Commercial Insurance: Tips on Choosing the Right Company and Policy

“Commercial insurance” essentially refers to insurance that protects businesses and professionals from any unforeseen circumstance that could affect the business / professionals financially. It’s always a good idea to have some sort of coverage for your business, even if you work from home. A general liability policy at the very least is recommended as it covers businesses for cases like a customer getting injured on the property, someone trying to sue you for medical costs, if your products cause injury, if copyright infringement, and so forth.

General liability insurance is offered by some contractors as a stand-alone coverage through some insurance companies, although it is often combined with property insurance in Business Owner Policies, or BOPs.

Here are a few tips for choosing commercial insurance:

• The best insurance for your business won’t be the same for every business, because each company is unique. It’s best to go through a company that offers tailored solutions, so you won’t have to worry about paying for coverage that you don’t even need.

• Learn about the laws in your area. Where your business is located plays a role in how much money you’ll have to pay. The risks are greater in some areas. What is the minimum requirement for companies in your city and state? How big is your commercial property?

More Tips for Finding Good Commercial Insurance

• One thing to look for is a company that will offer ways to reduce the cost of commercial insurance to ensure that you are getting a competitive price. Some providers actually offer discounts for home-based businesses. You might also be rewarded if you employ good risk management, such a keeping the commercial property clean and hazard-free.

• Keep the terms “named perils” and “open perils” in mind. Open perils coverage refers to protection against nearly every potential loss, except for losses specifically excluded in the commercial insurance policy. Named perils policy, on the other hand, only provides coverage for losses that are specifically INCLUDED in the policy, such as theft, wind, fire, vandalism, etc…

• If you are looking for an insurance broker, make sure that individual knows your industry. The more knowledgeable they are about your specific needs and requirements, the better able they will be to help you get the best possible coverage at a reasonable price. Also, look into a broker’s geographical licensing and operations. Do they align with the regions or states your company operates in?

A good place to begin your search for a good commercial insurance policy is the Hiscox Business Insurance Group. Hiscox Inc is financially strong and offers affordable, tailored coverage in all 50 states.

Small Business Property Insurance Info: What Are Factors That Affect the Cost of Coverage?

No matter how big or small your business property is, it’s a good idea to have it insured. You never know when somebody might become injured on it, or when a thief might steal something or cause damage to it. There are also natural disasters to worry about, like fire and hail. Like any type of insurance, the internet is filled with information about small business property insurance, some of which is useless information and some very helpful.

The cost of insurance varies depending on multiple factors. Some providers will allow small business owners to include commercial property insurance in a BOP (business owner’s policy), which is basically a bundled package of various types of insurance. In some instances, the cost of the package as a whole is actually less than the underlying policies if you were to purchase them separately.

Here are some of the factors that will affect the price:

• Size of the premise. Obviously, a large commercial property will typically cost more to cover than a small property or single unit of office space.

• The geography. Where, exactly, your business is physically located plays an important role in how much small business property insurance you’ll have to pay. This includes the state and city, crime rate in that neighborhood, land value, and so forth.

Safety and Security Demands for Small Business Property Insurance

• The amount of safety and security. Do you have any security equipment setup on the property? Are there any hazardous materials stored in the facility or nearby? Is the landscape kept neat and clean? Is there any object someone could potentially trip over?

• Age and type of equipment. Obviously, heavy industrial equipment is going to cost more to insure than an at-home desktop. As for age, you’ll probably have to pay a higher premium if the equipment is older and contains parts that are difficult to come by now, therefore making it more difficult to repair or replace.

• Age of the building. Older buildings are more susceptible to damage and will cost more to insure. Find out if you could save money in the long run by investing in renovations and remodeling, or if any discounts are available for making certain upgrades.

Now you have some idea of what to expect when it comes to small business owners getting their property insured. Regardless of your specific needs, you can count on a company like Hiscox to deliver the best policy. This company has its origins going all the way back to 1901 and has established an excellent reputation. There are many types of commercial policies to choose from, including affordable small business property insurance.