Small Business Commercial Insurance

If you are starting a new business or are re-evaluating your business insurance needs, it is important to make certain you have a good, solid, business insurance policy that is tailored to your needs. Many small business owners often view business insurance as a luxury, when in fact it is a necessity to protect you and your business. Several business owner’s only think of a business policy as protection against casualties and damages such as a theft, fire, or damage to equipment and products. When in fact, the most important part of a good business policy is the liability protection.

No matter what size of business you operate, big or small, it is always important to protect your business and yourself from the unpredictable. In today’s culture, even the smallest accident can result in large lawsuits. The general liability portion of a business policy is extremely important in that it defends you, your employees, and the reputation of your business from any lawsuits that may develop from bodily injury, damages, or negligence for something it did or didn’t do. General liability insurance can often be purchased separately or as part of a BOP (business owner’s policy). A “BOP” combines both property and liability insurance together into one policy.

Typically a BOP includes the following:

* Property insurance to cover the building, equipment and goods
* General Liability insurance to protect the business, employees and owner from lawsuits that may arise from accidents, negligence, or other damages
* Casualty liability protection to protect the business and employees from harm to other people or their property
* Insurance against theft of goods or money & securities
* Insurance against interruption of business: This coverage can provide money to offset lost profits and income to continue paying expense
* Several other options and endorsement are available to purchase

When purchasing a Business Owner’s Policy, it is very important to discuss the details with a licensed insurance agent who is familiar with commercial insurance policies. There are several options and risks that can be covered under a BOP. Some of these options can include signage, money and securities, business property, employee dishonesty, computer viruses, mechanical equipment failures, or loss of income for utility failures just a to name a few options. Not all over the options available are necessary to all business owners since not all businesses are alike. For example, a deli business that stores a large supply of refrigerated food, might find it very valuable to purchase insurance to protect them against the refrigeration equipment/breakdown or possibly even protection against a utility (electrical) failure that could possibly ruin valuable refrigerated food goods. It is also extremely important to purchase commercial auto insurance or ENOL coverage for all vehicles used within the business.