With upwards of 4 million small businesses in California, business owners must protect their investment to ensure their own financial success and the livelihoods of those they employ. To that end, businesses in California must have workers’ compensation insurance regardless of the number of full-time or part-time workers they employ. In short, workers’ compensation insurance helps pay for the medical bills and lost wages associated with an employee being injured or getting ill while on the job. In addition to workers’ compensation insurance, California businesses must also have commercial auto insurance on any company-owned vehicles. Keep in mind that this law only extends to vehicles that are owned by the business, so if your employees are required to use their personal vehicles for work-related functions, then you should strongly consider hired and non-owned auto insurance because the vast majority of personal insurance policies will not cover business use.
Although workers’ compensation and commercial auto insurance are the only two insurance requirements for businesses in California, there are additional policies that can be purchased for your business that help protects various aspects. For instance, cyber liability insurance protects small businesses from the exponential costs stemming from lawsuits, identity protection tools, fines, and much more, resulting from a data breach or hack. Other optional policies include general liability and professional liability insurance, which protect business owners from third party damages and errors or omissions.
With so many options to choose from, selecting a commercial insurance policy can feel overwhelming. Lucky for you, the friendly and professional team at KC Wilson Insurance & Financial Services in San Jose, CA strives to make the process as easy as possible. Give us a call today to schedule a no-obligation consultation.