An entrepreneur is starting a business. In order to protect herself, she wants to invest in good insurance policies. She wants one policy that will pay her employees' expenses if they get hurt on the job. She also wants to make sure she is protected from expensive lawsuits if a customer gets injured in an accident while on her property.Which two types of insurance would best address the entrepreneur's concerns?A.Workers' compensation and liability insuranceB.Title insurance and workers' compensationC.Disability and homeowner's insuranceD.Liability and homeowner's insurance
Question
An entrepreneur is starting a business. In order to protect herself, she wants to invest in good insurance policies. She wants one policy that will pay her employees' expenses if they get hurt on the job. She also wants to make sure she is protected from expensive lawsuits if a customer gets injured in an accident while on her property.Which two types of insurance would best address the entrepreneur's concerns?A.Workers' compensation and liability insuranceB.Title insurance and workers' compensationC.Disability and homeowner's insuranceD.Liability and homeowner's insurance
Solution
The two types of insurance that would best address the entrepreneur's concerns are A. Workers' compensation and liability insurance.
Workers' compensation insurance would cover the expenses if an employee gets hurt on the job. This could include medical expenses, rehabilitation costs, and a portion of their lost wages.
Liability insurance, on the other hand, would protect the entrepreneur from expensive lawsuits if a customer gets injured while on her property. This type of insurance would cover legal costs and any potential settlements or awards if the business is found to be at fault.
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