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Step 1
Make a list of the various property and equipment that your small business uses and would need to replace if a disaster took place. While you do not need to account for every paper clip, you do need a general idea of the office furniture, equipment, vehicles and other property that make up your company's assets.
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Step 2
Determine the cost to replace each item on your list. While most insurance companies prefer to insure your property for the actual cash value (the depreciated value), that amount may not cover replacement costs if your property is damaged or destroyed.
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Step 3
Add up any costs you will face in bringing your small business back to operating capacity in the event that your equipment is damaged. If, for instance, you rely on your computer for data storage, you might want to consider the cost of data recovery.
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Step 4
Keep a copy of your product inventory, if you run a business that relies on selling products, with the list you have made for insurance purposes. While your stock might vary, it is important to have a general idea of the inventory you might need to replace after a disaster.
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Step 5
Take note of new equipment or property as you purchase it. Keep your inventory up to date, so that you will be prepared if an emergency occurs. It is worthwhile to keep a copy of your inventory outside of your place of business, so that you can access your inventory immediately if a problem arises.
