to enforce a contract, recover damages, discrimination, accidents, injuries, false guarantees and faulty products. With business insurance Canada, you will be protected from financial loss related to these types of claims and lawsuits.

Embezzlement

Companies that hire workers to manage their finances are always going to be a high risk of embezzlement and theft. While it is not common to experience an employee embezzlement or theft, it is always a possibility. Even if these risks are on the low end, it is crucial to be protected from such risks. If you do research on embezzlement cases involving employees and companies, you will find hundreds of them, stemming back several years. Without the proper coverage, you could end up in bankruptcy court, if one of your employees is caught up in an embezzlement scandal.