Business Insurance

Business Insurance Articles

Life Insurance for Small and Medium Businesses

There are a couple of different types of life insurance that a business owner may be interested in. If the business owner is looking to protect their dependents should they die then the business owner should be interested in life insurance on themselves. There are three main types of life insurance to look at, term, whole life, and universal life insurance. Business partners might also agree to buy a combined life insurance policy called a buy-sell agreement in case one of the partners dies. This type of policy will provide the money needed to buy the shares of the deceased partner should they die prematurely. There is also key person insurance which is used to cover a person that would be very difficult or expensive to replace if they were to die or become otherwise incapacitated. The last type of life insurance policy a business owner should consider is offering it as an employee benefit.

Commercial Umbrella Insurance

A commercial umbrella policy is a type of policy that provides financial protection for a business above and beyond the liability limits of its other policies. If a business faces a massive claim that exceeds the limits of one of their other insurance policies, such as a general liability or commercial auto policy, the umbrella will kick in and extend the limit up by the face amount of liability there is on the umbrella. Umbrella policies start with a face amount of $1,000,000 and increase in $1,000,000 increments from there.

Business Owners Insurance Policy

A business owners policy, commonly called a BOP, is a package of insurance policies that most small businesses need coverage for. What’s included in a BOP is general liability insurance, business property coverage for the businesses property and building if applicable, and business interruption insurance. The advantage of buying a BOP is that it’s usually a more convenient and less expensive option to buy these types of policies bundled together as a BOP rather than buy each type of insurance policy separately.

Commercial Property Insurance

Commercial property insurance is designed to help businesses recover from covered events which result in the loss of its property. This can include the value of the building the business owns and the cost to repair or rebuild it. Commercial property insurance also covered the businesses property such as computers, equipment, furniture, inventory, and other things used in a business. This coverage also covers the company’s outdoor signs as well as any fencing or landscaping that exists on the property. The businesses property is covered both at the business location and away, such as a laptop that is taken to client’s homes. Additionally, if the business has the care, custody, and control of a customer’s property that is also covered under this type of insurance policy if it were to be damaged or destroyed in a covered loss.

Professional Liability Insurance - Errors & Ommissions

A professional liability policy is a type of insurance policy which provides coverage if a professional provides a service or advice to a client which the client feels didn’t meet what they were led to expect or if the professional makes a mistake that others in their profession wouldn’t ordinarily make. These are also called errors and omissions (E&O) policies because the professional that is covered by the policy either made a mistake and/or omitted doing something they should have done by the professional standards of their industry. There are two types of professional liability policies. Medical professionals like dentists and physicians carry what is called malpractice insurance. Other types of professionals who give advice and services such as architects, insurance agents, lawyers, engineers or similar professions carry errors & omissions policies. While depending on the profession it might be called one or the other type of professional liability policy, they both essentially cover the same things.

Commercial Liability Insurance

A Commercial General Liability policy protects a business against financial loss if it is held legally liable for third parties who suffered bodily injury and/or property damage due to the business’s operations, employees, products, or location. Every business needs to have this coverage in order to protect the company’s assets in the event of a large claim. Some businesses are required to have this coverage by the state in which they operate, such as contractors like plumbers, electricians, and handymen. Often times clients can also require this coverage as a requirement to do work for them. It is in every business’s best interests to have a commercial general liability policy regardless of whether they are required to have one, however.

Commercial Auto Insurance

Commercial auto insurance is a type of policy that provides protection for vehicles that are used for business purposes. A commercial insurance policy can be written for anything from a single vehicle to an entire fleet of vehicles. Similar to a personal lines auto insurance policy, a commercial auto policy includes several types of coverage with the main ones being liability, uninsured motorist, comprehensive, and collision coverage. Commercial auto insurance policies also offer higher limits of liability than a personal lines policy typically does.

What Every Business Owner Needs To Know About Commercial Insurance

All businesses are going to need commercial insurance of one type or another. Whether it's to cover their liability, their property, or life insurance, having the proper insurance and coverage limits is vital to running an effective company and protecting the business owners assets and interests. There are several lines of commercial insurance policies in order to cover all types of business activity.

Commonly Misunderstood Insurance Concepts

Despite the availability of live agents, toll-free call centers, and an almost endless supply of information on the internet, policyholders everywhere still hold a multitude of misconceptions about insurance. Why do these fallacies persist? The reasons are almost as numerous as the misconceptions themselves. Some people are afraid to be ridiculed if they ask a question that they think is stupid. Others take the advice of friends or family members who may have good intentions but do not truly have a firm grasp of how insurance works. Whatever the reason, do not fall victim to any of these insurance misconceptions

Insurance for Your Truck

All states require any vehicle on the road to carry a certain minimum level of coverage. While these minimums can vary from state to state and don't necessarily cover everything that a driver might want, the fact remains that insurance is essential. For many consumers, the process of purchasing auto insurance is fairly straightforward. They simply work with an agent or contact several insurance companies to compare rates. Things can be a little different for truck owners.