Businesses have a lot of different risks to cover and it can be difficult to understand what is covered and where.
Below are some short explanations summarizing the types of coverage you might find in your policy.
Property insurance protects tangible and intangible property such as buildings, office equipment, stock, copyrights, and loss of use of property due to a loss.
Liability insurance protects your legal responsibility for losses for which your company is responsible. These losses include such things as a slip and fall on your property or a product you create that injures someone. Another common term for liability is casualty.
Business auto insurance provides coverage for a land motor vehicle such as a car, truck, or trailer which could cause or incur damage.
Workers’ Compensation insurance is employer-purchased coverage to pay for medical expenses, lost wages, and/or death benefits for employees who suffer a work-related injury or illness.
Crime coverage protects a business from losses caused by theft, robbery, or burglary of real property and monies and securities, both on and off the business property.
Mobile equipment insurance covers land vehicles or machinery, such as those used in construction or industry, not licensed or designed for road use. Fork lifts and bulldozers are both examples of mobile equipment.
Business Umbrella coverage is designed to protect a business by increasing the primary limits of liability coverage. This “umbrella” generally extends coverage over automobiles, general liability, and employer’s liability.
Surety bonds are not insurance. Rather, they’re agreements that provide monetary compensation to a third party if there’s a failure to perform specific acts by the insured party within a stated period of time.
E&O (Errors and Omissions)
E&O insurance protects against loss due to a claim of a negligent act, error, or omission by the insured party.
EPLI (Employment Practices Liability Insurance)
EPLI insurance protects a corporation, directors and officers, and employees for claims resulting from wrongful termination, discrimination, sexual harassment, wrongful discipline, and failure to employ or promote.