What is Lost Key Liability and Why Might a Business Need It?
Keys are a regular part of most adults life. When we leave the house most people grab their keys, wallet/purse, and cell phone. When a person owns or operates a business that has access to the keys of other people or businesses there is a significant risk the keys may be lost. If those lost keys fall in to the hands of a nefarious person, they can cause a large amount of damage to the owner of that property. These are damages your business will be liable for. One of the best ways to protect a business from this liability is by securing the proper insurance policy. Lost Key Liability Insurance can help minimize the cost to a business when a keys go missing and a business is held responsible for replacing the locks and keys.
What is Lost Key Liability Insurance?
Lost Key Liability Insurance covers a business or contractor who is responsible for possessing the keys of another person or business. The most common example of a business with this responsibility is a cleaning company. This type of business has employees who use the keys to access the building after hours to performing the cleaning service. If the employee of that business losses the keys, the cleaning business is responsible for replacing the locks and keys for the other person or business. If this is for one lock, it may not be that expensive. If it is for a business that has multiple locks and keys, it could be a significant amount. The cleaning business can protect this risk with a Lost Key Liability Insurance. This type of insurance does not cover criminal behavior committed by employees.
