What type of protection does insurance provide to a business?

Insurance provides protection against financial loss, which is crucial for any business. When a business invests in insurance, it safeguards itself from various risks that could lead to significant monetary setbacks. This could include property damage from natural disasters, liability claims from customers or employees, and loss of income due to unexpected events such as business interruptions.

By having insurance, a business can manage risks more effectively and mitigate the impact of unforeseen circumstances, allowing it to continue operations without severe financial strain. This financial safety net helps business owners to focus on growth and stability without the constant fear of potential disasters leading to bankruptcy or significant financial hardship.