What would you do should your business suffer a catastrophic loss? Would you have adequate coverage? Do you know exactly what is and isn’t covered under your current coverage. More importantly, do you even have commercial insurance coverage? You may be surprised to learn just how many business owners go without the benefit of commercial insurance coverage. Coverage for your property or premise can, at times, mean the difference in the solvency of your business in the event of a loss. The uplifting part is that coverage can be obtained quickly and easily with minimal information needed on your behalf.
Protecting your business property or building can be one of the most cost sensitive things you do in order to protect your business. All too often the necessary coverage needed to fully protect your building/property is not adequately in place. Dependent on the nature of your business operations and geographic location you may benefit from either an “all risk” or “named peril” policy. In business building insurance lingo a peril is any event that may cause or lead to a loss (earthquake, fire, flood). With an “all risk” policy you are covered for any and all risk that may besiege your business unless the peril is specifically excluded in the policy language. Conversely, a “named peril” policy only provides coverage for the perils outlined in the policy language.
Outside of the scope of property coverage your business is liable to many other risks during the course of normal operations. To aid traditional business owners the insurance companies have drafted a product called a Business Owners Policy (or BOP). This type of commercial insurance policy addresses a variety of coverage needs under one concise policy form. Typically, general liability (for slips, trips and falls) is the corner stone of the BOP policy. In addition to general liability, automobile liability, employers liability and employee benefits liability can also be included in the scope of coverage. The best part of all of this is that all this coverage can be obtained for (in most cases) a few thousand dollars for the year.
Commercial insurance coverage is an all too important aspect of business that is unfortunately dismissed by many business owners. Despite the, at times, confusing nature of insurance coverage it is important to take an active role in the coverage that you are buying, because inevitably you will need to take advantage of this insurance. This coverage could mean the difference is your business surviving after suffering a significant loss.
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