Commercial insurance is mandatory if you run a business or are planning to start one. Setbacks and disasters are common in a business; proper insurance coverage helps overcome these difficult times with minimum hassles. Every business has different requirements, which vary as per the industry, so make sure you choose customized commercial insurance to meet your needs.
Commercial insurance aims to protect the business, the business owner, and the employees. There are different variations in which commercial insurance policies are sold, though the coverages remain almost identical.
5 types of commercial insurance policies that are suitable for small and mid-size businesses
- Commercial auto insuranceCommercial auto insurance is different from general auto insurance. This insurance policy offers physical and liability damage protection for vehicles, particularly for work-related activities. Covered cars are exposed to higher risks when compared to SUVs, regular cars, or trucks used for personal purposes. This is the reason covered cars are insured separately. A commercial auto insurance policy generally covers physical damage, liability, uninsured motorist, medical payments, non-owned coverage, and hired automobile.
- General LiabilityPersonal injuries, bodily injuries, and property damage might occur in a business. With general liability commercial insurance, you remain protected if you are sued for incidents involving your business services, products, or operations. For instance, someone trips on equipment at your business premises, incurs an injury, and files a claim against your business. The insurance coverage will bear the cost. Another example is, suppose your business makes a product that leads to health issues in customers. With general liability insurance, your business will have coverage for ensuing lawsuits and restitutions.
- Commercial propertyCommercial property insurance mainly protects office equipment, property, furniture, etc. The insurance pays for repair or replacement if the business property is destroyed or damaged. There is also an extension of coverage for office furniture, supplies, spaces, and fixtures. Precisely, this commercial insurance offers building coverage and business personal property coverage. Other covered things include exterior signs, computers, important documents, and landscaping or fencing.
- Worker’s compensationWorker’s compensation is mandatory for all business owners. This insurance pays for all medical and rehabilitation expenses of an employee, along with a part of the wages lost due to injury at the workplace. In case of the death of an employee at the workplace, the insurance policy also gives a death benefit.
- Business owner’s property (BOP)Business owner’s property policy is a cumulative commercial insurance policy offering basic coverages that all small and mid-size businesses need. This insurance policy includes business interruption insurance, property insurance, and general liability insurance. It is always better to get this policy since it is more cost-effective than purchasing each policy separately.
Contact Udell Family Insurance for the Best Insurance Policy Options Available!
Udell Family Insurance is your one-stop insurance destination if you are a resident of southern California. We offer affordable personal, life, and health insurance and business insurance, including commercial insurance policies per your specific requirements. Contact us to get started with it.