Because different businesses are set up in diverse ways and include a wide range of assets and liabilities, business insurance Los Angeles is one of the most complicated kinds of insurance you can buy. Almost everything can be insured including employees, merchandise, vehicles and property. This is great for the flexibility of coverage that it offers, but it can be difficult to navigate all the ins and outs. Here is a review of the basic types.
There are nine basic categories of business insurance:
-Property Insurance covers business premises and contents against loss or damage. It can also cover third-party property that belongs to someone who is engaged professionally with the business.
-Casualty Insurance protects against loss or damage to the business. It is similar to liability insurance, though more elastic.
-Liability Insurance protects you financially in the case of another business or individual taking legal action against the business.
-Commercial Auto is like regular auto insurance, but it specifically covers business vehicles should they be a party to damage or accident. It is necessary for any company that owns a vehicle as personal auto insurance will not cover these situations.
-Workers Compensation follows state guidelines. For business insurance Los Angeles this insurance is required without exception. In effect, this service offers almost automatic reimbursement to injured workers in exchange for their agreement not to sue their employer for damages.
-Business Interruption insurance offers reimbursement of projected losses based on a production delay of some kind. This insurance kicks in if business is forced to stop while an important repair or adjustment is made. The business recoups lost revenue in exchange for the payment of premiums.
-Health Insurance is currently in a state of flux nation-wide. Depending on the size of a business, it may or may not be required to offer health insurance to its employees. More and more business are trying to include a health insurance package in order to attract new workers.
-Life and Disability Insurance protects important partners or other business personal. These policies are intended to keep the company solvent should an unexpected death interrupt operations.
-Scripted Policy includes specialty insurance that is written for a very specific purpose. A boxer who insured his hands would be one extreme example.
The first two kinds of insurance described above are often packaged together and called property and casualty insurance. This combination is considered to offer good coverage for basic business needs. Obviously, it is important to carefully analyze the specifics of your business to insure appropriate coverage. It is a good idea to begin with an insurance company that has the capacity to offer more comprehensive coverage as your company grows. Find one that has good rates and policies and who are easy to work with. As always, consult around before you buy to insure a good understanding of the ins and outs of the business insurance market.
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