One of the biggest questions our clients have is "do I need insurance" the next question "what kind of insurance should I get". We sat down with Kelsey Shay of State Farm to learn more about Commercial Insurance coverage, and some tips and tricks for insulating your business from the unexpected. Check out the answers to your questions:
1: Why do I need commercial insurance?
Commercial Insurance goes a little deeper than your personal home/auto policy. In the event you are involved in an motor vehicle collision, have a loss of inventory, or something totally unexpected occurs, your commercial policy may cover not only your materials, but lost income as well.
2: I work from my home, doesn't my homeowners policy cover all of my inventory?
Not always, if your materials are damaged in a house fire, natural disaster, or other event your homeowner's policy MAY exclude business materials. It is best to sit down with your personal agent to discuss what is and is not covered when working a home-based business.
3: I called around for quotes, but no-body understood what my business is what now?
Give your agent another call, Kelsey recommend that our business be categorized within the same "Business Policy Endorsement" as a Gift Shop/Stationary business. At a bare minimum this should help the insurance underwrites get going in the right direction.
4: What are some coverage that I should consider or want included in my policy?
General Liability, Income Protection, Auto Coverage (commercial), IT/Data
5: Ok, I've found an agent I like, and a good policy what do I do now?
Inventory every item in your collection, and be sure to document it's replacement value. When it comes to corrugated plastic items most items have a replacement value of $12-$15/ item. Larger pieces range from $35-$45/ item. H-Stakes should be valued at $1.50/ stake. 6: Is there anything else I should be doing to insulate my business?
Kelsey recommended that each business owner build a strong Continuity Plan. A continuity plan defines what would be done in the event you are not personally available/able to perform your normal duties at work. Some examples of things to consider in our industry are:
Internet Connectivity (loss)
Would you like to learn more about Commercial/Small Business Insurance? Have detailed questions on where to go from here? Contact Kelsey Shay, State Farm Agent and she'll get you headed in the right direction.
Kelsey Shay has been in the insurance industry since 2011. She is the Owner/Agent at State Farm Yulee. She can be reached at the link above or by calling 904-849-1988