Running a business in San Diego comes with many challenges, and ensuring you have the right insurance is one of them. Many business owners believe they’re covered—until they experience a loss and realize their policy has gaps. Here are three ways to know you have the right commercial business insurance.

  1. Your Coverage Matches Your Industry Risks

Not all businesses face the same risks, so your insurance should be tailored to your industry. A tech startup has different needs than a construction company, and a restaurant requires different coverage than a retail store. Make sure your policy covers your specific exposures, such as:

  • Professional Liability Insurance for service-based businesses
  • Product Liability Insurance if you manufacture or sell goods
  • Commercial Auto Insurance if your company uses vehicles

If your policy doesn’t align with your industry’s risks, you may need to adjust your coverage.

  1. Your Policy Covers Legal and Financial Risks

Lawsuits are more common than ever, and a single claim could put your business in financial jeopardy. The right commercial insurance should protect you from:

  • Employee-related claims, such as wrongful termination or harassment (Employment Practices Liability Insurance)
  • Cyber threats, if you handle sensitive customer data (Cyber Liability Insurance)
  • Property damage or business interruptions, ensuring you can recover from disasters

If your current policy doesn’t account for these risks, it’s time to review your coverage.

  1. You Understand Your Policy Limits and Exclusions

Many business owners only discover gaps in coverage when they file a claim. Reviewing your policy’s limits and exclusions ensures you won’t be caught off guard. Ask yourself:

  • Do I have enough liability coverage to protect against high-dollar lawsuits?
  • Does my business interruption insurance cover lost revenue if I need to shut down temporarily?
  • Are there exclusions that could leave me vulnerable?

If you’re unsure about your coverage, consulting with an experienced insurance professional can help you identify potential gaps.

Having the right commercial business insurance isn’t just about having a policy—it’s about having the right policy. If you’re uncertain about your coverage, a policy review can give you peace of mind and ensure you’re protected from unexpected risks.