I Bet You Did Not Know This About Commercial Insurance Policies
Commercial Insurance Policies are designed to protect a business. It provides protection to the business against losses resulting from things like property damage or physical injuries. This is not all, its range of protection is very vast. Commercial insurance is an umbrella term. It encompasses many different forms of insurance policies under its patronage. Protection against various liabilities, theft, accidental or malicious damage, worker’s compensation, are but a few of its aspects.
Commercial Insurance Policy for Your Business
Commercial Insurance Policies are very vast in their scope. There are many different forms of insurance policies which fall under its umbrella. Every business has different requirements, when it comes to commercial insurance. Every business has different liabilities and potential risks. A professional author will likely need very few and straightforward policies for protection. On the other hand, a stock broker will need a laundry list of insurance policies because of inherent risks.
General liability and professional indemnity are important. Mainly, because they are useful in almost every form of business. Employer’s liability is necessary in business which have one or more employees. There are many Benefits of Commercial Insurance Services. Some are legally required for a business to possess. There are legal repercussions for not possessing those policies.
Types of Commercial Insurance Policies
Following are some of the most essential insurance policies which fall under the umbrella of Commercial Insurance Policies;
1. General Liability Insurance
It is also known as a Business Liability Insurance. It provides protection to your and your business from general claims of bodily injury and property damage. This policy can provide coverage for the medical expenses or attorney fees resulting from the claims of such damage. This is one of the most essential and general forms of Commercial Insurance Policies.
2. Professional Liability Insurance
General Liability Insurance does not provide protection against any claims rising from professional services. Such as, claims of negligence, malpractice or misrepresentation. Professional Liability Insurance protects the professionals against such claims. Almost every professional possessing expertise in a particular area needs this policy. This policy is called Medical Malpractice Insurance in healthcare industry. Similarly, it is known as Errors and Omissions Insurance in Real Estate Business. This is a specialty insurance. Hence, it is acquired separately. This policy does not include criminal prosecution, nor does it cover all forms of legal liabilities under the law.
3. Business Owner Policy
A Business Owner Policy is one of the most comprehensive form of Commercial Insurance Policies. It provides protection against all property damages and liability risks in a business. it combines all the basic insurance policies that might be required by a businessowner in a single package. The most amazing thing about this policy is, it costs much less than the combined individual costs of packaged policies. Generally, its scope of protection can include many rare forms of coverages. Such as, protection against crime, spoilage of merchandise, forgery, fidelity, liability and more. There are certain eligibility requirements in this policy.
4. Commercial Auto Insurance
Commercial Auto Insurance is also known as Business Automobile Policy (BAP). It provides protection to the automobiles owned or utilized by a business. This includes business cars, trucks, vans etc. The coverage against losses does not only include the vehicles owned by a business only. It also includes vehicles hired or leased by the company, as well as the employee-owned vehicles. It provides protection against both the liability, and the damages.
5. Hired Auto Coverage
Hired Auto Coverage provides Liability Insurance for vehicles leased, hired, rented, or borrowed by a business. This policy is necessary if you, or an employee drives a vehicle for business purposes not listed in contract. This policy is bought if you carry Liability Insurance on your Commercial Auto Insurance Policy. The limits selected for each policy must match each other. Hired Auto Coverage has certain limits to describe the maximum amount your insurance company will pay.
6. Commercial Property Insurance
Commercial Property Insurance is one of the key coverages for business-owners. It is especially useful when running a home-based business. This is because its scope of protection is wider than a Homeowners Insurance Policy. A Commercial Property Insurance helps protect your business and its physical assets. It can pay your repair or replacement costs if there is damage from a fire, theft or other covered loss. It can also help provide coverage for important business assets, like your business income. If you can’t open your business because of a covered loss, then you will get replacement for lost income. This is very helpful during the current COVID-19 scares.
7. Umbrella Insurance
Umbrella Insurance is an extra liability insurance coverage. It goes beyond the limits of traditional Commercial Insurance Policies, such as property, auto, or liability insurance. This policy is akin to an additional layer of security. Especially to those who are at risk of legal action. It also provides coverage against libel, vandalism, slander, and invasion of privacy and more. Additionally, this policy is very cheap and highly profitable. It exceeds the limits set by traditional policies to much higher limits.
8. Workers Compensation Insurance
Workers Compensation Insurance is one of the most essential forms of Commercial Insurance Policies. As such, every major or minor business in the United States has to handle the problem of workers compensation.
Almost every State requires the employers to purchase this policy. Therefore, it is their statutory obligation to cover employees. Especially those who are injured, or contract illness due to workplace exposure. While most business can survive without many other commercial policies. However, there are legal penalties for not acquiring a Workers Compensation Insurance Policy.
Safeguard Your Corporate Interests with the Best Commercial Insurance Policies in Texas
SG Financial Inc. can provide you with the Best Commercial Insurance Policy in Texas. We have a longstanding partnership with many corporate organizations for coverage. Therefore, we can prepare an extensive package of commercial policies which will protect your corporate interests at negligible prices.