Small business insurance is like a seatbelt for your business: when the worst happens, it lets you walk away unharmed. Without small business insurance, you’re at risk for losing revenue, facing lawsuits, and suffering property damage because of forces beyond your control. And when you work with insureon to find the insurance policies that address the risks your business faces, you enjoy peace of mind knowing you’re protected even when the worst happens. Plus, insureon makes the process of getting small business insurance hassle-free: fill out an online application, and we’ll connect you with an experienced agent who understands your industry and its risks. Your agent will find you policies from the country’s top insurance providers and get you covered fast. But don’t take our word for it. Fill out an application and see why we’re the nation’s leading source of small business insurance.
Professional Liability Insurance:
Even the smallest startups face the risk of being sued by a dissatisfied client or customer. Without Professional Liability Insurance, such a lawsuit can present an impossible financial burden to a small business, even if the small business wins.
That's because, in the absence of this coverage, the business would be responsible for paying court costs, attorney's fees, police report costs, witness costs, and more.
With an adequate Professional Liability policy (also known as an errors and omissions or E&O policy) in place, however, you will be able to focus on serving your clients to the best of your ability, without worrying how to finance your legal costs.
The expert agents at insureon understand how the risks inherent in operating a small business make this liability insurance a necessity for most business owners, and they can help you determine which claims scenarios your business is most likely to encounter.
Complete an application today to find a policy that fits your business's unique needs.
Professional Liability Insurance Explained
When a client or customer claims that a startup's services caused a financial loss, Professional Liability Insurance kicks in to cover the legal costs that arise.
For example, one of your clients might claim that your business…
- Failed to provide promised services.
- Was negligent in rendering its professional services.
- Provided shoddy, incomplete, or incorrect work.
- Made mistakes or oversights.
Regardless of the merit of those claims, your coverage pays for your legal defense as well as any judgments or settlements that your business may have to pay to compensate the suing party, up to stated policy limits.
Some policies also distribute payments for revenue lost while spending time in court, as well as certain other expenses related to your defense.
How Insureon Makes Buying Liability Insurance Easier
- Get Coverage in Less than Half an Hour. In just 15 from the minute you start your insurance application, you can expect to have a certificate of insurance for the policies your business needs.
- Choose from Industry-Leading Policies. Select a policy from the insurance industry's most trusted providers.
- Receive Helpful Advice from Experts. The insureon specialist agents have worked with hundreds of small-business owners to find the right coverage, and they're ready to answer any questions you have.
- Customized for Your Business. Don't settle for a one-size-fits-all policy, protect your business with a plan designed to protect against to the specific risks you face.
Key Details About Your Professional Liability Insurance
Our coverage is designed to help solo and small businesses protect their livelihoods if accusations about the delivery of their services arise. Here's what you need to know as you look over your policy options.
How "Claims-Made" Coverage Works
Most of these policies provide only "claims-made" coverage, which means that your policy must be active both when the alleged incident occurs AND when the claim is filed. This is why many small businesses invest in Professional Liability coverage and keep the same policy for the duration of their business' life. If you need to cancel your policy, you may wish to consider purchasing limited coverage for an extended reporting period that allows you to file claims related to prior incidents that occurred when your policy was still in force. Any claims filed after you cancel would otherwise not be covered.
Handling Unfounded, Frivolous, or Meritless Lawsuits
Many small-business owners are confident in their work and feel they don't need insurance because they believe they won't make a mistake. But it's been proven time and again: You don't have to actually be negligent to get sued. At insureon, we've seen lawsuits against small businesses for many claims that were ultimately proven to be unfounded, yet the businesses were still forced to secure a legal defense and fight in court. Professional liability coverage is a smart risk-management strategy for any business because it allows the owner to focus on what matters most, rather than devote valuable resources on the expensive distraction of a lawsuit.
Understanding Coverage Limits and Deductibles
Professional Liability Insurance is typically sold in increments of $1 million. Deductibles per claim may be as low as $1,000 and as high as $25,000, depending on your needs and budget.
Finding Coverage for Tough-to-Insure Businesses
Small-business owners and startups in certain industries may have trouble finding adequate small-business insurance. One reason for this is that insurance providers often limit coverage for companies considered to be "high-risk" and those that specialize in certain lines of work. However, thanks to our longstanding relationships with many of the best-rated small business insurance carriers, insureon is often able to secure coverage when many others can't.
Understanding What Isn't Covered
Every insurance policy has exclusions, so it's a good idea to prioritize your most likely risks and be sure you choose a policy that covers them. The small-business insurance agents at insureon have extensive experience handling variety of claims scenarios. Our team is happy to assist you with your risk analysis.
Business Protection Tips
Professional Liability Insurance offers protection in the event of a lawsuit; however, you can minimize the chances that such a suit will occur (and possibly even reduce your insurance premiums) by implementing a comprehensive risk-management strategy that includes these steps.
Use contracts to safeguard your business.
Certain business scenarios aren't covered by Professional Liability Insurance, including lawsuits alleging that your business lured away one of your client's customers. The best way to protect yourself against these types of claims is with solid contracts that establish clear guidelines, conflict-resolution processes, and rights and responsibilities for all involved parties.
Don't cancel your policy without talking to your agent.
Most policies require continuous coverage at the time of the alleged incident as well as when the claim is filed. If you suddenly terminate your policy, anything that occurred while you were insured will no longer be covered. Be sure to ask your agent about options for continuing coverage on a limited basis if you must cancel your insurance for any reason.
Work to build strong customer relationships.
If you demonstrate genuine commitment to your customers, you may be less likely to face a lawsuit, even if something goes wrong during the course of your work. But misunderstandings and problems do happen, even in the best client relationships, so it's smart to have insurance just in case.
Errors and Omissions Insurance:
Errors & Omissions Insurance (also called E&O Insurance and Professional Liability Insurance) protects small businesses and startups from lawsuits brought by unhappy clients. Even if the lawsuit is frivolous and the plaintiff is unlikely to win, the cost of a legal defense can top tens of thousands of dollars.
A startup without Errors & Omissions Insurance can find its assets drained by a single lawsuit, making it unable to continue operating. The experienced agents at insureon are deeply familiar with the unique challenges small-business owners face. They're ready to help you identify the risks that your business may face and determine how E&O Insurance can keep your assets safe.
Errors & Omissions Insurance Explained
Errors & Omissions Insurance kicks in when a customer or client brings a lawsuit alleging that your business's services or work caused him or her to suffer a financial loss. Typical examples of customer claims that E&O Insurance might cover include…
- Failure to deliver promised services.
- Negligence in providing professional services.
- Poor, incorrect, or incomplete work.
- Errors and oversights.
Errors and omissions coverage pays for your business's legal defense, along with any court-ordered judgments or settlements to compensate the suing party, up to the limits of your policy.
Your E&O policy may also cover compensation for lost income due to time spent in court as well as specific other expenses you may incur while defending yourself.
How Insureon Makes Buying E&O Insurance Easier
Secure the Coverage You Need in Minutes! In as little as 15 minutes, you can complete our online application and secure a certificate of insurance in your email inbox.
The Right Insurance for Your Business. We partner with leading insurance providers to connect you with quotes to manage your various risks.
Answers to All Your Questions. Our agents work extensively with startups in your industry, so they can advise you about your business's unique coverage needs.
Customized Coverage. You'll never receive a one-size-fits-all policy from insureon. Instead, you'll get a custom-tailored policy designed to meet the specific needs of your business.
Key Details About Your E&O Insurance
Errors & Omissions Insurance coverage is designed to help startups, sole practitioners, and small-business owners protect their business in the event of an accusation of professional negligence. While the specifics of a policy vary depending on an individual business's needs, these key concepts will help you understand your coverage.
Defending against Lawsuits without Merit
If you are confident in your work and have never been sued, you may feel that you don't need Errors and Omissions Insurance. However, many small businesses have been slapped with costly lawsuits even when they are not at fault. Regardless of whether a suit has merit, your business will be forced to hire a lawyer, and legal expenses add up quickly. E&O Insurance is a good way for any business to manage its risks, providing background protection that will always be there – just in case – to keep you focused on your business without the distraction of an unfounded lawsuit.
Deductibles and Coverage Limits in E&O Policies
E&O Insurance coverage is generally available in increments of $1 million. Depending on the policy you select, the deductible for each claim may range from $1,000 to $25,000.
Understanding the "Claims Made" Designation
The majority of E&O policies are issued on a "claims-made" basis. This means that the policy must be in force at the time the work in question is performed AND when the claim is brought. To ensure continuous protection, many businesses keep the same policy in force for the entire lifespan of their companies. If, for any reason, you are considering canceling your policy, be sure to ask your agent about purchasing an extension that would allow you to file claims associated with prior incidents. Otherwise, any future claims related to covered work will not be honored once you cancel your policy.
Some businesses in certain high-risk industries may have a hard time finding coverage for professional liability. Often, insurance companies will hesitate to cover a business they may consider high-risk, or they may specialize in providing coverage for only a narrow range of industries. The agents at insureon help many hard-to-insure small businesses find the protection they need, thanks to our long-term relationships with a wide range of top-rated insurance carriers.
What E&O Insurance Does Not Cover
Insurance policies always come with exclusions, so it's important to choose your coverage wisely. Take the time to list and prioritize your risks, and carefully select an errors & omissions policy that covers the risks that are most likely and most costly given your business model.
Business Protection Tips:
Count on contracts.
If a particular scenario isn't covered by your E&O policy, you can protect your business by specifying in a contract how that scenario will be handled if it arises. Seek legal help with writing a contract that delineates rights, responsibilities, and conflict-resolution processes before you begin work.
Be a good partner to your customers.
Keeping customers informed and building strong relationships with them can go a long way toward preventing a lawsuit if something were to go awry. When something does go wrong, try to make amends as soon as possible. Errors & Omissions Insurance will protect you in the event that your best efforts are not enough to make the customer happy.
Talk to your agent before you cancel your E&O coverage.
Because most E&O policies specify that a claim will only be covered if the policy is active both when the work in question was performed and when the claim is filed, prior acts will not be covered if you suddenly cancel your policy. Contact your agent to discuss extension options if you need to cancel coverage.
General Liability Insurance:
Even the most careful startups and small businesses run the risk of injuring or damaging someone or something during the course of ordinary operations. General Liability Insurance protects your business assets in the event of a costly lawsuit so that you don't have to drain your bank account or sell your equipment to fund legal fees and court settlements.
General Liability Insurance even protects businesses if the lawsuit in question is without merit, which is good news for small-business owners. Even without a judgment or settlement, the cost of mounting a legal defense can quickly climb into the tens of thousands of dollars. If you don't have general liability coverage and you don't keep that kind of cash on reserve, the cost of defending yourself could put you out of business.
The experienced agents at insureon understand how serious a lawsuit is for a small business. Contact us today, and one of our licensed agents will evaluate the risks associated with your business and help you to outfit your business with the Commercial General Liability coverage that fits your business and suits your industry.
General Liability Insurance Explained
Commercial General Liability coverage kicks in when your business is faced with a lawsuit alleging bodily injury or property damage.
For example, someone might claim that your business…
- Created an unsafe environment where someone was injured.
- Damaged personal property.
- Is responsible for an injury caused by you or one of your employees.
It's important to note that General Liability Insurance protects your business against claims brought against the company as a whole, as well as claims brought against individuals on the company's behalf. When a lawsuit commences, your General Liability policy covers the costs of investigating or defending those claims, which might include paying attorney fees, witness fees, court expenses, and more.
Up to stated limits, commercial liability policies may also cover bond premiums, settlements, and judgments arising from covered lawsuits, including the medical costs for someone suing about an injury.
How Insureon Makes Buying General Liability Insurance Easier
Quick, Accurate Quotes. The easy-to-use online insureon application can connect you with a certificate of insurance in less than half an hour.
Unbeatable Selection. Choose from policies issued by the industry's most trusted insurance providers.
Expert Agents at Your Service. Our specialists are licensed agents ready to assist and advise you throughout your insurance-buying process.
Individually Tailored Insurance Policies. Receive a policy that's designed to meet the specific needs of your business – nothing more, nothing less.
Key Details About Your Commercial General Liability Insurance
Your general liability policy protects your business from the costs and distractions of property damage or injury lawsuits brought against your business. As you consider your coverage needs, keep the following details in mind.
Coverage for Bodily Injury Claims
Some entrepreneurs and small-business owners have difficulty imagining a scenario in which their business could be responsible for hurting or killing someone, or for causing someone to suffer an illness or disease. But because accidents do happen and lawsuits are common, GL insurance is one of the most popular types protection purchased by small businesses. These policies pay for medical expenses, funeral expenses, loss of services, and court-awarded compensation if an injury results in someone's death – costs that are typically far too large for an average small business to sustain on its own.
Coverage for Property Damage Claims
No matter how careful your business may be, there is always a possibility that your company's actions – or lack of action – will damage someone else's property or make it unusable. General Liability Insurance is designed to protect your business against the high cost of a lawsuit if someone claims that your business is responsible for physical damage to their property or their loss of the use of that property.
Completed Products Coverage
In general, these commercial policies protect your business against claims related to products and services completed by your business. So if, for example, your company makes a product or provides a service that hurts someone, your legal expenses and any damages will be covered up to policy limits.
Contract Liability Coverage
This type of insurance may also cover liability you assume when you enter into certain types of contracts, including building leases, elevator maintenance agreements, easement-of-license contracts, and ordinance-mandated agreements to indemnify a municipality.
Personal and Advertising Injury Coverage
General liability policies may also cover allegations that your business caused non-physical damages to another person or entity, such as publishing libelous or slanderous information, violating their privacy rights, copying their advertising, infringing on copyrights or brands, wrongfully evicting them, or maliciously prosecuting them.
Liquor Liability Coverage
If your business doesn't manufacture or sell alcohol as a business, but may occasionally serve or distribute it at no charge at company functions, you will be glad to know that your policy may cover your business against lawsuits associated with any liquor-related accidents for which your business may be held accountable.
Medical Expenses Coverage
In the event that an accident on your premises injures someone other than one of your employees, Medical Expenses Coverage provides compensation for the cost of meeting that person's immediate medical needs. Insurance companies typically prefer to cover a small, immediate expense (e.g., an ambulance ride) rather than facing the possibility of having liability for much bigger and costlier problems that result from not providing immediate coverage.
Business Protection Tips
Find out if your business is eligible for a Business Owner's Policy
Certain low-risk businesses with smaller premises may qualify for an affordable package policy called a Business Owner's Policy, or BOP. These popular policies bundle General Liability Insurance and Property Insurance for one low premium. Complete our application to learn if your business is eligible.
Consider adding commercial auto coverage.
Many small businesses choose to add hired and non-owned auto insurance to their policies. This protects your business for lawsuits against your company that arise from accidents in personal vehicles used on company business. It also covers the liability portion of rental car contracts.
Know who and what your policy covers.
Your general liability policy may provide full or limited coverage for your business partners, executive officers, stockholders, directors, subsidiaries, employees, contracted vendors, new acquisitions, and volunteers. Read your policy for specifics, or ask your agent to clarify.
Business Owner Policy:
If your business is classified as low-risk, you may be eligible for bundled Property Insurance and General Liability Insurance coverage in a specialized, affordable policy known as a Business Owner's Policy, or BOP.
In some cases, a BOP also offers business interruption coverage, which provides you with income and helps cover the expenses you incur as a small-business owner should your business suffer a covered property loss and is forced to close down temporarily.
BOP Coverage Explained
The general liability coverage included in a Business Owner's Policy offers protection in the case of lawsuits that claim your business is responsible for property damage or bodily injury. Such lawsuits tend to be costly, even if your business is not ultimately found liable.
In the process of defending yourself, you may be responsible for paying lawyer's fees, court costs, witness fees, police report costs, fines, judgments and more. These expenses can easily top tens of thousands of dollars. The General Liability Insurance included in a BOP protects your financial reserves by covering those expenses, and in some cases even covers any interest that accrues during the course of the lawsuit.
The BOP's property coverage protects your business property against loss or damage. It also protects property in your care, control, or custody, even if it belongs to your clients, associates, or others. In the event that covered property is harmed or lost, the BOP provides funds for the property's replacement value, rather than its depreciated value.
This means that, with a BOP in place, you have the means to replace property quickly so you can get back to serving your clients ASAP.
How Insureon Makes Buying A BOP Easier
Coverage in as little as 15 minutes. From the time you start your application, you can have an online certificate of insurance in as little as 15 minutes.
Multiple options. You'll receive several quotes from trusted insurance carriers, and you choose the one that makes the most sense for your business.
Personalized guidance. Have your questions answered by an expert agent who has intimate knowledge of your industry and its insurance needs.
Customized service.We make sure you get an insurance plan tailored to your needs. No extra policies or hidden fees, just the coverage that will protect your business.
Key Details About Your BOP
At insureon, our goal is to protect your business from the cost and distraction of property and bodily injury lawsuits and to insure your business assets against damage and loss. Here are some key details about how we achieve both of those goals through your BOP.
Your business property – including furniture, equipment, inventory, and supplies – is typically covered at your own business location and when it is away from your office. Common property claims include theft, accidental damage, and fire. If, for example, your business property should be damaged or destroyed due to fire, explosion, or lightning, your BOP coverage would help you replace it, whether you own or rent your office or other business space. Additionally, if your business accidentally causes a fire in your office space, damage to other tenants' space and contents would also be covered.
General Liability Claims
In addition to protecting your business against the high costs associated with property and bodily injury lawsuits, the general liability coverage of your Business Owner's Policy may also protect your small business against completed operations liability, contract liability, personal and advertising injury, and liquor liability.
Business Interruption Insurance
Some policies may also include insurance to reimburse your business for lost income and extra expenses your business may incur as the result of a covered property claim. For example, if a fire in your office forces you to shut down your business for a month while you find and move into temporary office space, you may be able to receive reimbursement for lost income as well as costs associated with your temporary relocation.
Business Protection Tips:
Find out if your business is eligible for a BOP
Not all businesses qualify. If your business is involved in high-risk operations or is highly specialized, you may need higher liability coverage limits than a business owner's policy can provide. Businesses that occupy large premises or need more than 12 months of business interruption coverage may also need a different approach to coverage.
Consider adding Umbrella coverage
If you require protection beyond the limits of the BOP, you can purchase additional coverage in increments of $1 million through Umbrella Insurance (also known as Excess Liability Insurance). Most business owners considering umbrella coverage find that such protection is more affordable than they expected.
Find property protection that fits in your budget.
Most property policies insure your business assets for their full replacement value so you can buy new furnishings or equipment in the event of theft or loss. However, if you think you could easily replace your assets with second-hand goods, you may be able to save on premiums by choosing to insure your property at its current value.
Nearly every business faces at least some risk of on-the-job accidents, whether it be carpal tunnel injuries or equipment malfunctions that cause loss of limb or even death. If one of your employees is hurt while working for your business, you could be held responsible for paying related medical expenses as well as the wages he or she would have earned during his or her recovery period.
Workers' compensation laws are regulated at the state level. At present, most states require businesses to carry some kind of Workers' Compensation Insurance. Many mandate that all companies with W2 employees secure such coverage, and some require coverage for all businesses, regardless of size or worker classification.
The small-business insurance experts at insureon are familiar with workers' compensation guidelines around the country and how they apply to various industries.
Workers' Compensation Insurance Explained
Commonly referred to as "workman's comp" or "workers' liability insurance," Workers' Compensation Insurance is designed to protect your business by paying the costs associated with workplace illness and injury. In most cases, those include medical bills and lost wages – that is, the wages an injured employee would have earned had he or she been able to work during his or her recovery period.
Without insurance in place, those costs can be prohibitive: in addition to compensating the injured employee, remember, a business often has to pay wages to a replacement employee to perform the duties the injured person is no longer able to carry out.
Most workers' compensation policies also include something called Employer's Liability Insurance, which helps pay for your legal costs in the event that you have to defend yourself in court against an employee's claim of illness or injury.
Those costs, too, are often steep: even if the court finds that your business is not responsible for the illness or injury in question, you will have to pay for your legal defense, which might include attorneys' fees, court costs, docket costs, witness fees, and more.
Workers' compensation policies typically offer several coverage options, which might include…
- Coverage for employees working in other states beyond your normal range of operations.
- Coverage for certain types of injuries and illnesses for which your state may or may not mandate coverage.
- Coverage to support the dependents of any employees who suffer a fatal on-the-job injury, as well as coverage for funeral costs.
- Percentages of reimbursement for lost wages.
- Various liability limits.
How Insureon Makes Buying Workers' Compensation Insurance Easier
Secure the Coverage You Need Fast. Our expert agents and quick online application process help you get the coverage you need lickety-split.
Get an Expert's Opinion. Our agents specialize in their industry, meaning that you ll work with someone who understands your business and its insurance needs.
Receive a Tailored Quote. Rather than providing a generic insurance policy, we offer you coverage that s custom-fit to the needs of your business.
Key Details About Your Workers' Compensation Insurance
We can help you find a workers' compensation policy designed to adhere to your state's requirements and work within the structure of a startup or small business. As you consider your workers' compensation options, keep the following considerations in mind.
Know Your State's WC Laws.
Most states require the vast majority of businesses to purchase Workers' Compensation Insurance. A few sponsor insurance "pools" from which companies can purchase policies, but it's more common that states require businesses to purchase their own coverage. No matter what the laws in your state are, though, workers' comp coverage is a prudent investment, given the high potential costs of work-related injuries. If you aren't sure what your state requires, ask one of our agents.
Consider Saving Money By Excluding Yourself from Coverage.
Some states allow corporations to exclude their owners, partners, principals, and / or officers from coverage, which can cut the cost of premiums. Conversely, sole proprietors may be exempt from state laws mandating coverage, but may elect to cover themselves anyway to ensure that they have income if they cannot work. If you're unsure about your state's laws or need help deciding the best approach for your company, our workers' comp experts can help.
Business Protection Tips
Workers' Compensation Insurance can prevent you from spending your money on costly employee claims, but it is not the only way a business should protect itself from illness and injury. To minimize the likelihood that any of your employees will be hurt on the job, implement these basic business protection strategies.
Conduct regular safety training for employees.
The best way to avoid a claim is to avoid injuries in the first place. Be sure to instruct employees in the proper use of all equipment and materials, as well as in proper lifting and other injury-prevention techniques.
Provide appropriate safety or ergonomic gear.
Whether your business involves keyboard time or heavy lifting, the right equipment can help prevent injury. Invest in appropriate safety or ergonomic equipment, and instruct employees in proper and consistent use.
Keep a clean and safe workplace.
Regularly review your workplace for hazards, such as slippery floors or objects that could fall or be tripped over. Ensure that necessary repairs are made quickly and that warning signs and / or barriers are used to restrict access to high-risk areas.
Umbrella/Excess Liability Insurance:
Small businesses and startups that encounter greater risks than most businesses can protect themselves by investing in Umbrella Liability Insurance, also known as Excess Liability Insurance. Designed to supplement existing insurance policies, umbrella coverage offers a higher level of protection against certain types of lawsuits.
Umbrella Liability Insurance Explained
Umbrella Liability Insurance takes effect when a claim exceeds the coverage limits of an underlying policy. If, for example, your business faced a $1.5 million dollar legal settlement and your first policy limit was only $1 million, your business would be responsible for coming up with an additional $500,000.
With an Umbrella Liability Insurance policy in place, however, the additional half-million dollars would come from the insurance company rather than your own pockets.
Because Umbrella Insurance policies tend to be relatively inexpensive, they can provide significant financial protection and peace of mind to business owners who don't have especially deep pockets.
How Insureon Makes Buying Umbrella Insurance Easier:
Secure the Coverage You Need Today.
Our online application process can get you from application to certificate of insurance in less than half an hour.
Choose from the Industry's Top Brands.
After submitting your application, you'll receive quotes from some of the most respected names in insurance so you can choose one that best suits your needs.
Expertise You Can Trust
Our agents have connected hundreds of startups and small businesses with insurance, so they're familiar with your needs and with the requirements of insurance companies.
Choose insureon when you want an insurance policy tailored to the unique needs of your business, rather than a cookie-cutter policy that provides excess coverage where you don't need it and leaves gaps where you do.
Key Details About Your Umbrella Insurance
By paying a single Umbrella Liability Insurance premium, you can boost the protection of several of your business's other insurance policies. To maximize the benefit you enjoy from your umbrella coverage, keep the following in mind.
Errors & Omissions Insurance Isn't Included
While Umbrella Insurance can strengthen the protection of your General Liability, Hired and Non-owned Auto Liability, and Employer's Liability Insurance policies, it cannot add to the protection offered by your E&O Insurance (also known as Professional Liability Insurance). If you are worried that your E&O limits are not high enough, ask your agent about your options.
Umbrella Insurance Is Available in Increments of $1 Million.
Coverage can be bought in increments of $1 million and is surprisingly affordable for many small businesses.
Don't Underestimate the Benefit of Boosting Your Auto Coverage.
While many small businesses invest in Umbrella Insurance to boost the limits of their primary policies, it can also provide significant benefits for Hired and Non-owned Auto Insurance policies. If one of your employees were to cause an injury accident while driving on behalf of your company, the liability to your company would be immense. An umbrella policy provides an added level of protection for any business that in any way involves transportation of people, goods, or services.
Business Protection Tips
Umbrella Liability Insurance can protect your assets in the event of a lawsuit against your business, but by implementing a few precautionary practices, you can reduce the likelihood that your business will need that coverage. You can start managing your risk by instating the following practices.
Conduct a thorough risk evaluation.
To ensure that your coverage limits are adequate, do some research on relevant lawsuits in your industry. Compare the outcomes of those cases with your own coverage limits to get an idea whether your business is adequately protected.
If you need help, ask an agent.
The licensed insurance agents at insureon work with small businesses every day and encounter a wide range of liability claim scenarios in the course of their work. If you'd like to be sure that the limits on your current policies are a good match for your risks, we would be happy to provide a free risk analysis.
Read your contracts.
Some businesses require their vendors, suppliers, or other contractors to carry a specified level of General Liability or Umbrella Liability Insurance. Read the fine print on both the contract and your policies to ensure that you meet your clients' insurance requirements.
Your business relies on computers, equipment, furnishings, inventory, supplies, even the building itself, along with other assets to secure new business and continue operating smoothly. Property Insurance protects these assets in the event that they are stolen, damaged, or destroyed in a fire or natural disaster.
Without Property Insurance, most small businesses and startups would not be able to afford replacing their most valuable equipment, especially in the event of a disaster that damaged many items at once. With adequate property coverage in place, however, your business assets are covered, meaning that you will receive funds to replace them if they are harmed by a covered event. Many Property Insurance policies even protect property when it is located at an event other than your primary place of business.
Find out what kind of Property Insurance will protect your business: connect with one of our small-business insurance experts for an evaluation of your company's needs.
Commercial Property Insurance Explained
Commercial Property Insurance payments can be used to repair or replace business assets that are stolen, damaged, or lost. A basic commercial policy protects your investments in business assets, including…
- Office space owned by your business.
If your business meets certain criteria, you may be eligible for a reduced-price insurance package called a Business Owner's Policy or BOP. The BOP combines General Liability Insurance and Property Insurance. Talk to an insureon agent to find out whether your business is eligible.
How Insureon Makes Buying Business Property Insurance Easier:
Meet Your Insurance Needs Quickly. Work with our specialist agents to secure a certificate of insurance in as little as 15 minutes.
Coverage That Suits Your Business. Receive multiple quotes from the industry's leading insurance companies, and choose the one that aligns with your needs.
Intimate Knowledge of Your Industry. The agents at insureon are trained by industry, meaning you'll work with someone who knows insurance and understands the peculiarities unique to your line of work.
Custom-Built Coverage. We find policies that meet your exact needs. That means you don't have to pay for any extra coverage or worry about hidden fees.
Key Details About Your Property Insurance
Our Property Insurance is designed to help startups and small businesses quickly replace lost or unusable business assets. Here are a few things to consider when purchasing this type of coverage.
You can choose to insure your assets for their full replacement value or their actual cash value. The replacement-cost option comes with higher premiums, but will pay the full amount required to replace items at current market cost. An actual cash value policy costs less, but pays only the amount of your property's depreciated value. If it's important for your business to recover quickly after a loss, or if you may lease equipment for which you are required to carry full replacement insurance, it may be best to go with a replacement-cost Property Insurance policy. On the other hand, if used replacement goods are readily available in your line of work, an actual cost value policy may be a cost-effective choice for your business.
Renting Vs. Owning Your Office Space
If you own your office space, you can elect a policy that insures the building or space that houses your business. If you're renting, you may be able to purchase a basic policy that covers only the contents of your business space. Read your lease carefully to check for any insurance requirements the property owner outlines.
Understanding What Property Insurance Doesn't Cover
These policies typically cover business property for common loss scenarios, such as fire, theft, tornadoes or wind damage. Certain causes of loss, however, such as water damage or earthquakes, may not be covered.
Business Protection Tips
Investing in Property Insurance is an excellent way to protect your business against financial losses associated with property loss or damage, but insurance is only one part of the risk-management puzzle. To mitigate your risk factors (and even potentially reduce your premium costs), consider implementing these strategies.
Inspect for electrical hazards.
Many fires are caused by inadequate wiring and overloaded circuits. Have an electrician inspect your office or other business space to ensure that all wiring is correctly installed and can handle your business's electrical demands.
Keep valuables secure.
If you or your employees conduct business away from your office, never leave portable computers or other equipment or materials unattended. Restrict access to work areas if you must leave the work site, or take valuable items with you if you can.
Know how to protect your transit equipment
If your business model involves transporting property over land or includes structures or technology used in transportation or transmission of information, be sure to ask your agent whether you need Inland Marine Insurance. This is a kind of Property Insurance that protects a specific type of professional asset, and can help keep your business assets safe from loss.
Carry adequate coverage limits.
Many small businesses underestimate the costs required to replace their assets in the event of a loss and find out too late that they didn't have enough coverage.
Employment Practices Liability:
Employment Practices Liability Insurance protects startups and small businesses from employee-initiated lawsuits alleging discrimination, harassment, wrongful termination, and other charges. Because such suits are increasingly common, Employment Practices Liability Insurance is essential for many small businesses.
One reason for the increase in workplace lawsuits is that legislation such as the Americans with Disabilities Act and the Family Medical Leave Act define specific protocol for employers. Those who violate these protocols, even unintentionally, put themselves at risk for a lawsuit. Employment practices coverage protects employers and their businesses from such suits.
Settlements from employment practices lawsuits can run into the millions of dollars, and even if a business owner is not found to be liable, the legal defense can be prohibitively expensive. What's more, evidence in employment practices cases is often scant, meaning that a million-plus-dollar decision might be based on little more than "he said, she said" testimony from you and the person suing you.
When you invest in Employment Practices Liability Insurance as part of your overall risk-management strategy, you help safeguard your business assets and ensure that you will have the resources to defend yourself in the event of a lawsuit.
The agents at insureon have handled hundreds of real-life claims scenarios. Let our experts answer your questions and provide you with the Employment Practices Liability Insurance that protects your business from its unique set of risks.
Employment Practices Liability Insurance Explained
Employment Practices Liability Insurance protects your business and its managers, employees, officers, and directors against lawsuits brought by prospective, current, or former employees.
While directors' and officers' insurance policies offer liability protection against the actions of a company's leaders, a standalone employment practices liability policy offers protection with fewer exclusions and limitations. Coverage from an Employment Practices Liability Insurance policy typically takes effect in response to claims that a person's or group's civil rights were violated or that they were unable to complete their work in a fair, acceptable environment.
- Covered claims may include…
- Mismanagement of employee benefits.
- Sexual harassment.
- Wrongful termination of employment or an implied contract.
- Wrongful discipline or demotion of an employee.
- Slander or libel.
- Discrimination based on age, gender, religion, race, or other factors.
- Breach of an employment contract.
- Privacy invasion.
- Emotional or mental distress.
- Negligent decisions related to hiring, promotions, or compensation.
How Insureon Makes Buying Employement Practices Liability Insurance Easier
Secure Quick, Convenient Coverage. You can expect to have a certificate of insurance just 15 minutes from the time you start your application for insurance.
Excellent Choice of Policies. We work with a variety of industry-leading insurance providers, and we send you multiple quotes so you can select the one that best suits your needs.
Expertise before You Buy. Our specialist agents are ready to answer your questions and ensure that the insurance you purchase covers you from all the risks your business faces.
Customized Coverage. When you work with insureon, you can expect a policy that's tailored specifically for your business's needs. That means you don't pay for any extras that you don't need.
Key Details About Your Employment Practices Liability Insurance
For small businesses and startups at all stages, insureon offers a range of Employment Practices Liability Insurance. Here are some key considerations that will help you understand your policy options.
Understanding "Claims-Made" Coverage
Employment Practices Liability Insurance is typically issued on a "claims-made" basis, which means a claim will only be covered if the incident in question occurred while your insurance policy was active AND your policy is still in force at the time when the claim is made. If you cancel your policy immediately upon finishing a contract, for example, and someone submits a claim against your business, your policy will not cover you, even if it was active at the time the incident occurred. In some situations, you may be able to extend a policy beyond its original end date.
Talk with an insureon agent for details about employment practices liability coverage.
How Your Premium Is Calculated
Your Employment Practices Liability Insurance cost will depend on your business's size, industry, hiring and firing practices, employee turnover rates, and risk profile. You may be asked to share your written personnel policies with a potential insurer before you can receive a quote. A licensed insureon agent can help you locate coverage that fits your needs as well as your budget.
Understanding Deductibles and Exclusions
Most employment practices liability policies include a deductible (that is, an amount you must pay out of pocket before your benefits begin). Any legal defense costs, judgments, or settlements would be included in the policy's aggregate limits. What's more, some policies limit coverage during mergers, acquisitions, or major staff reductions.
How to Choose the Right Coverage Limit
Employment Practices Liability Insurance generally comes with limits that range from $1 million to $25 million. In selecting the coverage limit that is right for your business, take the time to consider all possible worst-case scenarios for your particular line of work and insure accordingly. Contact us to find out how insureon's team of experienced agents can help you complete a no-cost risk evaluation.
Your Insurance Company May Select an Attorney for You
Some employment practices liability policies stipulate that the insurance company chooses your attorney when a claim is filed. These attorneys are typically chosen for their expertise with relevant cases. If you have an attorney you would prefer to work with, be sure to verify that your policy permits you to do so.
Business Protection Tips
Implementing certain business practices can help minimize your risk for employment practices liability claims and may even reduce your policy premium. To manage your company's risk, be sure to do the following.
Establish and document sound personnel policies and practices.
The best way to avoid employment-related claims is to establish written guidelines for personnel practices, review them with your entire team regularly, and enforce them when needed.
Keep an "open door" policy.
Assure employees that they can safely voice their concerns regarding your processes and practices, without fear of reprisal, and that any inappropriate activity reported will be investigated fairly.
Don't cancel your coverage without talking to your agent.
Because Employment Practices Liability Insurance is issued on a claims-made basis, you will lose all coverage for future claims made, even if they are related to incidents that took place while your policy was still in force. Before you cancel, ask your agent about purchasing limited coverage for a specified extension period.
Cyber Liability Insurance:
If your business handles sensitive customer data (such as credit card or bank account numbers), data breaches pose a serious threat to your financial stability. Cyber Liability Insurance protects startups against the expenses associated with a data breach, which can run into the hundreds of thousands of dollars.
A lawsuit resulting from a data breach means your business is responsible for paying legal fees, court-ordered judgments or settlements, and other court-related costs. In addition, your business will likely have to notify your customers of the breach, provide them with credit monitoring services, and invest in public relations efforts to repair your business's image. In the absence of Cyber Liability Insurance, these costs can quickly drain a startup's financial reserves.
When you do carry Cyber Liability Insurance, it protects your business assets by paying for a legal defense, court-ordered compensation, and other related expenses. In other words, cyber liability coverage allows you to focus on rebuilding and restoring your customers' faith without worrying about the data breach-related expenses.
An insureon agent can help you evaluate the data liability risks your business faces and find you a policy that meets your needs.
Cyber Liability Coverage Explained
For many startups and small businesses, Cyber Liability Insurance is available both as a stand-alone policy and as an add-on to a Business Owner's Policy.
The two major types of Cyber Liability Insurance are first-party coverage and third-party defense and liability coverage, both of which are available to you through insureon. First-party coverage offers financial compensation to help you address immediate customer and business needs, such as those that result when your in-house IT network goes down.
Third-party coverage protects you in the event of a lawsuit brought by a customer or partner for a data breach that your business's actions or negligence allowed. Depending on your business's specific needs, you may choose either or both types of coverage.
Some of the policies insureon offers include additional tools and consultation services to help your business continue operating in the event of a security breach by evaluating the extent of the problem, restoring your reputation, and preventing future data breaches.
How Insureon Makes Buying Cyber Insurance Easier:
Fast, Efficient Coverage. In as little as 15 minutes, you can complete an online application and have a certificate of insurance in your hands.
More Choices. Apply once, and receive multiple quotes from industry-leading insurance providers.
Expert Insurance Agents. Work with an agent who is familiar with your industry and can explain to you which types of coverage you need.
Customized Insurance Products. Find an insurance policy that's tailored to your needs, so you never pay for coverage you don't need.
Key Details About Cyber Liability Insurance:
The type of data breach insurance you need depends on the specific kinds of work your business does. Below are key concepts to keep in mind when considering which type of Cyber Liability Insurance to buy.
First-party response may cover…
- Legal and forensic services to determine whether a breach occurred and assist with regulatory compliance if a breach is verified.
- Notification of affected customers and employees, including costs such as letter preparation and mailing.
- Customer credit monitoring, as well as monitoring of fraud, public records, and other information as needed.
- Crisis management and public relations to educate your customers about the breach and rebuild your company's reputation.
- Good faith advertising.
- Business interruption expenses such as costs for additional staff, rented or leased equipment, use of third-party services, and additional labor arising from a covered claim.
- Cyber extortion reimbursement for perils including credible threats to introduce malicious code; pharm and phish customer systems; or corrupt, damage, or destroy your computer system.
Third-party defense and liability may cover:
- Judgments, civil awards, or settlements you're legally obligated to pay after a data breach.
- Electronic media liability, including infringement of copyright, domain name, trade name, service mark, or slogan on an intranet or Internet site.
- Potential coverage for employee privacy liability as well as network security and privacy liability.
The Risks of Data Breaches Are Real
Many small business owners may not think they need this type of insurance, butstartups and small businesses are actually the most vulnerable to security threats. Thousands of small businesses handle sensitive customer credit or bank account information daily, and many are also responsible for protecting customers' medical information, Social Security or driver's license numbers, and other sensitive data. All it takes is one careless mistake by an employee, unauthorized access by a former employee or vendor,unshredded document, skilled hacker, or stolen laptop, and your company could suddenly face an unprecedented legal and financial challenge. Combined with strong security measures, cyber liabilitiy coverage is a cost-effective way to mitigate that risk. Ask us about a free risk analysis.
Protect Your Business with a Rapid Response
If your customers' sensitive information is compromised, there's a good chance they'll opt out of doing business with you in the future. Similarly, potential customers who hear about the security breach will be less likely to work with your firm. You can minimize the negative impact the data security breach has on your business by acting quickly. Swift, decisive action helps restore customer confidence and protect your bottom line. Cyber Liability Insurance allows you to focus on damage control and customer relations instead of worrying about how much danage your legal defense will have on your bank account.
Business Protection Tips:
Implementing the following risk-management strategies will reduce the likelihood that your business experiences a data breach, and may even reduce your Cyber Liability Insurance premiums.
Keep sensitive information on a "need to know" basis
Use passwords or physical locks to keep sensitive electronic data and physical files accessible only to those who need it to do their jobs.
Deploy extensive network security and firewalls.
If you have remote employees, limit the use of portable technology and provide a virtual private network (VPN) connection for access to company computers.
Train employees on proper care and control of customer data.
Ensure employees understand the sensitivity and liability related to customers' financial and personally identifiable information. Document processes and conduct regular training sessions as well as security audits to ensure compliance.