Florist

How much insurance does a small Florist really need?

Here are 6 Insurance Policies every Floral Business should consider

How much and what types of insurance coverage a florist needs really depends on the size, type and scope of the business. If the florist only sells flowers at one location, it may not need all of the coverages discussed in this blog post. If the florist business designs flower arrangements or provides delivery service it opens up your business to an enormous amount of additional risk. Here are 6 insurance coverage’s all floral businesses should strongly consider securing.

General Liability

General Liability Insurance will protect your business from property damage and bodily injury claims of third parties. Third parties can be anyone not associated with your business that is harmed by the actions of your businesses operations. Included in this group of people can be customers, vendors delivering products to your facility or even a plumber who comes to work on your toilet.

Professional Liability

If you are designing floral arrangements for special occasions like weddings, funerals, Valentines Day or Christmas; you can be sued if the designs are not up to the expectations of the customer. The lawsuits do not have to be founded to cost your business immensely in legal fees and reputation management. A Professional Liability Insurance Policy will help your business withstand the costs to defend your self in court and for missed time at work spent defending you and your business.

Commercial Auto/Hired and Non-owned Auto

If your business uses vehicles as a part of normal business operations than you need to secure one or both of these coverages. If the business owns a vehicle and that is the only vehicle used for business purposes than a commercial auto policy should suffice your business, but if you have employees who use their own vehicle or rented vehciles for any part of their job than you need to secure the addition of hired and non-owned auto coverage.

Commercial Property

A commercial property insurance policy is needed if your business owns and operates any property as a part of your operations, no matter the size. It is different than a traditional home owners policy. Commercial property policies are sold on a replacement cost or on an actual value basis. It is usually best to purchase a replacement cost policy. This type of policy will cover the cost to tear down, haul off and replace the property that is damage. An actual value policy will pay you an agreed upon value of what the property is worth. In most cases this will not pay the entire amount to make your business whole again.

Inland Marine

If you own any specialized equipment or equipment that is designed to be in transport frequently, you have a need for Inland Marine Coverage. A commercial property will cover your facility. A commercial auto policy will cover your vehicles. If you have specialized equipment you use to design and maintain the arrangements or an attachment to your vehicle like a trailer it will not be covered by either of these policies. This is where an inland marine policy can be added to cover this specific equipment. Taking additional time with your agent to explain all the details of your business can make sure you secure all of the policies your business needs.

Workers Compensation

Workers Compensation Insurance is required by law for most businesses in 48 out of 50 states. The system is managed by the individual states, so it is important for you to check with the proper state governing agency to ensure you are compliant with your states laws and regulations. Even if there is an exclusion for your business to not carry the coverage, it is usually in your best interest to still secure workers comp coverage. This insurance policy will protect your business from being sued for most injuries that occur as a part of normal business operations. It also provides medical coverage and reimbursement of some lost wages for workers injured as a part of normal business operations.

Electrical Contractors

Insurance needs and concerns for Electrical Contractors

Electrical contractors carry unique risks that many other businesses in the construction industry do not face. With those risks come additional types of insurance needs. Each electrician is unique in the scope and capacity in which they operate their business. Depending upon the type of work each electrician partakes’ in, there may be a number of types of coverage an electrician needs to secure in order to properly secure their business. Here is a list of 5 commonly carried coverages most electricians secure.

General Liability
Commercial Property
Commercial Auto
Inland Marine (Tools and Equipment)
Workers Compensation

General Liability

Exposures at the contractor’s office are generally limited because of the lack of access to the premises. Storing materials outdoors may create vandalism and attractive nuisance hazards. Electrical voltage is always a risk for electricians. This is due to the risk of electrical burns or electrocution to employees or other third parties. An electricians’ employees can cause damage to the client’s property and can cause bodily injury to members of the household, the public, or employees of other contractors. These are risks that are covered by a general liability policy.

Commercial Property

If you own a property; no matter how small, your business needs to secure commercial property coverage. Property exposures at the contractor’s premises typically are fairly low for electricians. This is generally limited to those of an office and storage for supplies, tools, and vehicles.

Commercial Auto

Automobile liability exposure is higher for electrician than other brick and mortar businesses. Most electrical contractors are in transit to transport workers, equipment and electrical supplies to and from job sites. A driving hazard is a huge risk for insurance companies to insure. The more time your business spends driving the higher the likelihood of claims. Those claims tend to rise in both frequency and severity. Implementing a safe driving program and keeping up to date driving records for all employees can help limit what you pay in premium. Age, training, experience, and drivers’ records, as well as the age, condition, and maintenance of the vehicles, are all important items to consider.

Inland Marine

Inland marine is also commonly called ‘Floaters’ coverage. It is meant for specialized equipment that is frequently in transit as a part of business operations. The exposures often include owned or rented equipment, building materials, as well as materials being transported to and from the job site. This is commonly needed for businesses that transport their equipment to a third party site for use delivering a service. The most basic example of an industry that needs this coverage is a landscaping company. It can also include any business that takes equipment away from the premises for use as a part of normal business operations.

Workers’ Compensation

Workers compensation insurance is required by law in 48 out of 50 states. Each state has their own specific exclusions depending upon the number of employees and the scope of your work. It is important to check with the proper governing agency in your state to determine if you are required to purchase this coverage. Even if you are not required to purchase this coverage in many cases it is still beneficial to your business to secure it. The coverage provides you with protection from lawsuits that may result from injured employees who are injured as a result of normal business practices. Employees give up the ability to sue for normal injuries, but get back coverage for their medical expenses and some portion of their wages while they are hurt and not able to work. Typically they are reimbursed 60 percent of their normal wages for the time they are not able to work.

Real Estate Insurance Needs

5 Types of insurance every Real Estate Agency should have.

Real Estate Agencies take on a unique set of risks compared to other traditional businesses. Many businesses, like a restaurant for example, have a brick and mortar location where a majority or all of the business takes place. Real Estate Agencies, while most do have a physical address, have a majority of their work taking place at a third party location. These locations frequently are at the property they are helping to sell. For this reason, real estates agencies have to secure a unique group of coverages in order to adequately protect their business. Here are 5 recommended coverages most real estate agencies should secure.

General Liability Coverage
Errors and Omissions (Professional Liability)
Property Insurance
Hired and Non-Owned Auto
Workers’ Compensation Insurance

General Liability Insurance

For most real estate agencies, the risks related to general liability coverage are often minimal. This is primarily due to not much business occurring at the physical location. A majority of their work is done over the phone, by electronic mail or at a third party location. Off-Premises risks can be extensive for this industry. That is true whether you are dealing with the selling of properties or rental properties. These risks typically arise from sales visits, inspections, open-houses and similar work done at the customers’ home or other buildings. In some cases, there is an agent representing both the buyer and the seller. Any damage that occurs during joint operations, like an open-house, can cause a dispute between all parties involved. Monitoring of keys is another risk that must be dealt with carefully. Documenting every time, you access a facility is highly recommended to limit the risk you face regarding access to the facility.

Errors and Omissions Coverage (Professional Liability)

Exposure associated with errors and omissions (E&O) may be the most significant risk a real estate agency faces. This is because a majority of the work you do is highly specialized and you are giving advice. If you give the wrong advice, it can cause the business to be liable to the client in the future. To limit these risks the agency can make sure all employees have the proper credentials, experience and has the proper ratio of professional employees to clerical employees. Thorough background checks are essential to limit E&O Claims.

Commercial Property Insurance

If your agency owns physical property, you need to secure Commercial Property Insurance. There are two ways these policies are sold. They are sold on a replacement base or on an agreed upon value of the property. In most cases, it is better to secure a policy at replacement level. This will include the cost to tear down the facility, remove all debris and build a new facility. If your policy is an agreed upon value it typically does not include these additional costs.

Commercial Auto/Hired and Non-Owned Auto Coverage

If you own vehicles for your employees to use when they are away from the office than you need to secure a Commercial Auto Policy. Most real estate agencies do not own vehicles specifically for company use, but they do have agents who use their personal cars for business purposes. When these employees are using their personal vehicles for business purposes the business is liable for any accidents that may occur. The business is not liable for the damage to the employee’s car. This is covered by the employee’s personal auto insurance policy. The business is liable for damage to the car and any bodily injuries that may occur to third parties. A Hired and Non-Owned Auto Insurance Policy will take care of most liability a business faces resulting from accidents that occur when employees drive their personal cars or rented vehicles for business purposes.

Workers’ Compensation Coverage

Workers’ Compensation Insurance is required by law in 48 out of 50 states. Each state has their own rules and regulations regarding the administration of this system. Each state has their own exceptions for some small or family owned businesses. Workers Comp is similar to general liability, except that it covers employees and not third parties. When an employee is hurt on the job, work comp coverage will cover some of their lost wages (typically 60%) and medical costs incurred as a result of the injury.

5 Types of Insurance every Daycare Center needs.

Finding good daycare is an enormous concern for families with children under the age of 5. Compared to the previous generation there is an extremely large amount of families who now have both parents in the work force. ‘According to the group Child Care Aware, about 11 million children under age 5 spend an average of 35 hours a week in child care’. Because of this fact, the day care industry has exploded. With this explosion has come many new businesses needing help with their liability needs. There are many things that can put a day care center at risk. Here is a list of the 5 most common coverages a day care center should secure.

✓ General Liability Insurance
✓ Hired and Non-Owned Auto
✓ Workers Compensation Insurance
✓ Business Income with Extra Expense
✓ Commercial Crime / Employee Dishonesty

General Liability Insurance

GL Insurance is required by law in most states. Many business owners unfortunately think this coverage is all encompassing and it is not. It is the baseline for coverage for your daycare business. It will cover your businesses liability for normal bodily injuries from things like slips and falls. It can also cover property damage that occurs to third parties on your property.

Hired and Non-Owned Auto Coverage

If your business owns and uses vehicles as a part of your business you will need commercial auto coverage, but if you have employees who use their personal vehicle or rented cars you will need to secure Hired and Non-Owned Auto Coverage. This will cover the liability your business faces as a result of any accidents you or your employees are in while on company time.

Workers’ Compensation Insurance

Workers Comp is another coverage that is required by law in nearly every state in the country. It is similar to General Liability except it deals with bodily injuries to your employees. When an employee is injured on the because of normal business practices work comp coverage will cover a portion of their salary and any medical costs as a result of the injury. Each state has their own laws governing how to administer workers’ compensation coverage. For this reason, it is important for you and a key employee to know the process to properly help your injured employee get the care they need and get back on the job quickly. Your carrier can help you with this both before you have an injured employee and when a claim occurs.

Business Income with Extra Expense Coverage

Business Income with Extra Expense Coverage is a type of commercial property insurance that covers the loss of income suffered when damage is caused to the property by a covered loss and it causes a slowdown or suspension of business operations. Coverage applies to loss suffered during the time required to repair or replace the damaged property and may extend to apply to loss suffered after completion of repairs for a specified number of days. Expense Coverage is an additional type of commercial property insurance that pays for additional costs in excess of normal operating expenses. These are normally expenses that an organization incurs to continue operations while its property is being repaired or replaced because of damage from a covered loss. Extra expense coverage can be purchased in addition to or instead of business income coverage, depending on the needs of the organization.

Commercial Crime / Employee Dishonesty

Commercial Crime Insurance is a type of insurance that is designed to help businesses deal with crimes committed by their employees. This type of coverage typically covers several different types of crimes, such as: employee dishonesty; forgery or alteration; computer fraud; funds transfer fraud; kidnap, ransom, extortion; and money orders and counterfeit money coverage. Employee Dishonesty Insurance is an additional coverage for employee theft of money, securities, or property. This type of coverage is written with a per loss limit, a per employee limit, or a per position limit. This is important to speak with your agent about what types of activities your employees partake in. They can help you determine what type and how much risk you actually face.

Garage Liability Insurance vs. Garage Keepers Coverage

The difference between Garage Liability Insurance Coverage and Garage Keepers Coverage is the difference between Liability Insurance and Physical Damage Insurance. The first covers the insured’s liability for operations and autos. The second covers damage to a customer’s vehicle. All businesses with garage risks need both coverages to properly insure their loss exposures.

A typical garage business has an auto exposure, both owned, non-owned and hired. These businesses also have risks related to premises/operations, contractual and products/completed operations exposures. Rather than writing two separate policies, the Garage Policy allows a business to combine the coverages into one all encompassing Insurance Policy. A Garage Policy is a combination Business Auto Coverage form and a Commercial General Liability Coverage form. Garage liability insurance is an absolute necessity for the owner of a car dealership, a local mechanic, a tire dealer or a company doing oil changes. These policies are for employers who make a living working on cars. These programs can also apply to companies installing stereos or satellite radios. Business owners should not make the mistake of believing Garage Liability Insurance covers the loss of a customer’s auto while in your care. A separate Garage Keeper’s Policy or an addendum to the garage (service center) policy already in place must be added.

Garage Keeper’s Coverage

Under the Garage Keeper’s Coverage, there are two options for the auto service operator to consider. One is called direct excess coverage. This policy pays up to the value of the destroyed vehicle above the owner’s coverage. The other type of coverage is direct primary coverage, where the service owner’s carrier shares the loss with the car owner’s insurer.

Garage Liability Insurance

If you own or operate a business that has a repair center and the repair center has a fleet of tow trucks or dispatched repair vehicles, those assets are covered under Garage Liability Insurance. However, if the customer car is sitting outside waiting for service, or inside on a lift, they are not covered. This is the reason why you need a keeper clause for the protection of your business. Please note that most Garagekeeper’s Policies excludes loss to non-factory installed sound equipment.

Garage Liability Insurance providers may become extremely discriminatory regarding the requirements for getting the insurance, such as strict loss prevention or risk management efforts by the auto service owner. To cut costs and keep premiums lower, indemnity companies are often refusing to underwrite such things as wind and hail damage for company and customer vehicles. Tolerance by insurers for multiple incidents at a garage is limited. These are things a business owner should keep in mind when purchasing insurance. Partnering with an experienced independent insurance agent is the best way to determine how your business should best proceed when purchasing this type of insurance coverage.

Make sure every employee and officer of the company is on the policy. Coverage is usually only afforded to the locations and drivers listed on the coverage. Employees that get a DUI or go over their point allowances may be excluded from driving privileges and non-company drivers need to be discussed with the agent.

Getting and keeping garage liability insurance can be daunting. Proper night lighting, well landscaped grounds, well maintained signage and windows as well as a freshly painted exterior as well as clean floors and bathrooms inside can make or break a policy being approved.

My Insurance Question is a creation of The Insurance Shop LLC. The Insurance Shop was formed in 2005 and over the course of a decade and a half they have developed relationships with more then two dozen carriers. Those carriers allow their agents to get the best value on commercial insurance for many different industries. If you are ready for a new look at your coverage, give us a call at 800-800-4864.

3 tips for effectively managing risk in the Non-Profit Industry

People go in to the non profit industry for a wide array of reasons. For most people, that reason has something to do with serving their community. Many people in the non profit Industry do not anticipate having to manage risk, but how effectively their organization manages risk will contribute immensely to the success or failure of the organization. Some of the aspects of managing risk include: developing safety programs, writing liability waiver forms, designing a return-to-work program for injured workers or purchasing workers’ compensation insurance. In order to effectively manage risk, here are three tips every Non Profit Professional should consider when determining how to manage the risks your organization faces.

Find the best info about insurance for Non Profit businesses at My Insurance Question.com

Have an effective safety program in place.

Having an effective safety program in place is essential for all non-profit organizations. First and foremost, this is simply the right thing to do. It is the right thing to do for your employees, for your volunteers and for your organization as a whole. The success of the safety program starts with the leaders of the organization. If the leaders of your organization make it clear that you value safety, the employees and volunteers will value safety as well. What an effective safety program looks like will differ depending on the scope and mission of your organization. A safety program for local soup kitchen will be dramatically different than an NGO that distributes medicine across several different countries. For that reason, it is important to invite a risk management professional to sit on your board of directors. If you do not know someone in this field you can consult with your insurance agent. They typically have generic programs in place for many different industries.

Deciding when and if your organization needs to purchase insurance?

For a small or recently founded organization, you may be able to do without insurance for a short period of time. This is not something to take lightly. No matter how little money your organization has, not securing proper insurance can lead to your organizations failure if an accident does happen without proper coverage. Eventually there will come a time when your organization will need coverage. The state you are located in will determine when you are required by law to purchase some coverages. Workers’ compensation insurance is usually the first coverage you will be required to purchase. This policy covers the risk of bodily injury to your employees. General liability insurance covers bodily injury and property damage done to third parties. These third parties may be the people you serve or anyone who comes in contact with your organization. These two policies are typically the first policies a non profit will consider and they are the bare minimum coverage. As your organization grows these two policies may not fully cover your business from all risks. You may not understand all of the risks you actually face and the types of insurance you need. Consulting with an insurance professional whom you trust is important at this stage in your risk management process. Asking someone who works in insurance to volunteer with your organization or to sit on your board is a good idea.

Have a return-to-work program in place for injured employees.

Developing an effective return-to-work program is something that can be a work in progress. Ideally your safety program works and you do not have many injuries. Even if you only have the occasional minor injury, it is best practice for your organization to have a plan for getting an injured worker back to work as soon as possible. The quicker they get back on the job the more likely they are to return to regular work and the mission of your organization. Some common jobs for injured workers include basic office work like stuffing envelopes, answering the phone or writing thank you letters to donors. Getting people back on the job quickly is important because people who work in this industry frequently have a special relationship with the work they do. Many of them want to be a part of something greater than themselves. This is especially true with the millennial generation. When these people are injured and not able to work, part of their life is taken from them. The longer it is not a part of their life, the more likely they are to not come back to work at all. This is when the cost of a claim can become the greatest and is when you can expect to see an increase in your insurance premium. Having an effective return-to-work program can help these employees get back on the job, control the cost of your workers’ compensation claim and continue the mission of your organization.

Declaration Page. What is it? Where is it? Is it important?

I am sure at some point in time you have had an insurance agent ask you for your policy declaration page or pages. If you are like most business owners, you think to yourself what are they asking me for. Basically, what these pages represent are the cliff notes of your insurance policy for that particular line of insurance. You will notice that your worker’s compensation declaration page is shorter than your business owners package or general liability. These declarations will not list all of the exclusions in your policy. It will only list the coverage limits you currently have. Here is the definition of declarations: The front page (or pages) of a policy that specify the named insured, address, policy period, location of premises, policy limits, and other key information that varies from insured to insured. The declarations page is also known as the information page. Often informally referred to as the “dec” or “dec page.”

The next thought most business owners have is, where do I find the declaration page. The declaration page or pages can be found in the front 3^rd of your insurance policy. Most of the time it’s within the first 10 pages. This is especially the case for worker’s compensation. For your general liability and business owners package policy it may be a few further pages in. The key to identifying it is when you start to see wording such as limits or premium. When you see that and how the premium pricing is broken down then you are in the right place. It will show your experience mod from the current term, premium discounts, state taxes, fees, expense constant, and a few other items on there. Some of this will vary on what type of policy it is.

This information is important to insurance agents for a wide variety of reasons. Most of the time a business owner thinks we only want to see these pages so that we can beat the price on your current policy. Yes, that is helpful information to use but it doesn’t necessarily mean that our carriers will just price it below your policy just in order to win your business. Our underwriters like to know pricing information so they can compare it to other policies that are either doing the exact same type of business or something very similar, and offer you a quote accordingly. If they generally don’t know what you are paying, then they will go on the conservative side and offer a policy that is in the average of pricing for that industry based on where they have priced and written the type of business you are doing. I feel, the most important reason for this to me is that I like to view these pages to give you an apples to apples comparison of the two policies. Also, I can check to see if you are truly covered correctly. If their may be gaps that are missing some key coverages or are underinsured in areas that you would not want to be underinsured in. Thus we can present you with a quote exactly like the one you have with the same coverage and limits. This will also enable us to present another quote option, if necessary. Typically this option is where we think your limits should be and additional coverages that you may not have that most people in your line of work have. The key to remember when being asked for your declaration page or pages is that we as insurance producers are wanting to make sure your covered correctly and at a fair price. We are here to get you a fair price, but we are also here to make sure you do not have any gaps when a claim does occur. We don’t like audit surprises or coverage gaps at the time when you think you are covered just as much as you do. The declaration page is so much more than just a price to beat.

3 ways to managing risk in the Non-Profit Industry

There are many reasons why people go in to the non-profit industry. Some people want to fight poverty, some work closely with a church and others might be dedicated to fighting a disease. One common theme among people who work in the non profit industry is that they want to be a part of something greater than themselves. One thing many people in this industry do not anticipate is having to manage risk, but this can be one aspect of their job that can ultimately determine the success or failure of the organization.

Find the best answers to your Non Profit Insurance questions at MyInsuranceQuestion.com

Many people who go in to this sector do not anticipate having to manage risk or buy insurance. They probably do not anticipate their jobs causing them to have to worry about things like a return-to-work program, workers’ compensation benefits or general liability insurance. As a non-profit professional, how effectively you handle these aspects of your organization will contribute immensely to the success or failure of your organization. For that reason we have created three main tips for managing risk within your non-profit agency.

Have an effective safety program in place.

Having an effective non-profit safety program in place is essential for all non-profit organizations. Most non-profits depend on people volunteering their precious time and money to the organization. The last thing you want to happen is for a volunteer to be injured while helping your organization. A safety program can prevent this from happening.

First and foremost, reporting and documenting injuries needs to be a part of your company culture. It should start with the first training all employees get during the on-boarding process. Employees need to be well aware of how to inform volunteers how to properly do their job in a safe manner. This can go hand in hand with your business’s safety program and your business’s safe driving program. Another thing to keep in mind is that how safe your organization takes safety starts with you and your key employees. If you stress safety as the professional, your employees and volunteers will also value this safety program.

Non Profit Insurance Answers

When should a new or small non-profit decide to purchase insurance?

For a new non profit, insurance may not be necessary at first, but it is not something to be taken lightly. No matter what the financial situation is of an organization, the quickest way to fail as a non-profit is to not secure adequate insurance. Your state laws will determine when you must purchase coverage. Workers’ comp and general liability are typically the first two policies you will find a need for. Workers comp protects your employees and general liability protects your organization from damages to third parties. Even if you are fairly sure you have proper coverage or do not need coverage at this time, consulting with an insurance professional with whom you trust is a very wise decision. If you know someone who works in risk management or insurance, it might be a good idea to ask them to sit on your board of directors.

Have a return-to-work program in place for injured employees.

Operating an effective return-to-work program is another aspect that will contribute immensely to the success or failure of your organization. Ideally you will never have a need for a return to work program because none of your employees will ever be injured on the job. But as you very well know, we do not live in an ideal world. For that reason it is crucial for you to prepare for the day when you do have an inured employee. If you are prepared, you will be able to get those employees back on the job quickly and control the cost to your organization. Any work you have to get the injured employee involved in the organization will benefit the injured employee and your organization in the long run. Getting people back on the job quickly is important because the quicker they are back on the job the more likely they are to not become an injured worker long-term or permanently.

New Business- Starting from scratch

Ideas for Start-up Business Plans

So you have decided to (or maybe you are still considering) taking a leap most of us only dream of. That leap is to start your own business. Perhaps you have worked for someone else in your trade for several years and want something of your own. You may be fresh out of school (or still in school) and want to get started early. Maybe you just have a unique opportunity to start your own business. If this is you than you are probably looking at what you need to start:

Start up capital
Supplies
Office/shop space
Sales opportunities

These are things all first time business owners are looking for. One thing many new businesses put off until last moment is insurance. You will spend thousands of dollars just to start up your dream of owning your own business; you don’t want one accident to take it all away from you. Below are several insurance policies that can protect you from claims that could easily ruin your dream of owning your own business. Here we will go over the basic areas that you want to look at for starting your own business, and when you want to start looking.

First, Why is this important? Claims with new businesses can be more devastating for a few reasons.

The controls that are in place to prevent/reduce the extent of claims/liabilities are less established. Many of these types of firms can be started in a home office.
New businesses are many times less defined in their operations, which can bring the operations in to areas the business owner may not be as familiar with. These areas they may not have as much experienced in. This can bring up more risks a
Some businesses do not have an established LLC or Corporation established. Regardless of the insurance policies you have, it’s important to work with your attorney and CPA to make sure you choose the business entity type that works best for you. This separates your business liabilities from impacting your personal assets. It is bad enough if the incident you could have protected closes your business, but it is a much worse situation if the same incident causes you to lose your house or your savings.

Here are a few policies we recommend you start out with pretty early on:

Commercial Auto – Commercial auto is a topic in itself and oftentimes one of the most overlooked policies by a new business owner since many people just use their personal auto’s and don’t see this as something they need. This might not be the first new policy you look to get, it should be the first insurance policy you likely already have that you will want to look at changing though. If your using your personal vehicle for business purposes, at the very least you want to make sure your agent and insurance carrier is aware of that and that you have business use on your policy, upgrading your personal auto policy to a commercial auto policy might be a couple bucks more, but in many cases the difference is a lot less than you may expect, plus, a less expensive policy that doesn’t cover what you need isn’t really that valuable anyway.

General liability – Starting a business, general liability is the first policy most companies look for. If you’re a retail store its sometime referred to as “slip and fall coverage” to cover liability from bodily injury on your premise. Keep in mind, some of these policies only do that and might not cover all/any off premise damages. These policies come in a variety of forms and coverages and the pricing typically reflects that, that’s not also to say you cant shop to make sure you’re getting the best value. This for some business types can be packaged into a Business Owners Policy that can cover property and other additional coverages your company needs like Data Breach, EPLI and Hired/Non owned auto liability.

Workers Compensation – For starters let me clear a couple things up first: Workers Compensation is not automatic; it’s not something automatically gets taken out of payroll without you getting a policy in place first. This policy covers employee injuries when hurt on the job for medical expenses and a portion of lost wages. For some high risk businesses like heavy manufacturing, construction and transportation this can be one of the most expensive and hardest policies to get competitive quote’s on and can be frustrating for businesses owners that just want to buy the policy. The key in the beginning is getting a policy in place, pay your bill on time, and keep continuous coverage. Once you have a prover record, especially for 3 years with coverage in place the market is a lot easier to get coverage for companies that have established. If you are a labor intense business the pricing can seem very high, the expense for covering a claim out of pocket, and fines from many states can be just as expensive if not more than your premium would be anyway. This normally isn’t needed until you hire an employee, but sometimes contracts can still require it which can open up more business opportunities for your company.

Professional Liability – For some companies your biggest risks aren’t necessarily a customer slipping and falling, or an employee injuring themselves. Many professional firms have what can be equally as damaging of risks to them. The obvious ones are your Physicians Medical Malpractice, your insurance agents and accounts have Errors and Omission’s insurance to cover mistakes or professional errors made. Little mistakes can make huge claims but there are some companies you don’t think of needing this like Printing companies, Website Developers, IT Companies, Bookkeeping and Marketing Firms. Website Copyright infringement, or a faulty code in a software program that causes a glitch or even worse a breach could be a huge expense and could mean huge liability on your company.

Every business owner is worried about protecting what they own. The property you own can be devastating if its lost, damaged or stolen. However, the liabilities you take on during the everyday course of your business operation can be even worse and costlier. Even if you don’t own any property. There are insurance policies to cover the obvious, but also many things you wouldn’t think of. If there is a chance of an injury, fire, something stolen, or decreasing in value for something other than every day wear and tear (heck maybe there’s a policy for that too) there is likely an insurance policy for it. Working with a Professional Insurance Agent that can give you options and help guide you on the coverages that would be most important to you.

5 coverages every Non-profit business should have.

The Non-profit Industry is a very wide industry that encompasses a large amount of different types of organizations. Some businesses simply operate a soup kitchen and only offer meals to those in need. Others offer medical coverage and still others offer construction services for those in need of housing. Each type of mission brings its own unique risks. That is why it is important for non-profit managers to partner with insurance agents who have knowledge in many different industries and agents who partner with a large amount of carriers. This can help the agent find the non-profit quotes from numerous carriers and will allow them to get your nonprofit more complete coverage and usually at lower rates on premium.

non-profit workers compensation insurance A lot of insurance carriers have restricted coverage for non-profit and charitable organizations due to a large amount of historical claims and their potential exposure from volunteers serving these organizations. A few carriers have taken a different approach to non-profits and created programs designed specifically to the unique needs of these businesses. Below is a list of six coverages most non-profits will need.

General Liability

General Liability Insurance covers you and your organization from damages done to third parties as a result of the actions of your organization. These can be bodily injury claims and property damage to anyone who is not you or your employee.

Workers’ Compensation

non-profit-workers-comp Workers’ comp differs from General Liability because it protects your business from being liable to injuries that occur to your employees. It is frequently referred to as the ‘Exclusive Remedy”. That is because it will pay for employee medical costs, disabilities, and lost wages related to on-the-job injuries and accidents. Your organization will benefit from this policy by having the security that you will not be sued by your employees for accidents that occur as a part of your normal operations.

Commercial Auto

Commercial auto insurance for your vehicles is an important aspect of any business insurance program. This coverage provides protection against physical damage and bodily injury resulting from car accidents involving you or your employees. Most coverages also provide some protection from theft and vandalism. Your organization does not have to own any vehicles to need some form of commercial auto coverage. For example, one of the most often overlooked business insurance coverage is Hired and Non-Owned Auto. Almost every business will occasionally utilize a personal, or non-owned vehicle for work related tasks. For example, your organization has an office staff member make trips to the bank to make a deposit of donations. Another example might be sending an employee to the restaurant to pick up food for volunteers. Every time someone uses a vehicle not owned by the non-profit to perform a business related function, the organization is at risk.

Cyber Liability

Most non-profit organizations think they are not at risk of a data breach. Many may think, I am a small organization with not much money, why would anyone bother to hack my organization. That is exactly what two small business owners thought when two of the largest data breaches in history occurred. Both the Home Depot and Target data breaches occurred by hackers first accessing a small business and then that small business had a vendor partnership with the larger business and that is how the hackers gained access. If you store any information about donors or have a partnership with another organization, you could be at risk of a breach. Most cyber insurance plans can be added to a (BOP) at minimal cost to your organization.

Commercial Property

business-property-valuation-for-commercial-insurance Commercial property is needed if you own property no matter the size of the premise. This will cover all property, including things like desks, chairs and anything physically attached to the building (i.e. shelvings, cabinets, etc.). Property coverage does not cover some specialized equipment like printers, computers or other office equipment. Coverage for this type of property would be covered under and Inland Marine Insurance Policy. These policies can easily be paired together under what is called a Business Owners Package (BOP). It is usually a good idea to ask your agent to quote a BOP because carriers are more likely to give your organization a discount on premium if you are carrying more than one coverage from them.

Owners and Officer’s

Owners and officer’s coverage might be the most important and frequently overlooked coverage for most non-profit organizations. The people who sit on your board are usually giving their time and expertise for free. Most just believe in you or believe in the mission of the organization. The last thing you want is for something to go wrong with your organization and them be liable for the actions of the organization.

liability-insurance-for-small-businesses Owners and Officers Coverage is for defense costs and damages (awards and settlements) arising out of wrongful act allegations and lawsuits brought against an organization’s board of directors and/or officers. Securing this coverage allows your officers to sit on your board and comfortably know they are not going to be liable for the actions of the organization.