Business Insurance

Business Insurance

Business Insurance
There is​ no denying the​ fact that success of​ a​ business depends on​ the​ hard work of​ the​ team but one disaster can wipe out your efforts and bring down the​ profits to​ dust. So,​ to​ avoid such an instance,​ you​ need to​ insure your business,​ whether it​ is​ a​ small enterprise or​ a​ large corporation.
There are insurance companies,​ which have policies that combine protection for all major property and liability risks in​ one package. you​ can also opt for separate coverage. Such a​ policy is​ called a​ business owners’ policy BOP. Larger companies may purchase a​ commercial package policy.
BOPs include property insurance for buildings and equipments owned by the​ company. if​ there is​ any loss of​ income due to​ disruption of​ operation and business because of​ accidents like fire,​ it​ can be covered under the​ Business Interruption Insurance.
There are liabilities,​ which cover the​ companys legal responsibility for the​ harm it​ may cause to​ others. it​ is​ the​ result of​ your company’s failure to​ do the​ business operations. it​ can also be the​ bodily injury or​ property damage caused due to​ defective products,​ faulty installations and errors in​ services provided.
However,​ BOPs don’t cover professional liability,​ auto insurance,​ worker’s compensation or​ health and disability insurance. Separate policies are needed for professional services,​ vehicles and employees. Generally,​ floods,​ earthquakes and terrorist attacks are not covered in​ the​ business insurance.

Protection Against Flood Damage
If your office is​ in​ the​ flood zone area,​ you​ must definitely go for a​ policy,​ which provide coverage against flood. Try to​ find out whether the​ place had been hit by flood in​ the​ past. Make sure you​ do something in​ advance to​ make up for the​ loss. Otherwise you​ may face trouble.
Protection Against Earthquake Damage
Earthquake is​ also not included in​ most property insurance policies such as​ homeowners and business owners’ package policies. Special Earthquake Insurance Policy or​ Commercial Property Earthquake Endorsement can cover you​ if​ you​ live in​ an earthquakeprone area. However,​ earthquake policies have different deductibles.
Business Interruption Insurance,​ which reimburses you​ for the​ lost income during a​ shutdown,​ applies only to​ the​ damage covered under your business property insurance policy. There won’t be reimbursement for the​ loss caused due to​ the​ closure of​ business because of​ the​ earthquake. For it,​ you​ must have an earthquake coverage policy.
Protection Against Terrorist Attack Losses
In the​ US,​ loss due to​ any terrorism is​ covered only for those businesses that have optional terrorism coverage. it​ comes under the​ Terrorism Risk Insurance Act 2002. Still,​ there are exceptions in​ workers’ compensation,​ which include injuries and deaths due to​ acts of​ terrorism.

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