Is Insurance Necessary?
I’ve been reading a lot about the apocalypse that was supposed to happen today, and pondering whether there were people out there who were actually silly enough to go out and stockpile things to prepare for it. Since you’re reading this instead of huddling in your basement trying to escape impending doom, it’s pretty obvious that the world didn’t meet its untimely demise, and the end of the Mayan calendar really held no more significance than when our own calendar ends at the end of December every single year.
All of this reading (and honestly, more than a little laughing) got me to thinking. While I think being prepared for the end of the world is a pretty silly thing, there are people out there who take it seriously. And in a similar fashion, there are possibilities in the world of business that I think everyone should be prepared for, that others might not take so seriously. One sticks out in my mind that is especially important, and is all ignored far more often than you would expect: insurance.
Insurance can be expensive, sometimes even prohibitively so. This leaves many business owners questioning whether or not having it is even necessary. After all, odds are nothing bad is going to happen, right? Just like today’s apocalypse?
I don’t think I have to tell you that something going wrong with your business that would necessitate an insurance claim is far more likely than the world coming to an end, but to some, they’re both pretty much equal in terms of probability. This is a pretty silly view to have for a number of reasons, two of which stand out as the most important (and really, the most obvious).
For starters, in many cases you are legally required to have it, so to consider not getting it is to consider breaking the law. We’re big on ethical business practices ’round these parts, and you should be too. Second, even if your business happens to be of the type that doesn’t require it from a legal standpoint, if something does happen and you don’t have it, you’re on the hook for it. You have no safety net. You have no backup. You could potentially be left paying out ridiculous amounts of money as a result.
Now when I say insurance, you’re probably thinking things like accidental injury, that kind of thing. In case a client or team member hurts themselves in your place of business. But that’s only the tip of the iceberg. What about theft? Property damage? Heck, health insurance? There are a number of possibilities that it would be prudent to obtain a safety net for, and proper insurance can provide that. Do a little research with local insurance providers to see what your options are.
It’s easy to think that getting insurance is eating up a slice of your PIE. But believe me, that’s nothing. Not having proper coverage and then having an incident occur could end up costing you the whole thing, and then some. And that my friends, that is a potential apocalypse waiting to happen. For the world? No. For your business? Absolutely. Be smart, and keep you and your business covered. Just in case.