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Posts Tagged ‘ small business insurance ’

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!

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!