What Does business Insurance Cover?
Property damage, litigation, lost company revenue, and other eligible losses may all be covered by business insurance. Businesses often purchase numerous coverages and combine them in one policy to help protect against particular risks unique to their circumstances. For example, a Company Owner’s Policy combines property, general liability, and business revenue coverage into a single policy.
Options for Essential Business Insurance Coverage
What Does business Insurance Cover?
A Company Owner’s Policy is one of the most common types of business policies. In most cases, a BOP combines commercial property, general liability, and business income coverages into a one policy. Combining these coverages will help you save money on business insurance while also making things easier.
Insurance protects your company against the financial consequences of personal injury or property damage claims made against it. For example, if a consumer is harmed in your shop, he may file a claim against your company. General liability insurance may protect you against the expenses of a claim as well as possible defense expenditures. It also protects your company from the consequences of advertising mistakes.
Business personal property insurance protects your company’s structures and personal belongings. Furniture, tools, equipment, and inventory may be included.
Business income insurance replaces lost revenue if you have to shut temporarily due to a covered loss, such as theft or fire damage. It may also assist you in continuing to pay expenditures while your property is being replaced or repaired.
Professional liability insurance covers expenses associated with allegations that your company committed mistakes in offering services. For example, if a clerical mistake costs a customer thousands of dollars, professional liability insurance may assist pay the expenses if the client files a claim. A company does not have to do anything wrong to be sued. Depending on the circumstances, coverage may be available to defend a company if it is sued.
Workers’ compensation insurance covers workers’ bills when they are unable to work due to a job-related accident or sickness. The Hartford also offers programs to assist workers prepare to return to work after being absent. Workers’ compensation may also assist pay legal bills if a worker’s family chooses to sue your company.
A commercial vehicle coverage protects your company from the financial consequences of a work-related motor accident. If you or an employee gets in an accident while driving for business, commercial vehicle insurance may assist pay the expenses.
Data breach insurance protects your company from the financial consequences of cyber threats or assaults. If your organization is attacked, The Hartford coverage may assist cover the expenses of determining the source of the breach and mitigating the damage; communicating with people impacted both within and outside the firm; and managing your company’s image throughout the crisis. Our data breach insurance coverage also includes access to programs that educate you best practices for avoiding breaches.
When other liability policies reach their limitations, commercial umbrella insurance works as a safety net, providing extra coverage. For example, suppose a client slips and falls at your business. He then files a claim for $200,000 against your company. If your general liability coverage has a $150,000 maximum, business umbrella insurance would cover the remaining $50,000. This coverage is crucial for businesses in order to protect themselves against financially catastrophic litigation and claims.
Commercial flood insurance protects your company against the expenses of insured flood damage. This covers harm to your company’s physical location as well as its assets. Assume that melting snow floods your company’s basement. Floodwater causes harm to the floor and certain tools. If this occurs, business flood insurance may assist in covering the expense of repairing the damaged floor and tools.
Employment practices liability (EPL) protects your company in the event that an employee sues you. Even if you are not at fault, defending yourself in court may be expensive. Employees may sue your company for reasons such as discrimination, harassment, or wrongful termination. If they do, EPL may assist in covering the associated fees.
The Hartford’s risk engineering services assist mid- and large-sized enterprises with loss control solutions aimed to provide a safer work environment. Risk engineering specialists assess your company’s risk exposures and then develop improvement strategies and programs to teach you and your employees to manage incidents safely and follow safety regulations. This may lead to a more secure, productive, and successful firm.
If your company has activities outside of the United States, multinational insurance may help you consolidate coverages. This The Hartford policy establishes a single point of contact for all of your company insurance requirements. Our Multinational Insurance insurance covers you in more than 150 countries.
Surety bonds – A surety bond is a contract between three parties that guarantees payment if a project or commitment is not finished or satisfied. Fidelity bonds are a kind of insurance that protects firms against financial losses caused by employee theft or fraud.
Home-based business insurance covers the expenses of property and liability risks for enterprises that operate out of the home of the company owner. Consider getting this coverage if you store supplies, equipment, or other company property at your house, or if clients visit by.
What Doesn’t Business Insurance Cover?
Natural disasters, floods, and other severe weather occurrences may not be covered by ordinary commercial property insurance plans. The same is true for consumer property held in your establishment. Standard professional liability plans do not cover purposeful or fraudulent activities; a Fidelity Bond may cover certain acts of fraud or theft. Auto accidents are not covered by standard general liability policies; you would need commercial auto coverage for that.
