The Importance of New Businesses Investing in Commercial Insurance

It can be exciting to start your own business. However, there are certain risks involved in operating a business. For this reason, it is important to invest in commercial insurance to ensure your business is protected in the event that a disaster strikes. Green Family Insurance Inc., serving Illinois, shares a few reasons why commercial insurance is so important for new businesses.

Commercial Insurance Pays to Repair/Replace Damages

In the event of a covered peril, such as theft, fire, or vandalism, as outlined in your commercial insurance policy, you will receive the compensation needed to repair or replace the building and contents. 

Without commercial insurance, you would be solely financially responsible for repairing and replacing the building, furniture, equipment, and inventory. This would be a significant business loss. 

Commercial Insurance Protects Your Employees

You have numerous assets that are important, but your employees are definitely one of the most valuable. With workers’ compensation commercial insurance, you will protect your employees while also remaining compliant with state and federal law. 

This type of coverage allows employees to collect benefits that cover lost wages, medical expenses, and the like if they suffer an injury or illness while working. This insurance often minimizes the risk of being sued.

Commercial Insurance Covers Legal Fees

No business owner wants to face a liability lawsuit, but the unfortunate reality is that it can happen at any time. And all it takes is a single legal action to be taken against your company to cost you considerably if you don’t have the proper commercial liability insurance to protect you and your business.

This type of coverage offers protection should an individual suffer an injury while at your business or if you cause damage to a property that is not your own. Your insurance policy will likely cover the associated legal fees as well as any judgments that you’re ordered to pay.

Starting your own business can be incredibly rewarding, but you need to ensure you are properly protected from the get-go. For help creating the most appropriate commercial insurance policy for your business in Illinois, contact Green Family Insurance Inc.

What Is Involved in a Business Owner’s Policy?

A Business Owners’ Policy (BOP) may be something that you need to get or are interested in for your own small company. If this is the case, you would benefit from having a discussion with an agent from Green Family Insurance Inc. of the Illinois area about what it is and how it can help you. 

What is a Business Owners’ Policy? 

This is a policy that bundles liability and property coverage into one package. It ends up offering the same level of protection for a more affordable cost than you would have to pay otherwise. BOPs tend to be available for those businesses that have 100 or fewer employees. 

How Does Such a Policy Work? 

Many of the insurance companies out there offer BOPs.to small businesses. After you pay for the policy, the insurer can give you a proof of insurance document. This is important to have when you are signing leases for your business. You should get a declarations page, BOP form, common conditions section, and one or several endorsements as part of this if you get a standard ISO policy. 

What’s Included in Your Average BOP? 

A typical BOP includes commercial property, general liability, and business interruption coverage. Commercial property covers buildings that are located at the premises that have been described in the declarations, tenant improvements, property belonging to others (if you rent or something similar), business personal property that’s in covered buildings, building glass that’s owned by you. You can get a special version of the form if you want extended coverage. 

General liability coverage includes personal and advertising injury liability and bodily injury and property damage liability. Another aspect of this is medical payments coverage for medical expenses of someone who has been injured due to your business activities. This coverage is used in the absence of a lawsuit. 

Business interruption coverage protects your business if there’s a natural disaster or another covered event that interrupts you conducting your business. In the scenario that you have to close your company activities, business income coverage replaces your lost revenue. 

Some additional types of coverage that you may have with a BOP include electronic data, civil authority, accounts receivable, newly acquired property, and mold coverage among other things. 

Reach out to talk to an independent agent from Green Family Insurance Inc. of Illinois about getting set up with a business owners’ policy. You’ll be happy you took the opportunity to do so. 

How commercial insurance can save a small business

The backbone of the American economy is small businesses. They are defined by the small business administration as businesses with less than 500 employees. Small businesses are responsible for two-thirds of the jobs in this country. 98% of businesses in Illinois are classified as small businesses. Owning a small business can be a dream come true or a nightmare depending on how many risks you face and how well you are protected. At Green Family Insurance Inc., we strive to provide Illinois businesses with the coverage they need to survive and thrive. 

If your small business is hit by a fire, a theft, or a devastating storm, you may not be able to continue to do business in the location where your business is today. It might be a total loss, or it may need a lot of repairs. That can take time. Time your business may not have. If you have commercial property insurance, it protects the building where you are operating and all the things you need to operate. Your commercial insurance can help you get a temporary location and help replace and repair what you need to carry on. 

During the time a covered peril puts you out of business, commercial business interruption insurance can make sure that you don’t have to let your staff go and you can pay your operating expenses. Not every peril is covered, so read your policy carefully. 

Commercial liability insurance can save your small business if you are sued by someone injured while visiting your place of business or by a product or service you provide. Additionally, it can help with the legal expenses that defending yourself can entail. Every small business is vulnerable to legal action. 

Contact Green Family Insurance Inc. for all your Illinois commercial insurance needs.

What is Commercial Insurance?

Are you a small business owner? You may have heard of commercial insurance, which protects your business, its employees, and your organization’s physical assets. Various types of commercial insurance policies exist, including general liability, commercial vehicle, workers’ compensation, umbrella, and business property. Depending upon the size and type of the business, commercial vehicles, workers’ compensation, property, and general liability policies may be required in Illinois. Speak with an insurance agency, such as Green Family Insurance Inc. to determine your needs. 

Definitions & Policy Types

When you take out a commercial insurance policy, you’ll receive a certificate of insurance reflecting the amounts and types of coverages issued to your business. The certificate of insurance may list one or more of the following:

  • General Liability: Protects your business against hazards such as a client slipping and falling at your location.
  • Property: Protects against losses and damages to the organization’s physical property, such as buildings and equipment.
  • Commercial Vehicle: Similar to personal auto insurance, this type of policy protects fleet vehicles against damage and drivers against claims resulting from accidents. 
  • Workers’ Compensation: Protects the business against accidents sustained by employees while on the job. This can include medical payments for injuries and loss of wages. 
  • Umbrella: Protects against additional liability claims that might go above and beyond existing general liability limits. 

Certain types of businesses are considered at greater risk than others. Establishments that deal with alcohol, vehicles, and events are a few examples. Lower risk establishments may not need the same level of liability or property coverage. Small businesses without employees may also be exempt from taking out workers’ compensation policies. 

If you’re opening up a business in Illinois, check with a licensed insurance agent to see which policies are mandatory. Contact Green Family Insurance Inc. now.