When you own and operate a business, it’s important to have the right type of insurance in place to protect your most valuable assets and income stream. There are several different types of property insurance policies available, each with its own unique coverage options and premiums, which can make it difficult to choose the right one for your business. Here’s what you need to know about each type of policy so you can make an informed decision about protecting your business property.
A) Liability
As a business owner, you are responsible for the safety of your employees, customers, and anyone else who comes into contact with your business. If someone is injured on your property or as a result of your business activities, you could be held liable. That’s why it’s important to have liability insurance, which can help cover the cost of medical bills, repairs, and other damages.
B) Equipment Breakdown
If you have expensive equipment or tools that your business relies on, you may want to consider getting equipment breakdown insurance. This type of insurance can help cover the cost of repairs or replacement if your equipment breaks down or is damaged. It will also cover the costs of hiring a contractor in case your equipment needs to be repaired while it’s still under warranty. Equipment breakdown insurance typically covers theft, fire and water damage as well as accidental damage.
C) Commercial General Liability
Commercial General Liability (CGL) insurance is one of the most important types of insurance for businesses. It provides protection against third-party claims arising from your business operations, including bodily injury, property damage, personal injury, and more. The right policy will also cover losses that are not covered by other insurances such as product liability or vehicle accident. The best policies offer both broad and special coverages at a competitive price.
D) Crime Coverage
When it comes to insuring your business, one of the most important types of coverage you can get is crime coverage. This type of insurance protects your business in the event that it is damaged or destroyed by criminal activity. There are two main types of crime coverage: first-party and third-party. First-party coverage protects your business from losses caused by things like theft, vandalism, and arson. Third-party coverage protects you from liability in the event that someone is injured or property is damaged as a result of criminal activity on your premises. crime rates in your area, the type of business you own, and the value of your property will all be factors in determining which type of crime coverage is right for you.
E) Cyber Liability Coverage
No business is immune to the risk of a cyber attack, and the costs of recovering from one can be astronomical. That’s why it’s so important to make sure you have adequate cyber liability coverage. One last thing that many people don’t know about their insurance policy is what is covered under property damage or loss. If someone breaks into your building and steals equipment worth $5,000 then that would only be covered up to $5,000 in value. The rest of the loss falls on you. However if that person also damages an expensive piece of equipment worth $10,000 then your insurer will cover up to $10,000 in value (minus any deductible).
F) Workers’ Compensation
As a business owner, you know that insuring your property is important. But what type of property insurance should you get? If you’re in an area prone to earthquakes, earthquake coverage is a must. Many commercial and residential buildings are not covered by homeowners’ insurance if the building was damaged by an earthquake.
The most popular property insurance policies are those that cover both physical damage and liability coverage (also known as all-risk or broad form policies). In addition to protecting against things like fire, theft, windstorms and other natural disasters, these types of policies also provide protection from liability lawsuits arising from injuries on the premises or damage caused by employees on the job.
G) Property & Loss Damage
In general, business property insurance doesn’t cover earthquakes. If you’re in an area with a high risk of earthquakes, though, it’s worth considering purchasing earthquake insurance. Coverage typically includes protection for your building, contents, and equipment. It can also help with things like debris removal and business interruption. The cost of earthquake insurance varies depending on the amount of coverage you need and the risk in your area, so be sure to shop around and compare rates before buying a policy.
H) Earthquake Coverage
If you live in an area that experiences earthquakes, then you’ll want to make sure your business property insurance policy includes coverage for this type of natural disaster. Earthquakes can cause serious damage to buildings and other structures, so it’s important to be prepared.