Business Insurance
Business insurance protects your investment by minimizing financial risks associated with unexpected events such as death of a partner, an injured employee, a lawsuit, natural disaster, etc. While the term “business insurance” is a very broad term, it can typically be broken into categories: Property, Liability, Commercial Auto, Workers Compensation, Business Owner’s Policy (BOPs), Life Insurance, and other insurance for unique businesses.
Property
Commercial property insurance is a form of insurance that covers direct and indirect losses related to properties other than one- to four-family dwellings and farm properties. The primary purpose of this type of insurance is to provide coverage against economic loss arising from damage to tangible property, such as a building structure or business personal property.
Liability
Commercial general liability is one of the most important types of insurance for a business. This type of coverage protects against the cost of a claim against the business as a result of an injury to a member of the general public or damage to property caused by the business activities. All kinds of businesses need this type of protection to cover for liability arising from premises, general operations and products manufactured or sold.
Professional liability insurance is for those offering professional service. This type of insurance protects against things such as malpractice, errors, negligence and omissions made by your business employees.
Commercial Auto
Any vehicle owned by a business and registered in the State of Florida must comply with Florida’s auto requirements. The Business Auto Policy insures the automobile exposures of a business. The kinds of autos owned by businesses and covered under a Business Auto Policy include:
- Private Passenger type autos and utility trailers designed to be pulled by private passenger autos.
- Commercial autos, including trucks, truck tractors, semitrailers, commercial trailers and service trailers.
- Public autos, including vehicles used as public or livery conveyances (buses and taxicabs), and private passenger autos rented to others without a driver.
- Special types of vehicles including self-propelled vehicles with certain permanently attached equipment (equipment for road maintenance, street cleaning, cherry pickers and air compressors).
Garage coverage form is used to insure businesses engaged in selling, services, repairing, parking or storing autos. Trucker coverage forms are also available.
Workers Compensation
The Workers Compensation insurance policy has a primary function to provide an employer the coverage required by law. The Florida law dictates requirements for employers in the construction industry, the non-construction industry, agricultural industry and out-of-state employers.
- Construction Industry- An employer in the construction industry who employs one or more part or full-time employees must obtain workers’ compensation coverage.
- Non-construction Industry- An employer in the non-construction industry who employs four or more part or full-time employees must obtain workers’ compensation coverage.
Workers Compensation is rated by classifying the risk according to its operations, with a rate charged for each $100 of payroll to employees. There are discounts that can be applied to the premium for programs implemented for a Drug Free Program and a formal Safety Program.
There are several programs available under workers’ compensation coverage: Pay As You Go, Premium Financing, and Traditional Workers Compensation coverage.
For more information on Florida’s requirement for workers’ compensation coverage, please visit www.myfloridacfo.com/division/wc.
Business Owner’s Policy (BOP)
A Business Owner’s Policy (BOP) is an insurance package policy. A BOP is a comprehensive commercial policy that includes coverage such as:
- Property Insurance
- Liability
- Business Interruption
- Crime
- Additional options for coverage such as non-owned or hired auto or professional liability
Under property insurance, a BOP typically covers property at replacement cost (new for old). It also extends coverage if your business is held liable for other person’s property in your care, custody and control. It will also generally extend coverage to protect your business against claims of bodily injury or property damage. In addition, the general liability will most likely cover legal defense in a lawsuit arising from an accident that causes bodily injury, property damage, and claims such as libel, slander and false advertising.
There are lots of other types of insurance available for those unique businesses. Things like a celebrity’s hair, a production company’s professional liability, bonds, etc. are unique and have insurance coverage available.
The Petrucci Agency has “commercial specialists” available for you! Give us a call at our Rockledge or Orlando offices. We are here to help with all of our business insurance needs.
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