Commercial insurance is a type of insurance that offers protection for your business and covers you financially in the event of losses, damages, or injuries that could lead to a lawsuit. There are different types of commercial insurance and each one offers unique benefits and coverage depending on your business needs.
Some of the most common types of commercial insurance include property insurance, liability insurance, and workers’ compensation insurance, all of which provide unique coverage for your business.
Types of Commercial Insurance
The following are the 10 common types of commercial insurance coverage that you need for your business.
Commercial Property Insurance
This policy covers your business property (your building and its content) from losses or damages that may occur as a result of fire, theft, etc. Earthquakes and floods are not covered unless specifically mentioned in the policy.
Boiler and Machinery Insurance
Provides coverage for the accidental breakdown of machinery, boiler, and equipment by reimbursing you for property damage or business interruption losses.
It covers broken store windows and damage to large panes of glass used in commercial buildings. It provides compensation for losses incurred due to damaged or completely broken pieces of glass on your property. This coverage is especially useful for businesses with several glass doors and windows or expensive types of glass.
Commercial Auto Insurance
As the name suggests, commercial auto insurance protects a business that uses automobiles to render professional services in one way or another. It covers cars, trucks, vans, or trailers used in your business in the event of accidents resulting in third-party bodily injury or property damage.
Inland Marine Insurance
It covers materials and equipment being transported on land by a truck, train, or other vehicles. This policy may help cover high-value items that are excluded from other standard property insurance coverage.
Business Owner’s Policy
Also known as BOP insurance, this policy combines both the property and liability coverage to cover lawsuits related to property damage as well as liability claims such as customer injury brought against your business.
Business Income Interruption
It protects your business against lost income after a named peril affects your regular business operations. This policy is typically a part of the business owner’s policy with a specific “restoration period” during which it will cover the income lost and expenses incurred for restoring the business.
Directors’ and Officers’ Liability Insurance
Corporations and non-profit organizations usually purchase this policy to cover the costs of lawsuits that may be filed against their directors and officers.
Errors and Omissions Insurance
Also known as “E & O” insurance, this policy protects your business from unintentional mistakes made by you as the business owner or your employees, resulting in third-party injuries.
Workers’ Compensation Insurance
This policy covers medical bills, lost wages, ongoing care expenses, and even the funeral costs of employees who are injured or die due to work-related illness or injury.
Now that you have learned about the different types of commercial insurance deciding which coverage to get for your business will be easier. Contact our experts at 01 Insurance to discuss which coverage is best suited for your business. We are here to assist you with all your insurance needs today!