Understanding Workers Comp Insurance

When looking for workers comp insurance, it can be a minefield. There are now so many products and services in the marketplace that knowing what is best can take lots of research and effort. As such, this article is going to cover the key points to look for when deciding on insurance. After reading this article, the various products should become clearer.

Note that there are certain states that require, by law, employers to have workers compensation insurance, even if they have just one employee. This should be noted and then checked to ensure that the business avoids any expensive fines.

Here are some of the important considerations to make when looking:

Competitive pricing - obviously, this will be high on the list of priorities when it comes to searching for this type of insurance. With so many insurance companies competing in the marketplace, it makes sense to shop around and look for premium discounts and policy dividends, amongst other perks. Search for offers at certain times of the year, as this is when the insurance companies are most competitive.

Cash flow assistance - this is something that is overlooked but it is important if money is tight, and a budget needs to be adhered to. Look for flexible payment plans and companies that offer low minimum payments. This criteria will be based on the individual situation and needs, but match companies based on similar packages offered to get a fair comparison.

Efficient claim handling - should a claim need to be made, the faster, and more efficient the process, the better. In terms of specifics, inquire into how many people will need to be contacted and who deals with such claims. A long, convoluted process is the worst possible experience when a claim is made.

Easy to contact support staff - finding the lowest cost workers comp insurance can often be the worst choice, as they fail to provide good a support system. In such cases, the low cost is a false economy and should be avoided in favor of more professional companies. The ability to contact support staff and have an easy-to-use system is important to clarify premiums, and especially when making a claim.

Health care – find those with a good reputation for working with healthcare providers to promote fast and high quality care.

Where to purchase insurance - insurance can be purchased via an agent or a broker licensed to provide and write policies in the state. The list can be found on the local government website. It is also worth checking with local trade groups as they are usually able to negotiate a special rate for their members.

When looking for insurance companies, always check the reputation of the firm in question. Find those with a track record in the industry and those that place importance on financial stability and fast, efficient claims handling. These are very important factors, and should come ahead of simply finding the cheapest premium available.

About Commercial Umbrella Insurance

Commercial umbrella insurance is used to protect a business when an accident occurs and existing liability policies for insurance is not able to cover all expenses related to the claim. Standard types of liability coverage for businesses can take care of general situations. However, when serious situations happen, umbrella insurance makes sure that a business is fully protected. Accidents are bound to happen and people are known to sue. Below are some possibilities that are involved with business accidents:

  • A company party goes overboard that results in a number of damages and injuries
  • The building of a business experiences a leakage of carbon monoxide resulting in multiple deaths or injuries
  • A company is accused of not rendering professional and appropriate services

These policies pick up from where the business general liability, auto liability and any other types of liability coverage end. This insurance policy is a smart and inexpensive method in providing additional coverage against property damage and/or bodily injuries.

An example of a claim:

If a business has a policy that covers the business for a million dollars and the business is sued for around 1.5 million dollars, the umbrella coverage will pay out the outstanding amount of 500,000 dollars. This saves the business from having to come up with the outstanding amount from business profits.

Customizing Your Policy

Every business is different. Professional practices like law firms, veterinary offices and doctors rooms operate differently from business locations, such as, an auto body shop. The respective liability needs for each business will also be different. Umbrella insurance providers offer tailor made policies in order to meet up with the requirements of each business.

Business owners of auto body outlets may require a policy that will offer additional coverage for the garage liability, while a law firm that focuses on client entertainment may need additional limits on liquor liability. Businesses are encouraged to ask for a quote that will be customized in order to meet up with their specific needs of the business.

How Umbrella Insurance Operates

Commercial umbrella insurance policies are used for two purposes. It is used to expand on the current limit a business already has for existing or for underlying types of liability policies. If the general policy for liability offers a coverage of $1 million for each occurrence or cover for a total of $2 million. The umbrella policy allows the business to expand the limits to around $3 million for each occurrence along with a $4 million average and an umbrella policy of $2 million.

The second purpose involves expanding coverage for items that the underlying policy will not cover. For example if a liability policy for auto only covers accidents that occur in specific areas, the umbrella policy can be used to expand on the coverage area.

Business owners interested in umbrella insurance should provide their chosen umbrella insurance providers with operational and financial details of the business when obtaining a quote. The insurance provider will need to know about the business along with the current insurance policies that the business has.

Tips On Choosing Commercial Auto Insurance

There are a lot of options for commercial auto insurance, and it’s a competitive industry, but you still need to take some precautions in order to find a policy that will not only be affordable, but will also give you the full cover you need. Good coverage doesn’t need to be expensive; you just need to know what to look for and what information to gather before you start asking for quotes.

Before you start looking at insurance companies conduct your own risk assessment. Check if there are any ways you can lower your risk. Look through your employee’s driving records – driving records are a major factor in premium rates, so taking these into consideration can help you to attain a more affordable policy.

Although a CDL (Commercial Driver’s License) may not necessarily be required in order to drive your vehicles, it is often the case that drivers who hold these have higher driving skills and may qualify for discounts. If you do have any employees who hold CDLs, make sure you mention this when you ask for a quote from the insurance company.

It is worth asking your agent if there are any discounts that your business may qualify for. Not all of these are pointed out and you may have to ask in order to find out about them. For example, some insurance firms will offer discounts on their auto insurance policies to businesses that have been in business for a minimum amount of time, and pay in full up front.

Make sure before you request a quote that you have all of the information handy that can affect the quote or conditions of the policy, including details of any special equipment, any inventory that is transported in the vehicles, and any relevant details regarding employee driving records. Supplying accurate information in full when requesting a quote from an insurance company will help you to get a realistic idea of what kind of cover they are able to offer you, as well as the price of the premiums.

It is also advisable you conduct an online search for feedback on the company before you do business with them. Typing the company’s name, along with “complaint” into a search engine, for example, will bring up any previous feedback on social media or forums from clients who have had negative experiences with that particular firm. While not all feedback will be warranted, if there is more than one client complaining about the same issue, you’ll know that there is probably something in it and will be able to take that into account when making your decision.

It is important to regularly review all of your insurance policies in order to make sure that you are not over-paying or paying for cover you no longer need. In order to make sure you have the commercial auto insurance that gives you the full cover you need without paying for unnecessary cover, it is a best to review your insurance options annually.