Jasz
VIP Contributor
Insurance is a necessary evil for any business. It's not just about protecting yourself from the consequences of someone else's negligence — it also helps protect your reputation.
As a small business owner, you're probably familiar with the concept of insurance. But what happens when your insurance company doesn't pay up? Or what if they don't pay up fast enough? If you're like most entrepreneurs, you might have been hit by one or both of these scenarios.
Here are some things you may have lost as a business if your insurance company got sick or went out of business:
Customer relationships. If you had to replace equipment or fix an office building because of vandalism or a flood, customers may have gone elsewhere to do business with you. Also, if you had to close down temporarily because of an illness or injury, it could mean lost sales and customers who wouldn't return if they knew that something was wrong with your company.
Employees' health benefits (with COBRA). If your employees lost their jobs because their insurance policies ran out or weren't accepted by their current employers, they might file for COBRA benefits until they found new jobs. These payments can be expensive for businesses — especially small businesses.
As a small business owner, you're probably familiar with the concept of insurance. But what happens when your insurance company doesn't pay up? Or what if they don't pay up fast enough? If you're like most entrepreneurs, you might have been hit by one or both of these scenarios.
Here are some things you may have lost as a business if your insurance company got sick or went out of business:
Customer relationships. If you had to replace equipment or fix an office building because of vandalism or a flood, customers may have gone elsewhere to do business with you. Also, if you had to close down temporarily because of an illness or injury, it could mean lost sales and customers who wouldn't return if they knew that something was wrong with your company.
Employees' health benefits (with COBRA). If your employees lost their jobs because their insurance policies ran out or weren't accepted by their current employers, they might file for COBRA benefits until they found new jobs. These payments can be expensive for businesses — especially small businesses.
