The success of a business, whether it's a tiny enterprise run out of a basement or a large corporation, is largely dependent on hard work and ingenuity. However, no matter how industrious you are, one disaster can wipe out all your profits and even destroy your business. The key to making sure that all the effort and money you have invested in a business doesn't disappear when a disaster strikes is to protect it with the Appropriate Insurance.
Midlink Int’l Insurance Services has extensive experience and strong relationships with all of the top carriers, plus regional knowledge in offices countrywide. We offer a wide selection of all SIC classes.
Highlights
- "A-" or better rated Carriers
- Large Deductibles available
- SIR Rating Plans
- Layered Programs
- Multi-state risks
Business Insurance Basic Information
Every business needs insurance to protect against potential loss or damage. Commercial general liability and property coverage are two of the most basic forms of business insurance.
1) Business Liability Insurance A . K . A Commercial General Liability
If you have only one form of business insurance, it is most likely Commercial General Liability. CGL policies cover claims in four basic categories of business liability:
Bodily Injury
Property Damage
Personal Injury (including Slander or Libel)
Advertising Injury
Commercial liability insurance is not expensive but the cost to defend a claim can be catastrophic. One benefit of carrying general liability insurance is that for covered claims, damages, legal defense fees and settlement charges are all paid by the insurer up to the limits of the policy. Our agent can provide you with recommended coverage’s and limits for your business liability insurance. He or she can also discuss with you optional coverage’s, or endorsements, you might wish to purchase for added protection against certain risks. If necessary, an Umbrella Liability policy can be purchased separately to extend coverage well above the limits of your standard commercial general liability policy.
2) Property Coverage
Property insurance protects your business property against physical loss or damage by theft, fire or other means. Because every business has property that could become lost or damaged, this form of business insurance is one of the first things you should buy when you start a company. Property coverage can be structured several ways. In the most basic business insurance policies, Property coverage protects your furniture, computers, office equipment and other materials.
For many businesses, the most basic Property coverage is not enough. You may need a policy that insures data, papers, records, money and securities kept at your place of business. Sometimes this coverage is included in a basic Property policy (it may be listed as Valuable Papers or Media and Extra Expense coverage); if not, it can usually be purchased as an extra endorsement to your standard policy.
Business Insurance Basics: Package Policies (BOP )
Package Policies Combine General Liability and Property Insurance
When you evaluate business insurance, consider a package policy such as a Business Owner’s Policy (BOP ). A BOP combines Property coverage and General Liability insurance in a single business insurance policy. You may find that by combining Property and General Liability insurance into a BOP, you can get better business coverage at lower rates than you would get from two separate policies.Not every business is eligible for BOP coverage. Business Owners Policy packages are especially designed for small- to medium-sized business operating in a low-risk business class. The BOP includes Commercial General Liability insurance and Property insurance for physical assets, such as office furniture and computers. The package policy may also cover loss of business income and extra expense. BOP packages only satisfy a company's needs for Property and General Liability insurance.
ADDITIONAL INFORMATION
- Personal and Advertising Injury. Covers you for certain offenses you or your employees commit in the course of your business, such as libel, slander, disparagement, or copyright infringement in your advertisements.
- Employment Practices Liability. Covers claims, including legal defense costs, for certain employment-related lawsuits brought against you by your employees or job applicants ($5,000 limit where available).
- Defense Costs. Pays legal expenses for certain liability claims brought against your business regardless of who’s at fault.
- Medical Expenses. Pays the applicable medical costs if someone is injured and needs medical treatment due to an accident on your premises.
- Premises and Operations Liability. Provides coverage for bodily injury and property damage sustained by others at your premises or as a result of your business’s operations.
- Tenant’s Liability. Protects your business against claims of damage due to fire or other covered losses caused by you to premises that you rent.
REQUIRED BY CONTRACT:
General liability coverage may be described in your contract in this way: "Supplier will maintain at its expense: Comprehensive General Liability Insurance or Commercial General Liability Insurance policy limits shall be not less than a Combined Single Limit for Bodily Injury, Property Damage, and Personal Injury Liability of $1,000,000 Per Occurrence and $2,000,000 General Aggregate."
Note: This summary outlines in general terms the coverage’s afforded under some policies. Examine the policy carefully for any exclusions, limitations, or any other terms or conditions that may specifically affect coverage. The terms and conditions of the policy prevail.