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Everything You Need to Know About Business Insurance

Business Insurance

Top 7 FAQs about Business Insurance

Our team of experienced agents and brokers has compiled answers to the most frequently asked questions for business insurance in Ontario. At Orr & Associates, we aim to provide as much knowledge as possible to help you make the right decisions on coverage for your business. You can also reach out directly regarding location-specific questions about business insurance in Newmarket, Barrie, Aurora, and King City.

1. What Is Business Insurance?

Business insurance, also called commercial insurance, can protect you from common losses, including business interruption, property damage, liability, theft, and worker injury. It’s crucial to purchase the right coverage for your location and industry. Insurance reimbursement can make all the difference when it comes to facing a severe loss or recovering from covered business interruptions. Keep this in mind when purchasing business insurance in Barrie.

2. What Are The Types Of Business Coverage?

According to the Government of Canada website, the main types of business insurance include the following:

  • Commercial property insurance. Use this coverage to protect your business against theft, damage, and lost business due to damage to the premises.
  • Public liability insurance. Protect your business against third-party claims such as slips and falls at your place of business.
  • Errors and omissions (E&O) insurance. Nobody is perfect but making a mistake in business carries the risk of a lawsuit. E&O insurance helps protects you against this type of scenario.
  • Buy-sell agreement. This life insurance policy allows surviving partners to buy out the business in the case of a partner’s unexpected death.
  • Key person life insurance. This coverage provides compensation if a key employee dies.
  • Workers’ compensation. In addition to the coverage types discussed above, which are voluntary, businesses typically must provide workers’ compensation in case of job-related illness or injury.

Are you looking for business insurance in Aurora? We can help you understand these and other available coverage types.

3. What Business Insurance Do I Need?

According to, business liability insurance isn’t required by law, but it’s highly recommended. Purchasing business insurance in Ontario can help ensure your continued livelihood and limit your liability. The most valuable coverage types include the following:

  • Commercial General Liability Insurance helps pays for expenses when you or your business operations cause bodily injury or property damage.
  • Professional Liability Insurance helps cover negligence leading to injury and claims of false allegations.
  • Directors’ and Officers’ Liability insurance helps cover executives facing lawsuits related to business operations.

Talk to your knowledge insurance agent at Orr & Associates about the type of insurance your business may need, and get a free online quote anytime.

4. Is It Necessary for Me to Get Specialized Insurance Coverage?

Orr & Associates offers specialized insurance coverage for the following industries:

  • Contractors insurance
  • Building owners
  • Garage auto
  • Electricians
  • Small retail stores
  • Auto rust control shops
  • Landscapers
  • Salons
  • Plumbers
  • Janitors

Your agent can walk you through contractors’ insurance and other specialty insurance programs to see which one is right for you.

5. What Is the Reason for the Increase In My Insurance Premium?

There are a few possible reasons why your insurance company may increase your premiums. Some of these reasons are beyond your control:

  • More drivers on the roads
  • Rising repair costs in your area
  • Increase in distracted driving
  • Higher concentration of uninsured drivers
  • Higher speed limits

6. Will Purchasing Business Insurance Protect Me from Lawsuits?

Yes, business liability insurance will protect you from lawsuits in Ontario. However, your coverage depends on the details of the policy. Whether you are a retail business center, consultant, or tradesperson, you need to consider how your business insurance policy will protect you from lawsuits. Insuring against loss due to legal action can help you protect your business and everyone who depends on it.

7. What Are Business Insurance Deductibles and How Do They Work?

If you ever have to file an insurance claim, your deductible will come into play. The deductible is an amount you agree upon when you buy your policy. It represents the amount of money you have to pay out of pocket before your insurance coverage takes effect. Typically, your deductible is taken out of the payment from the insurer once your claim is approved.

At Orr & Associates, we work with the top insurance companies in Canada to secure the best business insurance coverage for our clients. Come to us for advice and coverage if you live in Barrie, King City, Newmarket, or Aurora, ON. To reach us call 1 (866) 521 5926 or fill out our online form with your inquiry.