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These days, many people think of intellectual property when they hear “protecting a business”. While it’s important to protect your business ideas, there are other threats out there that can pose an even bigger problem for your business.
Types Of Protection Needed For A Business
#1: Physical Security
As the name suggests, physical security protects your physical business (i.e., your building and everything in it) from threats. Several factors will determine the type and amount of physical security you’ll need, such as the:
- Line of business you’re in
- Number of employees you have
- Physical location of your business
A simple security assessment can help you determine the best type of physical security needed for your business. Examples of physical security measures include coded door locks, alarm systems, video surveillance, and security personnel. Remote businesses may not need the same level of security as physical businesses, but it’s still a good idea to have some type of physical security system as long as you’re working in a physical building.
#2: Insurance Protection
Even if your physical business is protected from a physical threat, there’s another type of threat that can cost your business thousands of dollars, and that’s the threat of lawsuits. While business insurance won’t protect your business from a lawsuit itself, it will keep you from paying out of pocket when settling claims. There are also insurance types that protect you from losing money in general. Here’s a look at some of the most common types of business insurance.
Business Interruption Insurance
Also known as business income coverage, this type of insurance helps replace lost income if you can’t run your business for whatever reason. This usually applies to property damage, but some insurance policies will now cover things like a pandemic since many businesses had to close down in 2020.
Commercial Property Insurance
Commercial property insurance covers the cost of damages/losses associated with property damage. It includes damages associated with storms and fires, but it also includes damages and theft due to a break-in— if your physical security systems fail.
Data Breach Insurance
This type of insurance covers the costs associated with repairing a data breach. No matter what type of business you are in, you will store personal information— whether it’s that of your customers/clients, employees, or your business itself— and a data breach can leak this sensitive information. Data breach insurance covers the cost of notifying customers/clients and offering credit monitoring services.
General Liability Insurance (GLI)
GLI is one of the most common and basic types of business insurance. It covers the cost of claims against damage to a customer’s/client’s property (property damage) and harm to an individual (bodily injury).
Product/Professional Liability Insurance
Product liability insurance is often included in GLI if you own a business that sells products to customers. It does the same thing as GLI, except if your products cause harm. On the other hand, professional liability insurance (also known as errors and omissions) protects businesses that provide services to clients. It covers the legal costs if you make a mistake in your services.
Workers’ Compensation Insurance
Finally, all businesses that employ individuals must have workers’ compensation insurance. This provides pay, medical costs, funeral expenses, and other benefits to an employee or their dependents in the event they are injured or killed on the job.
Physical security measures protect your physical property, while business insurance protects you financially. Businesses also need protection in the cyber world, and this is where having a managed security services provider (MSSP) can help protect you. This protects your computer systems and networks from various attacks, and all businesses can benefit from this since all businesses use networks and computer systems to some extent. Cyber security systems can help protect against:
- Cyber attacks
- Data breaches
- Unauthorized user access
As with physical security, it’s important to have both a cyber security system as well as data breach insurance if cyber criminals get around your system. Unfortunately, these criminals are always coming up with new ways to hack computer systems, but the good news is that a trustworthy cyber security company is always working to stop cyber attacks.
It’s important to protect your business from all possible angles, and these three types of protection cover a broad range of angles for all businesses. Part of running a successful business also means that it’s protected in every way possible from a variety of threats.