Often shortened to “workers’ comp,” this coverage is designed to pay your employees’ medical expenses and/or lost wages, in the event they are injured or become ill as a result of job-related duties.
What to know:
-Required in Massachusetts
-Covers employee medical expenses
-When in place, injured employees may not also sue for damages
This policy primarily covers damage to vehicles and injuries suffered in an accident. Commercial auto insurance also addresses a range of “other” damaging events, such as extreme weather, theft, or vandalism.
What to know:
-Required to register and drive a commercial vehicle
-Covers accidents involving business vehicles
-Protects against theft and non-accident damage
When it comes to business insurance, the most common type of commercial bond is a license or permit bond, which ensures that contractors follow all the applicable laws and regulations for a given project.
What to know:
-Required for Massachusetts contractors
-Two types — contract bonds and commercial bonds
-Function more like a line of credit
A BOP bundles together key coverages like general liability, business income, commercial property, and equipment coverage. It’s a cost-effective way for businesses to get the protection they need.
What to know:
- Does not include workers’ comp or commercial auto
- Can supplement with add-on coverages
- Designed for small businesses
Commercial general liability (CGL) coverage is designed to protect your company against third-party claims of property damage, bodily injury, or advertising injuries/reputational harm.
What to know:
- Can be included as part of a BOP
- Covers customer injuries and property damage
- Protects your business against slander
Whereas general liability covers other people’s property, commercial property coverage is designed to protect your place of business and its contents.
What to know:
- Can be included as part of a BOP
- Most often addresses fire damage, burglaries, weather damage, and vandalism
- Worthwhile even if your business is home-based
Also called errors and omissions insurance (E&O), professional liability insurance exists to protect your company against mistakes, negligence, and oversights.
What to know:
- Designed for businesses that provide services or advice
- Covers any lawsuits claiming professional negligence
- Policies can be written for specific projects
Business income insurance is designed to keep you and your employees afloat — by addressing lost income, regular operating expenses, and payroll — in the event of a business interruption.
What to know:
- Can be included as part of a BOP
- Interruptions must be caused by perils such as fires and certain natural disasters
- Typically includes a waiting period