Spring Cleaning Your Business Owner’s Insurance Policy

The days are getting longer.  The weather is warming up.  Spring is in the air.  An atmosphere of renewal is palpable.  

There’s no doubt that you want to enjoy the warmth and maximize the unique opportunities that spring provides. Perhaps this is why so many people engage in spring cleaning.  

Some tasks require motivation that isn’t easy to come by.  For some people, cleaning falls into that category.  

For many business owners, maybe for you, refreshing your Business Owner’s Policy isn’t inspiring.  You didn’t pour your heart into your business to manage insurance.  

That’s ok.  We did.  Our expert team at JFA Insurance cares about insurance because we care about you.  We want to free you up to pursue your dreams. 

Without the proper coverage in the proper areas, you may be hindered in doing what you do best.  No business owner wants to be caught by surprise by not having the insurance they need.  But you also don’t want to be surprised by paying for things you don’t need.  

Here are nine key components to a Business Owner’s Policy. 

  • Products and Completed Operations
  • Premises Liability Insurance
  • On-Site Equipment Insurance 
  • Business Income Insurance 
  • Premises Medical Insurance
  • Coverage for Inventory Loss
  • Building and Personal Property Protection 
  • Fire Legal Liability Insurance 
  • Crime Insurance

Which of these insurances do you have?  Which do you need?  Let’s take a look! 

Products and Completed Operations

According to our partners at The Hartford,

“Products-Completed Operations Coverage helps cover liability claims resulting from your business’ product or completed operations that were done away from your location. It can help cover claims that your business caused bodily injury or property damage.” 

Does your business sell products that could have defects?  Could those potential defects harm people, pets, or places?  

If so, the products you sell should be insured.  

Beyond products, though, many businesses provide a service that completes an operation.  For example, now that it’s spring many people will be checking their lawnmowers.  

Part of your small business may be repairing small engines.  Once you (or your staff) complete the tune-up of a client’s lawnmower, you may be liable if the engine fails or causes harm.  

Perhaps, though, your business got out of the small engine repair business.  If so, this is coverage you no longer need.  But if you never canceled this aspect of your policy, you’ll continue to pay for it.   

Premises Liability Insurance 

If someone is injured on your business’ property, whether it’s a client or an employee, you may be liable.  

As soon as you open your doors for business or the warehouse for work, you risk injury.  Having the proper premises liability insurance provides you with the peace of mind you need to create a safe workspace and an inviting shopping space.  

Coverage for premises can be as diverse as the premises the insurance covers.  Does your current coverage match the space you work and do business in?  

On-Site Equipment Insurance 

Our partners at Liberty Mutual recognize that “A contractor’s reputation comes down to reliability and high-quality results, with no room for delays.” 

From the heavy machinery of a construction crew to the paintbrush of an interior designer, you need to right tools to get the job done on time.  

But even the best tools will break.  It’s not a question of if, but when.  

The proper coverage is critical to keeping your projects moving forward.  And not having too much coverage is critical to keeping your bottom line healthy.  

Is there equipment you won’t be using in the next 12 months?  Are there components to your business that you no longer rely on?  

Have you upgraded any equipment?  If so, have you upgraded your insurance?  

This is a great time to make sure that your insurance policy is prepared to cover the next year’s projects.  

Business Income Insurance

If we learned anything from 2020, it has to be that things can happen beyond our control.  This is why you need business income insurance.  

Our partners at Nationwide have this to say.  “Business income insurance works with your property policy and provides coverage for events beyond your control.”  

Wind, fire, floods.  Pandemics.  Not all of these will offer PPP.  

Business income insurance is critical to your ability to weather the storms that you cannot see coming.

If this is already coverage you have, does it match your current needs?  Have you gained or lost employees?  If so, have you adjusted your policy?  

We’re here to help you find the coverage that fits your business’ situation, today. 

Premises Medical Insurance 

Premises medical liability is defined as “a property owner or operator’s legal responsibility for injuries that happen on a property as a result of a dangerous condition.”

If you own, lease, or rent a property for your business, this coverage is a must.  It’s imperative that you have this coverage in place as soon as you have a physical place of business.    

This coverage will go beyond premise liability insurance in that it is specifically designed to cover medical claims.  

Insurance Coverage for Inventory Loss

Natural disasters and accidents can cripple your inventory.  Supply chains have been disrupted in a historic way.  

Does your business have inventory that could be at risk?  Does where you store your inventory cover potential damages or loss? 

Have your inventory levels changed since you last adjusted your insurance policy?  Now’s the time to make sure you have the coverage you need – and no more.  

Building and Personal Property Protection 

Physical damage happens to commercial properties.  You may also have personal property within your commercial building.  

From something as intimate as a family picture to as integrated as a cell phone, you can – and should – make sure your personal belongings are protected inside your commercial space.  

Now, if you own the building, you’ll need to insure the building as well.  But even if you take that step, you’ll still want to ensure that your personal property is protected inside the commercial space.  

Do you know if your current business owner policy offers the protection you need both personally and professionally? 

Don’t worry.  We’re here to help you sort it all out! 

Fire Legal Liability Insurance 

Fire legal liability is defined as coverage of a tenant’s liability for damage by fire to the rented premises (including garages) the tenant occupies; such coverage is usually provided as an exception to policy exclusions applicable to property in the insured’s care, custody, or control.”

Do you know if your umbrella insurance covers fire legal liability?  Not every insurance policy does.  You don’t want to find out the wrong way at the wrong time if this is not covered under your current policy.  

Spring is a great time to make sure you have all of – and only – the coverage you need.  

Crime Insurance

If only we lived in a world where we could trust everyone around us.  Unfortunately, that’s not the case.  Even with your employees.  

Crime insurance not only covers crimes committed against you by people outside of your company, but also by those within.  

Having crime insurance not only protects your company, it also protects your peace of mind.  Knowing you’re properly covered will let you focus on the goals in front of you and not worry about the distractions around you.  

JFA is Here to Help!

We’ve covered a lot of ground today.  Most of which you would prefer not to think about.  Which is ok – because we think about it all the time.  

Our experienced team understands the nuanced and ever-changing nature of local businesses.  We are eager to help you clean up your Business Owner’s Policies so that you can pursue your dreams.  

Call us today for a free consultation and learn more about how we can help.  

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