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Small business owners can quickly find themselves stuck between a rock and hard place if an employee gets hurt on the job. And if you don’t provide workers compensation, you’re not only down one employee, you could find yourself facing a lawsuit. There are over 100 million lawsuits filed against small businesses every year. If you invest in business owner insurance, your chances of getting sued decrease dramatically. Still curious as to just how effective business owner insurance is? Let’s take a look at how workers compensation protects your employees and saves your business.

Accidents Happen
No matter what your business specializes in, your employees are still susceptible to getting hurt. Even if you’re running professional advice services, things can still happen. Don’t believe it? Think of all the times you have stumbled over your own two feet. Now imagine one of your employees is walking back to their desk, trips and spills hot coffee all over themselves, getting second degree burns all over their hands and chest. Think this seems unlikely? According to research done by Travelers, tripping accounts for 16 percent of all work-related accidents. Strains and sprains account for 30 percent of work-related injury.

How long are your employees out of commission before they can return to work, good as new? The average is 57 days; that’s two months your accident-prone employee could be off the job. Can you afford to lose your right-hand man if they should have to stay off of their feet to heal? As a small business, you probably can’t. According to Forbes Magazine, 8 of 10 businesses fail in their first 18 months. To make sure your organization survives in its first two years of business, you’re going to need all hands on deck.

How are People Getting Hurt?
People get hurt at work fairly often. The five most common work accidents are:

Sprains/Strains
Cuts/Punctures
Contusions
Inflammation
Fractures

The most expensive job-related injuries are:

Amputation
Dislocation
Electric shock
Crushing
Multiple trauma

Americans aren’t just getting hurt, they’re losing their lives. The Huffington Post reports that 150 Americans lose their lives on the job every day. How will your employees’ families be compensated if their loved one should lose their life on the job? This is where business insurance comes in. Business owners insurance protects you and serves your employees when your company is at its most vulnerable.

What Policies Make Up Business Insurance?
There are three main types of business insurance policies that are all highly recommended to the small business owner. These policies are:

Liability Insurance: This insurance type covers the monetary damages if a customer/client claims your services or merchandise caused them harm and sues you in court. Your liability protection will pay for the damages, legal defense and attorneys’ fees.

Property Insurance: This insurance type covers your property (structure and merchandise) if it is damaged or lost in burglary or fire.

Workers Compensation Insurance: Required by law in 49 of 50 states, this insurance type covers the medical expenses and lost wages of an employee should they have been injured on the job, whether the employee was directly responsible for the injury or not. If the employee should succumb to their injuries, workers compensation is transferred to their surviving family.

As a business owner, you don’t want to just do right by your company, you want to do right by your employees, too. CoverHound can help you find business owner insurance at an affordable rate. Click here for your quotes today.

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