In order to financially protect your business against certain covered events, you may be thinking of purchasing business insurance, but who’s covered by your business insurance and how does it help you? Learn the details of business insurance so that you can get the right policies for your company.
Understanding Business Insurance in Florida
Business insurance is designed to protect you against certain types of covered losses. While the exact losses depend on the types of business insurance policies you have, it can be designed to help protect you against losses from lawsuits, property damage, vehicle damage and loss of business income.
Types of Business Insurance Offered in Florida and Who’s Covered
Whether you own a physical location, operate your business online or own a home-based business, there’s a good chance you need at least a little business insurance to ensure you are covered against unforeseen events that could damage your equipment or cause you to lose money.
If you are a business professional and own your own business, you should consider getting a professional liability insurance policy. This type of insurance protects you if one of your clients sues you for negligence. This typically occurs when the client believes that you have not lived up to the professional expectations in your industry or the expectations set forth by your services and the description of those services.
Commercial Property Insurance
If you’ve ever owned a homeowners insurance policy, you can think of commercial property insurance in the same way. It protects your building and property against certain events, usually fire, wind and hail storms. Some policies even financially protect you if your building is damaged by civil disobedience.
Commercial automotive insurance is designed to cover vehicles that are used by your business. These can include cars, trucks, vans, semis and any other vehicle that you use for your business. Commercial auto insurance can be purchased with liability, comprehensive and collision insurance policies as well as umbrella policies.
Worker’s compensation insurance is designed to pay medical expenses for on-the-job injuries. If you have employees other than yourself, it’s a good idea to purchase this type of coverage so that you are not paying employees’ injuries out of your own pocket. For example, let’s say your business involves moving heavy boxes. One of your employees lifted a box and accidentally dropped it on his or her foot, breaking the foot. Your worker’s compensation insurance policy should help pay for the medical treatment of the broken foot.
Key person insurance works very similarly to a life insurance policy. However, it’s taken out for key personnel in the business. This is usually the owner of the business or owning partners, but it can be for anyone in the business who is so critical to the function of the business that it’d likely cease to exist without them. The money for this insurance policy is paid to the company to help them stay afloat while they either attempt to hire a new person or sell the business.
Business interruption insurance is typically an add-on policy for an existing property insurance policy or Business Owners policy. It pays for the loss of income due to certain covered events, usually natural disasters or a building fire.
Extra expense business insurance is similar to business interruption insurance but is usually less expensive. It’s typically added to a business owner’s policy and helps pay for any extra expenses the business might incur if they have to restore part or all of the building where the business is housed due to a covered event. This policy can be purchased by itself or alongside business interruption insurance.
Home-Based Business Insurance
Certain types of business owners operate out of their homes, like insurance agents, small bakeries and handmade craft companies. Home-based business insurance helps protect you against liability claims and loss of business equipment due to a covered event.
Business Owners Policy
Business owners policies are great for small businesses and home-based businesses. These policies include the most common types of coverage, usually business liability, professional liability and commercial property insurance. They can also be customized for your needs.
Getting Business Insurance with Fearnow Insurance
Here at Fearnow Insurance, in Florida, our insurance agents are happy to discuss your business insurance needs. We can answer your questions, help you determine the right policies for your business and give you a free quote.
To learn more about business insurance and to get a quote, call us at 813-689-8878.