What Is Commercial Insurance – Types of Commercial Insurance

Commercial insurance, also known as business insurance, financially protects your business from common risks such as client lawsuits, customer or employee injuries, property theft, and damage, as well as other unexpected events.

As a property and casualty insurance company with more than 200 years of experience, we have helped protect businesses of all sizes. From small businesses to large corporations, our commercial insurance policies can help protect you and your employees from different risks.

There are two main types of commercial insurance. Commercial property insurance helps pay for business property damage or loss. Business liability insurance helps cover the cost of lawsuits brought against your business.

what is commercial insurance?

Commercial property insurance helps protect your company’s physical location and business property, including:

  • Computer equipment
  • Inventory
  • Tools
  • Furniture
  • Accounts receivable

Commercial general liability insurance, which helps protect your business from claims of:

  • Bodily injury
  • Property damage
  • Libel and slander
  • Advertising mistakes

Business income insurance helps replace your business’ lost revenue if you can’t open because of property damage.

Protect Your Business and Your Assets with Commercial Insurance

Cost-U-Less Insurance offers a broad range of business insurance options. Our friendly advisors will help you quickly find the policy that best suits your needs and your budget.

Business insurance generally falls into three broad categories:

  1. Property insurance
  2. Liability insurance
  3. Workers’ compensation insurance

Property insurance covers damage to real or personal business property which results in a financial loss. A commercial liability insurance policy provides insurance protection in the event of third-party bodily injury or property damage for which the insured is legally responsible.

If you are sued for personal injury or property damage, commercial liability insurance would cover the cost of defending and resolving the suit up to the established policy limits. 

Workers’ compensation insurance protects employers in the event of injuries sustained by employees while on the job. Workers’ compensation insurance is required by law in California for employers with as few as one employee.

State workers’ compensation laws cover all types of employees regardless of whether they are working as part-time, full-time, or leased workers.

The laws specifically mention that teachers for public schools, county workers working under hazardous conditions, and even volunteers working for a profitable business can also qualify for occupation injury compensation benefits.

Depending on the nature of your business, additional specialized business insurance coverage may be required.

Cost-U-Less Insurance has convenient locations staffed with brokers who have decades of experience under their belt. To serve customers better, most agents are bilingual and understand the specific needs of the local community.

They spend countless hours learning about every insurance carrier so that when you have questions about the coverage you need, you can rest assured knowing the experts will guide you to the right options.

What does commercial insurance cover?

Commercial Insurance may include:

  • Boiler and Machinery Insurance
  • Builder’s Risk Insurance
  • Glass Insurance
  • Inland Marine Insurance
  • Business Interruption Insurance
  • Ordinance or Law Insurance
  • Tenant’s Insurance
  • Crime Insurance
  • Fidelity Bonds

Liability insurance for businesses and professionals may include:

  • Errors and Omissions Insurance
  • Malpractice Insurance
  • Automobile Insurance
  • Directors’ and Officers’ Liability Insurance

What kinds of businesses need commercial insurance?

Any small business owner could benefit from commercial business insurance, including independent contractors and freelancers. Accidents, lawsuits, and injuries can happen in any workplace, which is why it’s important to secure protection even when insurance isn’t required by law.

FAQs – About Commercial Insurance

How do I get insurance for my business?

Contact an insurance company or an insurance agent, such as one of Insureon’s licensed agents. The agent can discuss insurance options based on your business needs and provide quotes for policy premiums.

If you already know what kind of insurance you need, you can fill out Insureon’s free online application to get quotes from top-rated insurers. You can buy coverage online and get a certificate of insurance usually within 24 hours.

How do I decide which business insurance coverage I need?

Your insurance agent can help you determine what coverage and how much insurance your business needs, based on your business type, how much business property you have, and other factors. You will need to make sure your coverage meets any requirements set by state laws, your clients, or your industry.

What happens if I need to file a claim?

Contact your insurance agency. They will investigate your claim, assess the damage, and inform you of the next steps. If your claim is approved, it will be subject to any deductible and coverage limits included in your policy.

If someone sues you for financial damages that are covered by your insurance, your insurance provider will likely put you in touch with an attorney to represent you in court or settle a claim.

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