Name common insurance types small businesses should consider and what they cover.

• A. General liability, professional liability, property, workers' compensation, cyber liability
• B. General liability, property, workers' compensation, cyber liability
• C. Professional liability, property, workers' compensation, cyber liability
• D. General liability, professional liability, property, workers' compensation, cyber liability

Answer: (D)

Small businesses should carry a mix of insurance to protect against different kinds of risk. General liability covers third-party claims for bodily injury or property damage that occur on your premises or because of your products or services, plus the legal costs that can come with those claims. Professional liability, or errors and omissions, protects you if a client sues over mistakes or failures in the professional services you provide. Property insurance covers your physical assets—office space, equipment, inventory—from perils like fire, theft, or vandalism. Workers’ compensation provides for medical treatment and lost wages if employees are injured on the job, and is often required by law. Cyber liability protects against data breaches and other cyber events, including costs to notify affected people and defend or settle claims. Together, these five areas address common and significant risks small businesses face, making this the most comprehensive set. Other options miss one or more essential protections, such as omitting professional liability or cyber coverage, which can leave a business exposed.