The term “insurance” refers to the arrangement through which a state or a company provides a guarantee of compensation for a specified loss, damage, illness, health, or death in exchange for a payment of a premium.
Group health insurance, individual life insurance, and EBLI (employee benefits liability insurance) are a few popular insurance options that companies use worldwide to protect their most vital business assets (aka employees) while transferring significant financial loss to insurance companies.
However, quite a few times, employers fail to see the futuristic benefits of liability insurance and tend to avoid it. This only makes them more vulnerable to pitfalls.
Here are five ways insurance benefits protect you:
- PROTECTION AGAINST THE UNEXPECTED This is the most obvious benefit of employee liability insurance. Accidents don’t come announced. You think you have control of the entire operations, and something unexpected happens. The liability insurance benefits protect you from that “unexpected.” Adequate coverage offers a safety net so that you can rest easy in the light of something unfortunate.
- COVERAGE AGAINST DATA BREACH Data security is of utmost importance in today’s scenario. With the technological advent across the business sphere, we store everything in the “soft form”- from customer information, social security number, address, and ID to financial information. You will come across many policies that include a separate provision for e-data liability that protects your business in the event of hacking. Cyber liability coverage is another such claim that proves beneficial.
- NO FEAR OF INJURY CLAIMS Although the pandemic has pit an “at-home” spell on most of us if your business requires you to visit your clients on-site or at a location, the probability of an injury claim increases. Life insurance comes in handy in such times.
- PROTECTION AGAINST STAFF AND EMPLOYEE ACTIONS This can be best explained with an example. Suppose your HR manager fails to enroll an employee in the company-sponsored healthcare plan. Later, someday the same employee gets into a car accident and is taken to a hospital only to find out that he/ she doesn’t have health insurance. This limits a business’s exposure because of the error in administering a health plan. Other staff and employee actions may include incidents of property damage, injuries which can be, at times, brought on by third parties.
- ENABLE YOU TO CLOSE BIGGER CONTRACTS Many big firms require you to have coverage before closing the deal. If you deal with bidding on large contracts, a liability insurance benefits plan can ease the process while helping you close more deals. Having liability insurance also keeps you ahead of your competitors.
Whether it's a group health insurance plan, employee liability benefits insurance, or individual life insurance, it not only acts as a risk management tool but also ensures smooth continuity of operations. It's also important to understand that not every type of insurance might benefit your business. This is where seeking professional expertise comes into play. Regardless of your business type and company size, if you would like to learn how to leverage these benefits for your business completely, dial 401-435-4239 now to connect with us!