General liability insurance is the most basic business insurance, and is a great starting place for new businesses. General liability insurance covers many basic liability claims, like bodily injury, property damage, advertising injury, and more. It won’t cover everything your business may face, but it is a great place to start to have some level of protection.

Many different types of businesses each have their own risks that require extra insurance. Medical practices and other professional services have lots of liability risk that would result in lawsuits. Businesses that keep their inventory for a long period of time before making a sale should consider coverage for if the inventory is damaged. Businesses that rely on specialized tools or equipment should have coverage for if the equipment would break down.

There are many extra insurance policies your business may need. If you have a company vehicle or work truck, you will need commercial auto insurance. Commercial property insurance protects your business’s building. Cyber liability insurance protects your computer systems in the event of a hack or data breach. Your business may also need extra coverage for special events you host outside of normal operations, and you may even need special policies to protect your leadership from lawsuits. There are so many different aspects of business that require extra coverage, so it’s important to talk to an insurance professional to find what’s right for your business.

Businesses are required by law to have workers’ compensation insurance, contribute towards unemployment insurance for all employees, and to have commercial auto insurance for any vehicles the business owns. States and municipalities all have extra rules on what insurance is required, and some policies may also be mandatory depending on what industry you are in.