Month: February 2018

Do you need business insurance?

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do i need business insurance? What will happen if I don't?
Do I need business insurance?

Does your business have commercial insurance?  Some businesses are required to have insurance, others are not.  How do I determine where my business falls. If you are required to have businesses insurance, you likely know. A governmental body may require your business to have a license. If that’ the case, it’s very likely that you couldn’t get your license unless you had prior proof of insurance.  Truckers, plumbers, insurance agents, and real estate agents are a few examples.
 
If I am required, what types of insurance will I need?
There is a purpose behind governmental units requiring businesses to carry insurance. They do so because of their charge to protect consumers.  As a
Commercial Insurance and Business Liability insurance, what is the difference
Commercial Liability Insurance

result, when insurance is required, it is, most likely to be a Liability coverage.  The two most common forms are General Liability (GL) and Professional Liability. Many contractors are licensed by the state.  In Kentucky, this is done by the Department of Housing, Building, and Construction.  Plumbers are governed by a subdivision of the department, the Division of Plumbing. The Division of Plumbing has as many requirements. The one we are focusing on is the requirement to provide proof of insurance.  It is a state mandate that all Kentucky plumbers have in place a general liability policy. The policy must have a minimum limit of $250,000.
Many industries revolving around motor vehicles use a different form of liability insurance.  One example is Truckers. Their liability protection comes from policies identified as Trucking or Non-Trucking Liability. They are very specific coverages that are part of the Commercial Auto Policies (CA). 
Auto dealers, garages, and body shops are protected by two liability policies created specifically for them. Dealer customers test drive vehicles and there is a very high turn over. Garages test drive customer vehicles, some even tow the client’s cars. These are a few reasons this group needs specialized coverage. Garage Liability and Garage Keepers Insurance have characteristics that appear like a blended GL and CA policy. 
Professional Liability Insurance has long been associated with services industries. It goes by many names; errors and omissions (E&O), medical malpractice, directors, and officers. This coverage protects businesses against claims of negligence.  Kentucky Insurance Agents and Real Estate agents are two examples of businesses required to have E&O coverage.
 
Why are we still here if insurance isn’t required?
If anyone ever tells you that you don’t need insurance don’t ask why just run!  I recently I saw someone involved in the insurance industry proposed the following absurdity. They suggested that risk change if your business operated online and didn’t have employees. Actually, they went as far as to say that such companies had little need for commercial insurance.
WHAT! 
Be sure to get their E&O info before taking there advising.
Before deciding to waive the insurance coverage, step back. What could go wrong today and how will I pay for it. Reconsider all your risk. Think about the online company, the one that has no risk. The one that doesn’t need commercial insurance. a
Consider the following: Do you have customers, clients, consumers, or readers?  If you answered no then are you really in business?
Could you make a mistake that would cause financial loss, or negative impact a customer? It is most likely insurable!
Could a vendor, affiliate, or other business relationship impact your business? Could one cause a temporary shutdown of your business? In most cases, you can protect yourself with insurance!
Ever heard of Cyber Liability?  What exposures do you have when someone hacks into your system? Cyber risk can be defended.
Everyone has risks, even an online business.  When you start to consider cyber exposures you very quickly release that this could be a very significant exposure.  If you’re interested in reviewing your risk profile feel free to give us a all.  (502) 410-5089. Some form of commercial insurance is needed by almost all businesses.   That’s why it is so important that you find an insurance agency that you can trust.  No insurance premium versus the option of no insurance company. When you have a claim, what is the highest the loss can be? When I do the math, those are odds that I don’t like. 
give us a call, we’re TruePoint Insurance. An insurance agency that’s committed to doing insurance your way. We know our role, and it’s not to sell insurance.  We help businesses like yours every day.