Insurance is not at all limited to individuals for health, life, car and household protection and security, but most companies today either get insurance out of their own volition or are forced to get company insurance by law (this depends on the country or state the company operates in.)

A company insurance policy is slightly more complicated to buy than a normal policy as the needs of the company are more complex than that of an individual. The paperwork will essentially be more and if you are not a sole-proprietor you will need the signatures of every owner on all the documents. However, a company usually has a legal team which can include or temporarily add an insurance broker to help purchase the best possible insurance policy for the company. The owners of the company need to evaluate (or let a trusted individual evaluate) the prices and amount of coverage before purchasing the policy.

Company insurance will protect a company from accidental or sometime other losses. The insurance will usually cover possession within office buildings, assets (such as buildings and whatever else the company invests in) and company vehicles and fleets. If a company were to experience loss in the form of fire, car accidents or theft, the insurance company will reimburse the company in exchange for periodical payments (usually monthly, quarterly or yearly). Companies can choose to pay the insurance company a large sum of money once a year instead of monthly to make the entries in the accounting books less frequent and less complicated.

However, if an accident or loss were to occur, the insurance company will conduct an investigation before they pay out to determine whether or not it was truly an accident by no fault of anyone involved with the company. Company insurance is stricter, because the policies are worth much more and many companies have tried to gain money from an insurance company by causing an accident themselves. If the insurers find out that the company is at fault, they will not pay out. Usually, the company has to report an accident or loss to the police as well, so the company will go to court if they are involved in such case.