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Federal and state guidelines of this country have become very strict on their requirements for business proprietors, and this holds no less true in the state of Texas. Business insurance is a requirement of most large businesses and it is often a good idea to buy more than the state-mandated minimum purchases.

The first question is, what kind of insurances are there available for businesses in the state of Texas? Put simply, there are four, which will be outlined briefly:

General business liability: this provides protection from bodily injuries, property damage, wrongful claims and advertising, and various other basic and common accidents that are prone to occurring in the workplace or site. Nearly all businesses purchase some form of general liability insurance, though the names, classifications and types vary widely.

Professional: this type of insurance is typically purchased by lawyers, doctors, engineers, architects, dentists and other qualified career professionals. Under the label of either “malpractice” or “errors and omissions,” professional liability insurance protects professionals from simple to grossly negligent mistakes that they might commit through the course of their professions.

Product: Product liability insurance provides protection for manufacturers who produce potentially dangerous products, and covers bodily injury from product malfunction, chemical spills, or other accidents that the product could reasonably cause.

Employment practices: this kind of insurance protects the business from lawsuits resulting from sexual harassment, wrongful termination and discrimination. This is a relatively new form of liability insurance that has arisen from the increase of lawsuits in these areas in the past few decades, and is very essential to most enterprises being run in the state of Texas.

Business insurance can also be bundled under what is called umbrella insurance, which is a product that lumps together multiple quotes under one comprehensive policy. This results in a lower overall cost which can help business proprietors greatly with their bottom lines. Most insurers over umbrella insurance packages, and it would be a wise idea to consider them if you have several packages that you would like to bundle

This Business article was written by Mark Karavan on 11/27/2009