FINANCIAL BRIEFS – COMERICA BANK . . . Insurance solutions for businesses

Often times, smaller companies and start-ups tend to overlook insurance options for a variety of reasons including cost, time investment and sometimes the general unfamiliarity of the insurance process. However, there are many insurance solutions for businesses of all sizes and insurance should be viewed as a positive asset to any company, rather than another problem that must be handled.

Bryan Kucholtz, a Senior Vice President and Wealth and Institutional Management Advisor for Comerica Bank says that in today’s business climate, having insurance policies, both on employees and on the company itself, is simply smart business and gives you much more flexibility to operate and survive.

“A good thing for business owners to remember is that insurance allows the business to remain intact during tough times, may help retain employees and also helps sustain the company’s existence with the loss or permanent disability of a key individual,” says Kucholtz.

There are several different insurance planning options that business owners should consider:

Group Benefits Insurance. Group benefits insurance includes provisions like life, health, vision, dental and accidental death insurance, just to name a few. Life insurance packages, group medical insurance and short- and long-term disability plans can also be beneficial for the company and its employees. With such aid, employees may be more inclined to stay with your company for a greater period of time.

Property and Casualty Insurance. This type of insurance is designed to protect the company itself. Insurance agents will work with small and large businesses alike to help them put together packages that keep them safe against lawsuits, damage and other potential situations. Some insurance solutions include workers’ compensation, commercial liability and automobile and business interruption policies designed to shield the organization against events that make it difficult to continue operations. In other words, a business’ property, including employees, workspace and products, are kept safe and the organization is protected against unforeseen incidents.

Accounts Receivable Financing. This option helps companies ensure they will not run out of capital. With accounts receivable financing insurance, a third party provides credit insurance for the business. Outstanding invoices and receivables are purchased by a financier who then provides capital for the business. This type of insurance can protect the company in uncertain economic times. For example, if clients cannot pay invoices on time, the company is not financially wounded by the lack of cash flow.

Aside from being familiar with insurance options for your company, Kucholtz advises business owners to never be afraid to ask for help. Having insurance for your company is a great asset and one that makes your company more stable and financially viable.