Business Function Insurance

Business events, like parties and dinners can impact the success of your company significantly. These events can be used to reward or motivate you employees, which can improve workmanship and production. That can lead to an increase in sales and profit. If you use the event to increase awareness of your company, it can attract potential clients. 

Business functions are important, but they’re also expensive to plan and host. Regardless of how much planning has gone into the event, there’s no promise that it’ll happen smoothly. There is something called special events coverage that provides protection in case a function is canceled due to weather or there’s a problem with the location. It’s also helpful in preventing loss in case a sponsor falls through or a vendor doesn’t show up or doesn’t carry out their responsibilities as agreed upon.

 Additionally, special events insurance can protect your business from legal responsibilities should an accident occur and someone is hurt or property is damaged. Even if alcohol is the reason behind the accident.

Regardless of whether the venue your function is being hosted at requires it or not, it’s wise to have special events insurance. Keep in mind special events insurance has lots of different options for coverage, as well as varies in regards to deductibles and limits, which makes premiums more affordable and flexible. Nonprofit organizations can use this insurance too, when holding fundraising events. 

Give us a call at 800-362-2809 to find out more about business function coverage and to learn about how other kinds of Houston commercial insurance can protect your business. Our agents will help you figure out the best type of insurance for your business.

Does Your Company need Business Interruption Insurance

A threat that faces every business owner despite of location, industry, product or service, is one of business interruption after a disaster. Without the ability to continue business for an unclear period, the owner could face increasing debt, no income and they may even lose the ability to gain financial footing through their future business prospects.

Usually, business interruption insurance will cover earnings that a company will lose over a set period of time following an insurable event, such as a fire or hurricane. Some policies may also include:

·         Extra expense coverage: If you have to run your business out of a temporary location as you repair and rebuild, you may have extraordinary expenses, which would be covered under this benefit.

·         Contingent business interruption: It’s probable that the insurable occurrence which hurts your business didn’t actually have an effect on your business location, but that of your supplier. If your business experiences a loss due to an incident at your supplier’s location, then this would cover the damages within the specified period and limits.

Together, these benefits can help you to continue to pay payroll and meet your financial obligations while conducting your business in a temporary location or waiting out the repairs to your office.

Getting Coverage

You may be able to secure business interruption coverage through its own policy, or as a piece of your commercial property insurance policy or BOP (business owner’s policy). When applying, you should consider what your losses could actually be before you pick your limit. Consider your gross profits and think about potential sales losses in terms of future sales trends as well as current and past sales experience. Talk to your agent about how your gross earnings fit in with the insurer’s coinsurance requirements, because if you underinsure your insurer could penalize you when you have a loss by reducing your claim payout by the percentage that you underinsured, even if your claim is less than or identical to your limit.

In addition, consider the expenses that you will reasonably be able to suspend while your business is out of service. If you lease your space then you may not need to pay rent during the months that the area is inaccessible and being rebuilt. But you may be forced to pay rent again once the space is restored, even if you need to spend that time restocking.

Business interruption insurance can be a reasonably priced, but important piece of your Houston commercial insurance plan. Give us a call at 888-356-6448 today to talk about just how much it can help defend your business.

Types of Business Personal Property Coverage

In order to protect property owned by your company it’s wise to invest in Business Personal Property Coverage. For your commercial property to be covered it must be on or within a building in the business premises. Items in a vehicle or items located within 100 feet of the business are also covered.
There are a total of five different classes of items covered:

• Property of others that is in the care, custody or control of the insured: Some businesses, like repair shops, hold onto the property of their clients while they are working on it or with it for business purposes. This property can still be damaged or stolen while in the business’ possession and, therefore, needs to be covered so that the business is not liable for its customer’s losses.
• Leased personal property with contractual requirement to insure: Not all equipment used by a business might be owned by them. Instead, many businesses lease or rent bigger, more expensive items like computers, copiers or machines. In this case, if a lease or rental agreement contract requires that the business owner insure the property, it becomes covered under the business personal property coverage.
• Tenants improvements and betterments: If you rent or lease your office or retail space, and you make improvements to that space by adding shelves, lights, or other fixtures and alterations, then tenants improvements and betterments will reimburse you for the value of these improvements if they are lost or damaged in an insurable incident. Remember, the property owner’s business insurance policy will not cover your property or betterments.
• Exterior building glass: This class is also for tenants of buildings. Many businesses have special, decorated and lettered glass for their business’ front. If this glass is damaged in an insurable incident, it might not be covered by the property owner’s policy since it is considered under your care and custody as the lessee or renter.
• Property owned by the business and used in the business: Most contents or property will probably fall into this category. It covers all property and equipment that was purchased by the business and used in the business. This could mean machines, computers, ovens, etc. There may be special exclusions or conditions for property that is used for both personal and business needs.

Your business is your ticket to success and financial freedom. Protecting it with the right insurance coverage ensures that your business will continue to provide for you after an insurable event. You can also be assured that you will not lose your personal assets trying to recover from one.Call us today at 888-356-6448 for a free Houston Business Insurance quote.