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Posts Tagged ‘ business insurance Fargo ’

Insurance for Christmas-Based Businesses

Wednesday, December 2nd, 2020

As a holiday or Christmas-based business, you likely have an exciting season ahead! Don’t let yourself get caught in a sticky situation throughout the busy season, and make sure that you have the proper commercial insurance coverage in place.

What insurance should I have in place?

The most common type of insurance for business owners to have in place is general liability insurance. This type of insurance covers risks associated with bodily injury, property damage, medical payments, personal injury and legal defense.

While you’re not legally required to have this type of insurance in place, it’s highly recommended. As things become busier for your business, the chances of damages like these happening only becomes higher. 

Having the proper protection in place will save you a lot of time and money in the long run if these situations occur.

How much does general liability insurance cost?

Factors that go into determining your general liability insurance cost include location, number of employees, deductible, general aggregate limit, and per-occurrence limit. 

But on average, small Christmas-based businesses will generally spend somewhere between $400-$700 per year on general liability insurance.

Other types of coverage for Christmas-based businesses

In addition to general liability insurance, busy Christmas-based businesses should consider professional liability insurance which provides coverage for mistakes while on the job. This could be by you or an employee.

Commercial auto insurance is also necessary to have in place for employees using their vehicles to get to and from job sites. This can cover at-fault accidents as well as vehicle repairs, property damage, and treating bodily injuries.

Lastly, home-based insurance may be relevant for businesses who operate their business from home. 

If a work-related accident is to take place at home, or an injury to take place on the property, home-based business insurance can help to cover the costs. Regular homeowner’s or renter’s insurance may not always cover these damages.

Don’t wait! Make sure you have the proper insurance in place for your Christmas-based business and have the holiday season you deserve.Contact us today to discuss your options!

Why Business Interruption Insurance is More Important Than Ever

Tuesday, November 3rd, 2020

We’re all aware of the unprecedented times we’re living in with COVID-19. As we have seen, things can change more quickly than we can predict which leaves a lot of uncertainty looming – especially for business owners.

What is Business Interruption Insurance?

The best thing owners can do for their businesses is to have business interruption insurance ready should the unexpected happen. If you are to experience a loss, business interruption insurance covers your business’s physical and virtual damage.

Business interruption insurance is key for industrial business owners, small business owners and multinational firms alike. 

It’s a critical element in your business plan as it can make all the difference in the case of a breakdown of your company’s IT systems. This could be accidental, but it could also be from a virus.

Why is Business Interruption Insurance Important?

As mentioned earlier, business interruption insurance is crucial in today’s climate. COVID-19 has shown us that interruptions are possible and that we are vulnerable to the unexpected.

This means that it’s important for business owners to think about what would happen if their business were to close or slow down. A risk management strategy has proven to be essential as it is the key solution to business interruption.

What Does Business Interruption Insurance Cover?

Business interruption insurance will work to keep your business operational both short and long-term. It can cover the loss of income during repairs as well as business costs.

When you are ready to transition your business to reopening, BI insurance can also assist in making the process smooth. 

You might need to extend your insurance to include expenses for coverage of costs that are extra in terms of your normal operating expenses. This is also relevant should you need to cover expenses related to moving to a temporary location.

Business interruption insurance will vary depending on your expectations and required coverage. It’s best to consult with your broker to ensure you have the proper coverage for your needs.

Ready to explore your business interruption insurance coverage options? Call us today for a quote!

Does Your Part-Time Business Need Commercial Insurance?

Monday, August 3rd, 2020

As a part-time business owner, it’s likely that you’ve got a lot on your plate. One thing you shouldn’t have to think twice about is whether or not you need commercial insurance.

A part-time business should always have commercial insurance coverage. This is largely due to the fact that your personal coverages won’t be able to take on the bigger business costs. These bigger costs can be anything from business inventory to liability.

Here we break down some of the details on commercial insurance to help you understand what you will need and the costs associated with it.

How much does commercial insurance cost?

The cost of commercial insurance for a part-time business will vary greatly. 

It will depend on a number of factors including:

  • Business industry
  • Number of employees
  • Location of your business and surrounding factors (distance from a fire station, fire hydrant, etc.)
  • Revenue
  • Security and damage detection devices
  • Property value (the cost to rebuild and replace)
  • Insurance and claims history

If you are looking to lower the cost of your commercial insurance, you can look for bundling options with your insurance company or choose a higher deductible. Always try to fix damages on your own before submitting a claim and think about installing preventative measures.

What does commercial insurance cover?

Unfortunately, running your business from home doesn’t mean that your home insurance will cover work related damages. This is because your home insurance is meant to cover your personal property as opposed to your business property. Look for home-based insurance solutions with your provider.

Operating your business elsewhere will require commercial property insurance. Generally, this coverage extends to:

  • Vandalism and theft
  • Fire and smoke
  • Explosion
  • Electrical current
  • Hail and wind
  • Water damage
  • Vehicle or aircraft impact

Your coverage will depend on your insurance company and the items that you agree upon. Always be sure to research what coverage will be most important to your unique business and prioritize based on your needs. 
Contact us for more information and commercial insurance and set up your policy today!

Flood Insurance for Businesses

Monday, June 1st, 2020

We recently shared some of our top tips for preventing floods in commercial properties. We touched on the importance of having comprehensive business insurance in place to protect you from damage, but today we’re going to discuss flood insurance for businesses in greater detail.

So, what kind of insurance would your business have in place if it were damaged by a flood? Unfortunately, a lot of business owners assume their regular business insurance would apply to flood damage. But the truth is, many insurance policies actually exclude flood damage. 

Flood insurance for businesses

To make sure they have the right coverage in place, businesses might want to consider purchasing commercial flood insurance through the National Flood Insurance Program (NFIP).

Here are some other things you should know about commercial flood insurance. 

What is covered by commercial flood insurance?

This coverage applies to the physical structure of your building, as well as the contents (including your inventory and equipment) inside of it. 

What doesn’t commercial flood insurance cover?

Most of the things outside of your property (think signage, septic systems, and landscaping) likely won’t be covered by flood insurance. On that some note, business interruption insurance isn’t included in your flood insurance. So if your business is interrupted by flood damage, you’ll need to have separate business interruption coverage.

Is flood insurance legally required?

There are some situations when you’ll need to purchase flood insurance for your business. This includes when your business is located in a high-risk flood area and you have a mortgage from an insured or federally regulated lender. 

What are the commercial flood policy limits?

Business owners can purchase flood insurance with up to $500,000 in coverage for their building. This is in addition to $500,000 of coverage for its contents.

Does commercial flood insurance cover mold? 

According to FEMA, damage caused by moisture, mildew, or mold that could have been avoided by the property owner is not covered by flood insurance. Additionally, damage caused by sewer or drain backup isn’t covered unless there’s a flood in the area that caused the backup. 
Would you like to hear more about the commercial insurance options for your small business? Get in touch with Fargo Moorhead Insurance today!

Insurance Considerations for Summer Businesses

Tuesday, May 5th, 2020

Although many businesses are experiencing significant changes right now, there are plenty of summer businesses still planning to be in normal operation by this summer. The situation is rapidly evolving, but we still wanted to provide you with some important insurance considerations for summer-based businesses or businesses whose operations vary during warmer months. 

Business Insurance for Summer Businesses

In the summer months, your business could have different insurance needs than it does during the rest of the year depending on the nature of your operations. Or maybe your business only operates in the summer to begin with!

Either way, here are four insurance considerations for businesses during the summer.

Protect your inventory

If something were to happen to the inventory you need to sell to make an income, how would you make money? To protect you from the damages of being left without inventory, make sure you have business property insurance in place. 

Patio safety considerations

Several restaurants and bars have patios that are only open during the summer. Does that include your business? Then you’ll want to make sure your commercial general liability insurance gives you adequate coverage for third-party injury or property damage claims from clients using your patio.

Insure your supplies

Several summer-based businesses rely on expensive equipment to operate, pool maintenance workers and landscapers being a few examples. If your tools are damaged or taken, commercial property coverage could help cover the cost of repairing or replacing these items. 

Errors and omissions insurance

Event planners are often busiest in the summer. Because they’re responsible for providing valuable services to clients, with that comes a certain amount of risk. With errors and omissions or professional liability insurance in place, you get financial protection for covering damages and other liabilities.
Would you like to learn more about the best options for protecting your business during all months of the year? We also offer home and auto insurance, along with farm insurance and life and health insurance. Give us a call today for help with all of your insurance needs!

Preventing Floods in Commercial Properties

Monday, April 6th, 2020

Do you own a commercial property? As a business owner, you need to be prepared for flooding and other disastrous events your business could face. 

Unfortunately, commercial properties can be especially vulnerable to flooding, especially if they are left unattended for long periods of time. Once commercial properties are flooded, you risk major financial losses. These losses can result not only from structural issues, but also from merchandise, inventory, and other property being damaged. 

Luckily, with the help of business insurance and flood insurance you can help protect yourself from many of these losses. 

But taking steps to prevent floods—or at least extensive flood damage—from happening in the first place is a crucial part of protecting your commercial property. 

Here are some of the steps you can take to prevent water damage in your commercial property.

Add water sensors 

These handy devices can alert you right away if there’s water on the floor or in other areas of your commercial property. They can alert you via your smartphone device immediately, so even if you’re away from the property, you can put a plan into place for dealing with the flooding right away. Basic devices can cost less than $10, but you can also purchase more advanced technology if you’d like. 

Waterproof important documents 

Using waterproof boxes to store essential physical documents you need to have on hand at your business AND your home is always recommened. Whenever possible, be sure to keep extra copies in secure secondary locations too. 

Have a plan in place

Flooding tends to come on suddenly, so having a plan in place ahead of time is the best course of action. Make sure your employees know exactly what to do with sensitive documents and equipment if your property starts flooding. Inform them about who they should call and any other steps they should follow at the same time. 

Are you interested in learning about all of your commercial insurance options for protecting your business? Give Fargo Moorhead Insurance a call today so we can help find the right coverage for you!

What Does It Mean to Be Bonded and Insured?

Thursday, March 5th, 2020

Is your business bonded and insured? Whether the answer is yes or no, it’s important to understand exactly what these terms mean and the difference it can make for your business.

Let’s explore these terms by breaking each of them down.

Small business insurance

If your small business has insurance, you help protect yourself and your business from a great deal of financial risk. When your business is insured, you pay a monthly premium in exchange for the peace of mind and security that you won’t be left paying thousands or even millions out of pocket in the event of a claim. 

Every small business insurance policy is a bit different, but these are some of the common components of a policy:

  • Commercial property insurance
  • Commercial auto insurance
  • Business property insurance
  • Errors and omissions insurance
  • Business interruption insurance

Is your business bonded?

Not all businesses need to be insured and bonded. But if you do need bonds for your business, here’s what you should know. 

Surety bonds involve three parties: the principal, the obligee, and the surety. If your business is bonded, the entity hiring your services want to ensure they’ll be financially protected from inadequate or incomplete work, negligence claims, or failure to comply with local or federal laws. 

Many people/companies will not hire a business unless they’re bonded. One example of a business that will need to be bonded and insured is a construction company. Construction or contractor bonds are also referred to as license and permit bonds and they provide critical protection for the client. 


We’ve also covered surety bonds more in-depth in this post. 

Other bonds

Depending on the nature of your business, there are a variety of other bonds you might need. 

These include:

  • Janitorial bonds
  • Fidelity bonds
  • Court bonds
  • Commercial bonds

Give us a call today if you’d like to learn more about bonding and insuring your business!

Understanding Surety Bonds for Your Business

Sunday, December 22nd, 2019

Does your business utilize surety bonds? These can be a vital tool for businesses that need to protect themselves from financial loss. They’re a good way to manage and transfer risk in certain situations, and they can help protect both private and public interests. The idea of surety bonds might seem complicated at first, but it’s actually a pretty simple process involving three parties.

1. The principal

The principal is the person, group, or party who buys the bond. The principal is the hired party, and the surety bond ensures the obligee will receive compensation if the principal doesn’t fulfill their obligations. This party must agree to terms of repayment, and this is often with interest.

2. The obligee

The obligee is the party that requires the principal to ensure a surety bond to protect themselves from financial loss. This is the party that hires the principal. By securing a surety bond, the obligee is guaranteed the services are performed or that they’ll receive financial compensation if not.

3. The surety

The surety is the financial institution or body that secures the funds for the bond and guarantees the principal will be able to fulfill a financial obligation. Consider the surety to be a lender for simplicity’s sake.

In the event of a claim, the surety bond company pays the obligee, and then the principal must pay the surety back via annual bond premium that between 1% – 15% of the total bonded amount until the obligation is complete. If a principal doesn’t meet their bonded obligation and a claim is filed against them, the surety covers the claim and recoups the money via indemnity.

While a variety of industries utilize surety bonds, they’re most common within the construction industry. Relating to construction, surety bonds are used to protect against disruptions or financial risk due to a contractor’s failure to complete a project or to meet contract specifications. These bonds ensure a construction project’s bills will get paid and are often required by investors.

To learn more about protecting your business (no matter the industry) from a variety of financial risks, give Fargo Moorhead Insurance a call today so we can help!

What You Need to Know About Commercial insurance If You Work From Home

Tuesday, November 12th, 2019

If you work from home, insurance for your business is still just as important as it would be if you operated from a separate location. Every business operates with a certain level of risk. When you appropriately prepare for these risks with business insurance, you help protect yourself from costly liability claims and so much more.

Here are some essential things you should know about business insurance if you work from home. 

Your home insurance isn’t enough 

Many business owners who work from their homes assume their home insurance covers anything in their home — including their business operations. But the truth is, a standard homeowners insurance policy will not include coverage for business activities. 

Business property insurance

Let’s say a fire destroyed a large part of your home, including some of your business supplies. Your home insurance could cover the cost of repairing or replacing your personal property, but business property is another story. For that to be covered, you’ll want to have a business property insurance policy in place. 

Liability insurance for home businesses

A commercial general liability policy can be incredibly useful for a home-based business. With this policy in place, you can have coverage if you are found liable for third-party injuries or damages. If you and your staff conduct business away from your home too, this coverage can also come in handy then.

Let’s say, for example, you own a tree cutting business that’s based from your home. When one of your employees is on a job, they cut a tree that falls and breaks a neighboring window. With CGL coverage, the cost of repairing the damage could be covered.

Workers compensation insurance for home businesses

Workers compensation is almost always required for businesses that employ people. So, if you have employees, even if they work from your home with you, workers compensation insurance is still important. Your employee could be injured at your home or away at a job site. With workers compensation insurance, you’ll have the means to pay for their lost wages and other costs associated with the injury. 

Business interruption insurance

When something catastrophic happens in your business/home, business interruption insurance can mean the difference between your business coming through relatively unscathed or not surviving the interruption. 

Perhaps there’s a flood in your home office where you conduct your business and where all operations take place. If you’re unable to operate your business and earn income until the situation is taken care of, business interruption insurance can help you cover wages, utilities, and other bills that come up during this time. 

Commercial auto insurance

If you use a vehicle for your business, commercial auto insurance is an important part of your business insurance policy. Even if you use your personal vehicle for work, it’s important to have separate business coverage for commercial use — the same regular home insurance won’t cover business operations conducted in the home. 

Whether you operate your business from home or a separate location, there are great business insurance options that can protect you from insurance risks. Give us a call today to learn more!