As of 2020, over 440,000 small businesses are operating in Ontario.
Every year thousands of businesses disappear (1), including around 7,000 due to bankruptcy (2).
With only 30% of small businesses surviving past 5 years (2), owners must do everything they can to increase their chances of survival.
What’s one of the best ways they can do that?
Ensure they’re protected with a customized commercial insurance policy.
SMALL BUSINESS INSURANCE CLAIMS ARE ON THE RISE
In 2020 alone, there was over $42.4 billion worth of business insurance claims in Canada. (3)
Another alarming fact is how catastrophic losses have been on the rise over the past decade thanks to natural disasters that cause destructive winds and flooding.
In 2020 there was nearly twice as much catastrophic loss suffered by businesses compared to 2010. (3)
With experts predicting these extreme weather events to continue, commercial property insurance will only become more important.
IS SMALL BUSINESS INSURANCE MANDATORY IN ONTARIO?
Legally? No. Well, unless you’re an electrician.
If you want to help give your small business the best chance of survival? Then yes.
If you want your business to be protected from liability claims, lawsuits and losses to your commercial vehicle and commercial property, then small business insurance is a must-have.
As Myles Calvert of Myles Calvert & Son contracting puts it:
“If there’s an issue or injury you may as well give up the keys to your house if you aren’t properly insured.”
WHAT INSURANCE COVERAGE IS AVAILABLE FOR MY SMALL BUSINESS?
- Liability Insurance covers property damage and physical injury
- Commercial Auto Insurance covers your business vehicles
- Commercial Property insurance covers your business buildings
Other insurance options you might consider depending on the type of small business you own:
- Liquor Liability Insurance
- Professional Liability Insurance
- Workers Compensation Insurance
- Product Liability Insurance
HOW DOES SMALL BUSINESS LIABILITY INSURANCE PROTECT ME?
We take a deep dive into Ontario liability insurance in another article, but here’s what you should know.
Liability insurance helps:
- Increase your financial insecurity
- Protect you from lawsuits
- Prevent asset loss
HOW MUCH DOES SMALL BUSINESS INSURANCE COST IN ONTARIO?
The cost of small business insurance depends on your type of business, the annual revenue of your business, where you’re located, how long you’ve been running the business, how large your business is (i.e. how many staff members) and what previous insurance claims you have made.
Many insurance providers offer free small business insurance quotes so we recommend you speak with a couple of different insurance companies to see which feels like the best fit for you.
WHAT MAKES ERIE MUTUAL THE RIGHT CHOICE FOR YOUR SMALL BUSINESS INSURANCE?
We’ve been in business for over 150 years and we know what we do well.
We specialize in the right types of insurance for a variety of industries and do not overextend ourselves into areas we’re not yet familiar enough with.
When your business is insured with us, you know you’re covered in the best possible way.
We are detailed. We go over the nooks and crannies of your business to get you a customized policy that suits the exact needs of your business. You only pay for what you need and nothing you don’t.
We also include a legal assistance program with every business insurance policy at no extra cost to you. This convenient, 24/7 resource offers unlimited calls to experienced lawyers and HR consultants as well as discounted lawyer fees for most services.
Erie Mutual Insurance proudly serves the commercial insurance, farm insurance, home insurance and auto insurance needs of members throughout Southern Ontario including Haldimand, Niagara and Hamilton.
Please don’t hesitate to contact us with any questions you may have about this or any other topic related to your insurance.
1 – www.ic.gc.ca
Please contact us with any questions you may have about this or any other topic related to your insurance.