What is property insurance?
Property insurance protects your buildings and equipment, inventory, furniture & fixtures. Some policies include equipment breakdown and business income coverage. Basic Property insurance will generally cover your business for losses in the event of a fire or lightning strike, and will pay the cost of removing property to protect it from further loss. Additionally, a standard small business insurance policy will usually cover losses from windstorm, hail, explosion, riot or civil commotion and damage caused by aircraft, automobiles or vandalism.
How much property insurance does my business need?
Property insurance can be purchased on the basis of the property’s Actual Value (the replacement cost minus depreciation); its Replacement Cost Value (the cost of replacing the item without deducting for depreciation); or an Agreed-upon amount.
How does liability insurance coverage protect my business?
There are many different types of third-party liabilities to be covered for a business. Business liability insurance may protect you from claims arising from someone’s bodily or personal injuries. Other items that could be covered are damage to the property of others, products-completed operations, advertising, premises operations, fire legal liability, and related legal defense costs. For instance, liability insurance will not only pay the cost of covered damages but also the attorney fees and other costs associated with your defense.
What exactly does the term “bodily injury” in a liability insurance policy mean?
This refers to injury, sickness, disease, or even death of any person that occurs during the policy period for which the insured can become liable.
What does “personal and advertising injury” mean in general liability insurance coverage?
Personal and advertising injury means being responsible for libel, slander or any defamatory or disparaging material, or a publication or utterance in violation of an individual’s right of privacy; wrongful entry or eviction, or other invasion of the right of private occupancy; false arrest, wrongful detention, false imprisonment, or malicious prosecution; which occurs during the policy period.
How does an umbrella insurance policy work?
A policy designed to provide protection against catastrophic losses, the umbrella insurance policy is generally written over various primary liability policies, such as a general liability insurance policy, business auto policy and employer’s liability coverage. Once the underlying limits of these primary policies are exhausted, the umbrella liability policy would provide further coverage beyond the limits of those policies on an additive basis.
What does worker’s compensation insurance do?
Worker’s compensation pays for the rehabilitation, recovery and medical bills of employees for work-related injuries, as well as lost time when they are unable to work because of a work-related injury. Worker’s compensation is not a substitute for health or medical insurance since employees are only covered for on-the-job injuries.
How much does worker’s compensation insurance cost?
Worker’s compensation pricing is based upon your employee payroll, the number and job classifications of the employees, classification of your business and past loss experience. The employer pays for the cost of the worker’s compensation.
Why should I purchase commercial auto insurance?
Many personal auto insurance policies exclude coverage if a vehicle is used mainly for business. A commercial auto policy provides coverage for autos owned by a business if these vehicles are in an accident. The insurance pays to repair or replace the vehicle and the vehicle of the third party damaged by the employee. It also pays for the medical expenses of those injured in an accident.
Will my employees’ personal cars be covered under a commercial auto policy if they are using their cars for business?
Most commercial auto insurance policies cover the liability for a business if employees use their own cars for business, provided that the business owner has purchased coverage for “Non-Owned Auto” liability. Separate non-owned physical damage coverage is available to cover actual damage to the auto. However, the employees’ personal auto policy would be the primary coverage for damage to their automobiles.
What is errors and omissions insurance?
Errors and Omissions (E&O) insurance offers coverage for people who give advice, make educated recommendations, design solutions or professionally represent the needs of others. “E&O” is also referred to as professional liability or malpractice insurance. This type of liability insurance would cover you and your employees in the event someone claims you incorrectly performed or failed to perform your professional duties.
What is business income insurance?
This insurance may reimburse you for the “net income” that would have been earned during a period of forced closure of your business caused by a covered cause of loss. Losses due to down time or extra expenses needed to restore operations (such as additional property rental) also may be covered.
What is employment practices liability insurance?
Employment practices liability insurance (EPLI) is designed to protect employers against claims of employee sexual harassment, discrimination, wrongful termination, and other employment-related litigation. Many insurance companies offer employment practices liability insurance as part of their business owners’ policy or as a stand-alone policy.
What is inland marine insurance? Why do I need it for my business?
Despite its misleading name, inland marine is a broad type of insurance that covers physical Property items that may be transported from place to places. Specifically, this type of insurance protects a wide range of high risk, mobile items, including: specialized contractor’s tools and equipment, electronic data processing systems, mainframe computers, laptops, fine art objects and jewelry.