Some circumstances legally require businesses to obtain commercial insurance such as is the case with businesses in Canada and the United States with employees require workers’ compensation, and business-owned vehicles must be covered under commercial auto insurance.Commercial general liability and commercial property insurance, though not legally required, may often times appear in commercial lease deals or client contracts. Depending on the type of client contract a business enters into (whether it be construction, IT security, banking, manufacturing, or logistics) pecuniary loss coverages may also be contractually required such as credit policies, fidelity, crime, surety bonds, and cyber liability.

Business insurance, also called commercial insurance, makes it possible to effectively transfer your organization’s risk through insurance. If there’s an accident at your business, you could face a lawsuit. The high cost of litigation, medical bills, and property damage claims is the primary reason businesses need insurance. There are other key areas of your business that could be impacted by certain threats such as damage to building and operations by a catastrophic event or employee error, road accidents or hazardous spills, product recalls, supply chain threats, or errors and omissions.

Business insurance costs can vary based on your industry, the policies you purchase and your coverage limits, number of employees, revenue, location, and claims history. Generally, small businesses in Ontario can expect to pay anywhere from a few hundred dollars to several thousand dollars per year for insurance coverage. 

Any business that operates out of a person's home must have home-based business insurance. Generally speaking, homeowner's insurance policies do not cover your business, particularly if you work remotely. Getting home-based business insurance will give your company the necessary defense against liabilities, losses, theft, and liabilities.

Cyber liability insurance provides businesses with a combination of coverage options to help protect the company from data breaches and other cyber security issues. No matter what industry you are in, or the size of your business cyber criminals are targeting your sensitive customer and employee information, third party corporate information, computer networks, and websites. They leverage these assets to extort money from their unsuspecting victims and/or sell them over the dark web for a profit. Either way, cyber insurance can be there to cover you and mitigate the fallout of any breach event.