Business Insurance Essentials
Running a business involves navigating risks that can threaten your financial stability and long-term success. Business insurance not only shields your company from, but it also helps separate business liabilities from your personal assets. It can even provide continuity after an unexpected sudden death of a business partner or key employee.
Protect Your Business
Insurance can serve as a critical risk management strategy by shifting catastrophic financial risk from the business to the insurer. This protection goes beyond simple coverage—it can maintain operational continuity, safeguard assets, and support your reputation. Whether it’s shielding against lawsuits, property damage, or unforeseen interruptions, the right policies can help maintain stability and confidence in the future of your business.
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Baseline Coverage
There are specific insurance policies that provide a strong risk-management foundation.
Commercial General Liability Insurance (CGL): Protects against third-party claims (bodily injury, property damage, and personal injury).
Umbrella Insurance: Extends liability limits beyond primary policies, such as CGL or auto.
Property Insurance: Covers physical assets from theft, fire, or vandalism. May include business interruption coverage
Workers’ Compensation: Required in most states for any business with employees.
Commercial Auto Insurance: Covers company-owned vehicles and work-related use of personal vehicles.
Hired and Non-Owned Auto Insurance: Covers liability when employees use personal vehicles for business.
Strategic Add-Ons
Specialized coverage can address unique vulnerabilities tied to industry, size, and operation model.
| Protect Yourself | |
| Directors and Officers (D&O) Liability: | Protects leadership from mismanagement claims. |
| Business Owner’s Policy (BOP): | Bundles liability, property, and income coverage for small- to mid-sized businesses. |
| Buy/Sell Agreements: | Defines ownership transfer terms in case of death, disability, or retirement. |
| Key Person Insurance: | Provides financial cushion if a vital employee passes away or becomes critically ill. |
| Life Insurance for Estate Liquidity: | Helps cover estate taxes or balance inheritances. |
| Spousal Rights and Continuity Planning: | Prevents unintended ownership transfers during divorce or death. |
| Protect Your Business | |
| Professional Liability (E&O): | Covers financial harm from professional errors or omissions. |
| Employment Practices Liability (EPLI): | Shields against claims of harassment, discrimination, and wrongful termination. |
| Cyber Liability Insurance: | Protects digital data or online operations. |
| Product Liability Insurance: | Provides coverage for manufacturers or sellers of goods. |
| Environmental/Pollution Liability: | Provides coverage for industries with contamination risks. |
A Tailored Insurance Strategy
Every business evolves and so should your insurance strategy. Work with an experienced insurance agent to help review your current coverage, identify gaps based on business type and structure, and take steps to properly protect you and your business.
This material is provided solely for informational and/or educational purposes, does not provide any financial, investment, tax, legal or other advice, and should not be construed as a recommendation to take any particular course of action. Information obtained from third-party sources is assumed to be reliable but may not be independently verified, and the accuracy thereof is not guaranteed. Any potential outcome discussed, including but not limited to performance, legislation or tax consequence, ultimately may not occur. The information presented is current as of the date of publication and is subject to change. Readers should contact Glenmede or consult with a financial, investment, tax, legal or other advisor if they have any questions about this material or want advice or more information.