Do You Have the Right Commercial Insurance Coverage for Your Business?

A lot of start up businesses in Salt Lake City make the critical error of skimping on the type of commercial insurance package they purchase for their business. It's understandable why a new business would want to curb costs when financing may be limited; but one accident or unforeseen circumstance could wipe your new business out if you aren't adequately covered! Let's take a closer look at the types of coverage that should be included in every business owners insurance plan.

There are generally three types of fundamental coverage included in a business insurance plan; workers compensation, general liability, and property/auto casualty insurance. Additionally an umbrella policy can be added for further protection, as can life and disability insurance, and business interruption coverage. No business however should be without the main three; liability, casualty, and workers compensation.

General liability coverage protects a business against accidents which may occur on its premises; either to an employee, client, or passer-by. It also covers exposures related to the products of a business; such as if a company manufactures air bags and they are found to be faulty. Liability insurance can be one of the most complicated to purchase however, due to the many exclusions that may be bound to a policy. Before you purchase liability coverage, make sure you fully understand what it covers and what it does not.

Auto insurance is especially important for businesses using vehicles in their daily routines; whether providing company cars to employees or using their vehicles for transport or delivery. You may already be familiar with auto insurance if you have a personal vehicle, but as a business you may be able to save money by increasing your deductible and working with your insurance company to formulate a price for several vehicles instead of just one. You should pay particular attention to policy limits and make sure that you have enough liability to cover any damages; at least up to one million dollars worth.

Property Insurance covers your business against fire, flooding, explosions and such, but it is recommended that you purchase both all-risk coverage, which covers just about every possible event that could happen, and also replacement cost insurance, which covers the cost of full replacement to damaged property.

Workers compensation is required by law in all fifty states for any business. It covers medical bills and lost wages for any employee who is hurt on the job. Additionally it serves as a safety net for the employer should the family of an employee who is permanently disabled or killed should file a law suit. There is an additional option that can be included which is known as employment practices liability, which covers the employer in case of any sexual harassment or discrimination type lawsuits. The minimum amount required by businesses is set by the state, as are rates. Insurance companies in Salt Lake City, Utah, such as ASA Insurance, use the National Council on Compensation Insurance (NCCI) classification system.

ASA Insurance provides excellent coverage for car and home insurance in the Salt Lake City area with the lowest rates to the English and Spanish communities. Affordable rates and superior service for all home, auto and business/commercial insurance needs.

Asa Insurance provides excellent coverage for auto insurance in the Salt Lake City area with the lowest rates to the English and Spanish communities. Affordable rates and superior service for all home, auto and business/commercial insurance needs.