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Choosing the Right Insurance Policy for Your Business

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Choosing the Right Insurance Policy for your Business

Purchasing the right business insurance policy is an important aspect of ensuring that your business thrives and weathers all types of unforeseen losses. Whether it is the result of a natural calamity, theft, corporate espionage, lawsuits, or some other cause, covering such losses requires comprehensive business insurance that minimizes the risks and maximizes the benefits for your Barrie business.

With so many different types of business insurance policies out there, getting the right coverage requires careful consideration. The expert Ontario insurance brokers at Orr & Associates offer useful tips on choosing your business insurance in Barrie.

The Right Types of Insurance for Businesses

Many business owners start with a Business Owner’s Policy (BOP), which covers:

  • General Liability Insurance (GLI): Protects your business from claims related to damaging someone’s property, causing bodily injury, or other personal injury, such as libel or slander.
  • Business Income Insurance: Also called business interruption insurance, this policy offers compensation against loss of income, if you cannot run your business because of covered property damage. You can use this compensation for ongoing expenses, such as salaries, rent, or utility bills.
  • Commercial Property Insurance: Protects your owned or rented equipment and premises. Keep in mind that this policy does not typically cover any damage from floods or earthquakes.

Some insurance companies allow you to customize the BOP to add other types of coverages for more comprehensive protection. Here are some additional insurance policies that Barrie business owners should consider:

  • Professional Liability Insurance: Also called Errors and Omissions (E&O) insurance, this type of policy covers any lawsuits that claim you made a mistake in the services you rendered.
  • Data Breach Insurance: Also called cyber insurance, this type of policy helps your business respond to a data breach if there is a loss or theft of Personally Identifiable Information (PII) of your employees or customers. It covers your expenses related to informing the concerned parties, creating a public relations campaign, as well as using the services of an identity theft monitoring agency.
  • Commercial Auto Insurance: Protects you and your employees on the road when you drive a company-owned vehicle.

Choosing the Right Limits and Deductibles

While you select the right coverage and policies for your business, pay attention to the limits and deductibles as these factors greatly influence your premium amount and out-of-pocket expenses.

  • For the best coverage, obtain and compare quotes from reputed insurance companies in Ontario or rely on your trusted Ontario insurance brokers.
  • Since policies from different carriers may have the same name but different terms, be sure to check what each one covers.
  • If you are a home-based business, consider adding a rider to your homeowner’s policy, instead of buying a separate business insurance policy. Your insurance broker can guide you on this aspect and help you determine what is best for you.

Understanding Common Elements and Exclusions

  • Endorsements: An endorsement is an amendment to a comprehensive policy by paying an additional premium. Essentially, it covers an expense that is usually a standard exclusion. If your business or profession poses a unique risk, you may have to go for specialized coverages.
  • Coverage of occurrences: Any comprehensive policy will cover the liability for an “occurrence” during the period of your policy. Keep in mind that a lapse in insurance coverage creates a window of vulnerability for your business.
  • Expected or intended damages: Damages that cannot be objectively proven are usually excluded from the coverage.
  • Property insurance distinguished: A comprehensive general liability coverage alone does not offer protection for damage to your property. You will need to include property insurance in the policy for getting this coverage.

Get the Best Business Insurance Policy for your Barrie Business

At Orr & Associates, we understand that every business may face unique risks and challenges. Our experienced insurance consultants take the time to understand your coverage needs and offer competitive quotes for a variety of business insurance policies from all the top insurance companies  in Ontario.

Get reliable and accurate business insurance for your Barrie business from the experts at Orr & Associates. Call us toll-free at 1 (866) 521 5926 to know more about our products and services or contact us online to request a free business insurance quote.