BUSINESS INSURANCE

What exactly is covered in business insurance?

There are a multitude of coverages available for purchase depending upon your business needs. Your agent can tailor a package to fit your particular business. However, there are several from which all businesses can benefit:

• Property coverage
• Liability
• Business interruption

Refer to the links above for easy to understand explanations of the 3 major types of coverage and examples of how such insurance can help the small business.

For those operating home-based businesses, don't be lulled into a false sense of security by your homeowner's policy. Most homeowner policies rigidly limit, or flat out exclude, coverage for any business related equipment. The usual limitation in homeowner policies is $2500 for business equipment while in your home and $250 for that equipment away from the premises, if there is coverage at all. This includes personal computers, fax machines, laptops, inventory, etc.

Example - You just picked up $5,000 worth or brochures from the printers, which your store in your office. The shower pan in the bathroom next to the office springs a leak and the next day you discover a very soggy office and $5,000 worth of ruined brochures. Incidentally, the water also shorted out your brand new $5,000 computer. If you don't have adequate business insurance, you're out $10,000.00. Can you afford it?

Summary

There are many types of business insurance coverages that can be tailored to fit your needs. Your insurance agent will be able to discuss, and tailor, whatever coverage is appropriate for your business. For in-home businesses, endorsements may be available to cover your business enterprise.

A Business Owner Package Policy is also available if an endorsement is not possible. There are also policies which combine homeowners and business coverage into one policy.

A comprehensive commercial, business, policy can cost as little as $150 a year. If you require less comprehensive coverage, it can cost even less.