Filing an insurance claim is a process you undertake with your insurer to receive compensation for a loss covered under your policy. It involves notifying your insurance company about the incident, providing necessary documentation, and working with them to assess the damage and determine the payout. Let's say your insulation contracting business ex...

Insurance policy rating is the process used by insurers to determine the premium you'll pay for coverage. This involves assessing various factors such as the type of business you operate, the level of risk associated with your services, claims history, and the amount of coverage you need. These factors collectively help insurers gauge the likelihood...

'Medical Payments' coverage is a part of your liability insurance designed to cover medical expenses resulting from an injury on your business premises or due to your business operations, regardless of who is at fault. This coverage is crucial as it can help resolve small injury claims quickly and without litigation, thereby protecting your business...

A 'waiver of subrogation' is an agreement within an insurance policy where the insurer gives up the right to seek reimbursement from a third party responsible for a loss suffered by the insured. In simpler terms, if you file a claim and your insurer pays out, they usually have the right to sue anyone who caused the loss to recover their costs. A wai...

First-Party Cyber Liability Coverage is about protecting your business directly. It covers the immediate costs your business faces following a cyber event, such as data breaches or cyberattacks. For instance, if you own a fence contracting business and experience a ransomware attack that locks you out of your critical business files, First-Party cov...

Primary and non-contributory is a clause often found in commercial insurance policies. 'Primary' means that this insurance will be the first to pay in the event of a claim, before any other insurance you have. 'Non-contributory' means the other party's insurance will not have to contribute to a claim covered by this policy. This arrangement is parti...

In insurance, 'Occurrence' refers to the maximum amount your insurance company will pay for a single claim or event. 'Aggregate', on the other hand, is the total amount your insurer will pay for all claims during your policy period. For instance, if your policy has a $1 million occurrence limit and a $2 million aggregate limit, each claim is covered...

Hired & Non-Owned Auto insurance provides coverage for vehicles that your business uses but does not own. This includes vehicles you rent (hired) and those that your employees use for business purposes but are personally owned by them (non-owned).  Imagine you run a fence contracting business. For a large project, you rent a truck to transport m...

Contractors E&O insurance provides coverage for financial losses that your clients might incur due to errors, omissions, or negligence in your work. Unlike general liability insurance, which covers property damage and bodily injury, E&O focuses on financial losses resulting from your services or advice. This is particularly relevant for home...

Garagekeepers insurance protects your business from financial loss if a customer's vehicle is damaged while in your care, custody, or control. This includes services like window tinting, accessory installation, detailing, repairs, oil changes, and tire sales.   Imagine you own an automotive detailing shop. A customer brings in their car for a full d...

EPLI is a type of liability insurance that helps protect your business against claims made by employees alleging discrimination (based on sex, race, age, or disability, for example), wrongful termination, harassment, and other employment-related issues. As a business owner, it's crucial to be aware of these potential risks, as they can arise even in...

Employment Practices Liability Insurance (EPLI) with Sexual Harassment Coverage is a critical insurance component for protecting your business from the legal and financial repercussions of sexual harassment claims. In the home service industry, where employee interactions are a daily occurrence, this coverage becomes particularly important. Imagine ...

Employment Practices Liability Insurance (EPLI) with Discrimination Coverage is a critical component for safeguarding your business in the home service industry. This coverage specifically addresses claims made against your business related to discriminatory practices in employment decisions, including hiring, firing, promotion, and workplace conduc...

A Combined Single Limit (CSL) in Commercial Auto Insurance refers to a single dollar limit that applies to any combination of bodily injury and property damage liability coverage per accident. Unlike split limit policies that have separate limits for bodily injury per person, bodily injury per accident, and property damage, a CSL provides a flexible...

As a franchisee in the home service industry, your investment encompasses more than just the physical assets; it's about safeguarding your business's future. Insurance is a key tool in protecting this investment from various unforeseen risks. Why is insurance important for franchisees? It acts as a safety net. Whether it’s property damage, liability...

Insurance is a financial tool that helps manage risks by providing a safety net against unexpected losses. For franchisees in the home service industry, it's not just a requirement; it's a strategic asset. Insurance can cover damages from accidents, natural disasters, or legal claims, ensuring your business continues operating without crippling fina...

  Garagekeepers Direct Primary coverage pays for damages to customers' vehicles regardless of who is at fault. Legal Liability coverage, on the other hand, only pays if your business is found legally liable for the damage.   Consider you run an automotive repair shop. A customer leaves their car with you overnight, and it gets damaged by vandals. Wi...

An 'additional insured' is a person or organization not automatically included as an insured under an insurance policy, but for whom the policyholder has extended coverage. This arrangement is common in franchise operations, where a franchisee might add the franchisor, or a contractor might add a client, as an additional insured to their policy. Thi...

Garagekeepers Direct Primary coverage pays for damages to customers' vehicles regardless of who is at fault. Legal Liability coverage, on the other hand, only pays if your business is found legally liable for the damage.   Consider you run an automotive repair shop. A customer leaves their car with you overnight, and it gets damaged by vandals. With...

'Workers' Compensation Coverage C', also known as 'Other States' Insurance, is a part of your Workers' Compensation policy designed to provide benefits for employees who work in states not listed on your policy's declarations page. This coverage is essential if your business operates or sends employees to work in multiple states, as Workers' Compens...

Uninsured Motorist (UM) and Underinsured Motorist (UIM) coverage are critical components of your commercial auto insurance. UM coverage protects you if you're involved in an accident with a driver who has no insurance, while UIM coverage comes into play when the at-fault driver's insurance is insufficient to cover the damages. This coverage is parti...

Coverage B', also known as Employers' Liability Insurance, is an essential part of your Workers' Compensation policy. While Coverage A provides statutory benefits to injured employees, Coverage B protects your business from lawsuits related to employment injuries or diseases that aren't covered under Coverage A. This includes legal defense costs, se...

Professional Services in a Contractor E&O policy refers to the specific services listed in your insurance policy that are covered in the event of a claim. These are the services you are insured to perform, as recognized by your policy. Imagine you run a roofing company, and your insurance policy lists roofing services under 'Professional Service...

'Class Codes' are specific codes used by insurance companies to categorize businesses and jobs based on the level of risk associated with them. Each class code has its own associated risk level and corresponding insurance premium rate. It's important to accurately classify your business to ensure you're paying the correct amount for insurance and ar...

Employment Practices Liability Insurance (EPLI) with Wage & Hour Coverage is a crucial safeguard for your business, designed to protect against claims related to alleged wage and hour law violations. This type of coverage is particularly vital for franchisees and small business owners in the home service industry, where managing diverse workforc...

A Certificate of Insurance (COI) is a document issued by an insurance company or broker that verifies the existence of an insurance policy. It outlines the key aspects of the policy, such as the type of coverage, policy limits, and effective dates. This document is crucial as proof of insurance when you're dealing with clients, subcontractors, or la...

Employment Practices Liability Insurance (EPLI) with Third-Party Liability Coverage is an essential aspect of your business protection strategy, especially for franchisees and small business owners in the home service industry. This coverage protects your business from claims made by non-employees, such as customers or clients, who may allege discri...

Inland Marine Insurance is a type of coverage designed to protect your business equipment and tools while they are in transit over land or stored at different locations other than your primary business premises. It's essential for home service industries where equipment is regularly transported to various job sites and is exposed to potential risks ...

Employment Practices Liability Insurance (EPLI) with Retaliation Coverage is an indispensable part of your business insurance, particularly designed to protect your company from claims alleging retaliatory actions by management or other employees. In the home service industry, where interactions between staff and management are frequent and vital, t...

In your businesses, such as roofing, painting, or window installation, you might sometimes rely on subcontractors. What happens if one of these subcontractors is uninsured and gets injured while working for your company? Let's explore this.   Workers' Compensation Insurance is designed to cover injuries that employees sustain while on the job. Howev...

EPLI protects against claims of wrongful termination. Wrongful termination occurs when an employee is dismissed from their job in a manner that breaches one or more terms of the contract of employment, or a statute provision in employment law. As a business owner, having EPLI can shield you from the legal and financial ramifications of such claims.I...

Loss Sustained coverage refers to an insurance policy that covers losses during the policy period, regardless of when the loss is discovered. For instance, imagine your fence contracting business suffers a theft of equipment, but you only discover it months later. If the theft occurred during the active policy period, Loss Sustained coverage would a...

Insurance policy classification is based on the specific type of business you operate and the risks involved. This classification determines the kind of coverage you receive. It's based on factors like the services you offer, the size of your business, the number of employees, and your business location. Each class has its own set of risks and premi...

‘Workers Compensation’ is a mandatory type of insurance that provides medical benefits and wage replacement to employees injured on the job. In exchange, employees relinquish their right to sue their employer for negligence. This coverage is essential for any business, especially in industries like ours where physical labor is involved. Consider a s...

Employee Dishonesty Coverage is an essential part of your business insurance portfolio, specifically designed to protect your business from financial losses due to fraudulent or dishonest acts committed by your employees. This type of coverage is crucial for small business owners in the home service industry, where employees often have access to cli...

Exclusions in an insurance policy are specific conditions or circumstances that are not covered by your policy. Knowing these is critical to understanding the extent of your protection. Exclusions help insurers avoid covering risks that are too high or not in line with the nature of your business. To find exclusions, start by thoroughly reviewing yo...

Product liability refers to the part of your insurance policy that protects against claims of injury or damage caused by the products you use, install, or sell in your business. This includes compensation for damages, legal defense costs, and any settlement or award if your business is found liable. It's particularly relevant in the home service ind...

In the context of insurance, Independent Contractors are individuals or businesses you hire on a contractual basis to perform specific tasks or services. Unlike employees, they are not covered under your workers' compensation or liability insurance by default. It's essential to know how this affects your insurance coverage and liabilities." Imagine ...

Auto symbols determine the type of vehicles covered by your commercial auto policy. We’ll focus on three types of auto symbols, symbol 1, symbol 2, and symbol 7.   Symbol 1 – 'Any Auto': This is the broadest symbol, covering any vehicle used for your business, whether owned, hired, borrowed, or otherwise. Symbol 2 – 'Owned Autos Only': This covers v...

'Business Interruption' insurance is designed to protect your business from losses that occur when you are temporarily unable to operate due to a covered event, like a natural disaster, fire, or major theft. This coverage helps to compensate for lost income and fixed expenses during the period of restoration or repair. Imagine your insulation contra...

Network Security & Data Breach Coverage is a vital component of cyber liability insurance, designed to protect your business against the financial consequences of cyber threats such as data breaches, hacking, and other digital security incidents. This coverage is increasingly important for franchisees and small business owners in the home servic...

Contractors Pollution Liability insurance is designed to cover claims of environmental pollution caused directly or indirectly by your contracting activities. This can include damages due to accidental spills, improper waste disposal, or other pollution events occurring during your work. For industries involving substances that can potentially harm ...

An 'Admitted' insurance carrier is licensed and regulated by the state's insurance department. This means they must comply with all state regulations and contribute to the state's guaranty fund, which protects policyholders if the insurer goes bankrupt. In contrast, a 'Non-Admitted' carrier is not state-licensed or regulated, but they are legal and ...

Completed Operations coverage is a feature of your general liability insurance that protects your business from claims of injury or property damage that occur after you have completed a job. This coverage is essential because it addresses risks that might surface after your work is done, whether it's days, weeks, or even months later. Imagine you ru...

Contractual Liability is a part of your insurance policy that specifically covers liabilities you have assumed under a contract or agreement. It's crucial in the home service industry, where contracts often include indemnity clauses requiring one party to compensate the other for certain kinds of losses or damages. For instance, as a painting contra...

Premises Pollution insurance provides coverage for environmental contamination incidents that occur on your business property. This can include accidental spills, leaks of hazardous materials, or other pollution events. Given the nature of home service work, where various chemicals and substances are often stored or used, this coverage is an essenti...

Claims-made and Occurrence are two types of insurance policies that differ in how and when they provide coverage. An 'Occurrence' policy covers incidents that happen during the policy period, regardless of when the claim is filed. On the other hand, a 'Claims-made' policy covers claims made during the policy period, even if the incident occurred at ...

Transportation Pollution coverage is a part of environmental liability insurance that addresses pollution risks associated with the transportation of goods and materials. It covers accidental spills or contaminants that occur during the transit of materials used in your business operations, whether they're being transported by your own vehicles or b...

Underlying Coverages refer to the basic insurance policies that form the foundation of your business protection. These typically include general liability, commercial auto, workers' compensation, and professional liability insurance. They provide the initial layer of protection against common risks and are the policies over which excess or umbrella ...

Social Engineering Coverage is a crucial part of your cyber liability insurance, designed to protect your business from financial losses due to deceptive practices used to manipulate individuals into divulging confidential or personal information. In today's digital age, this coverage is increasingly important for franchisees and small business owne...

Workers' Compensation for Owners refers to the coverage that business owners can opt into for themselves under a Workers' Compensation policy. While it's mandatory for employees, owners often have the option to include or exclude themselves from this coverage. Deciding whether to be covered under Workers' Compensation as an owner can impact both you...

Third-party crime Coverage is a crucial aspect of your business insurance, designed to protect your company if an employee or independent contractor steals from a client's premises. This is especially important in the home service industry where your staff regularly enter clients' homes or workplaces. Imagine you run a blind installation business. O...

Umbrella and Excess Liability insurance both provide additional coverage beyond your primary insurance policies, but they differ in scope and application. Umbrella insurance not only extends the limits of your underlying policies but can also broaden coverage, filling in gaps that the primary insurance might not cover. Excess Liability, on the other...