At The Ephraim Group, we are aware of the challenges that every business owner faces whenever they are trying to choose the right commercial liability insurance policy in Lawrenceville, GA for their business. Even for a seasoned corporate executive, it’s a daunting task at the very least. For the aspiring entrepreneur who’s launching a business start-up; you’ll want to protect it from all the risks involved. Choosing a policy that is tailored to the needs of a new company can be even more difficult and frustrating.
Understanding the Basics
In order to gain some insight as to what is covered, The Ephraim Group can help you understand the different commercial insurance terms, and types of coverage that are commonly used. For all intents and purposes, any insurance policy that provides the necessary coverage to protect a business or commercial property owner is known as commercial insurance. Basically, it protects your property from losses such as fire, natural disasters, theft, and vandalism.
Commercial insurance in Lawrenceville, GA covers a broad range of businesses including manufacturers, not-for-profit organizations, retailers, and service-oriented business. For businesses that use millions or even billions of dollars’ worth of equipment (e.g. manufacturers or railroads), a commercial liability insurance policy could be extremely costly. This type of insurance affords the business owner the same type of protection as a homeowner’s policy provides the property owner. However, the homeowner cannot deduct the cost of their insurance premiums on their income tax returns.
When you are shopping for a commercial insurance policy that is tailored to the needs of your company, there are some general rules of thumb that you should keep in mind. These will ensure that your business is not over or under-insured and that you do have the proper coverage:
First of all, the insurer must have an “insurable interest” in the object in order for a commercial insurance policy, in Lawrenceville, GA, to be valid. This helps define a specific policy that will be tailored to the needs of your particular business.
Second, it is the financial value of company assets (physical objects) that are considered as the risks that are being insured. It is more commonly defined as the interest in the assets of the company that the business owner has or may later have.
Taking the above rules of thumb into consideration, you can easily understand why a business would need a specific type of commercial insurance policy; as this is dependent upon whether you own the property or are the lessee or tenant. Here are some examples to consider:
A commercial property owner who leases a building for his or her business, no matter what type it is, typically has an interest in the building, the fitting or fixtures it contains, and any public liabilities that could arise from these.
In Lawrenceville, GA Commercial property owner-occupiers require commercial liability insurance coverage, as they have a financial interest in both the building and its contents.
Coverage for a rented commercial property is not usually something that the tenant is concerned about, as they typically have an insurable interest in the building’s contents. At the same, a renter might be interested in any improvements that may arise or become necessary, wherever they are operating their business.
The lease-holder’s interest relies upon the lease agreement and should always be checked thoroughly. In some cases, it will be the lessee’s responsibility to insure the building and its contents for the terms of the lease.
The Ephraim Group advises our potential clients to determine the building’s and contents values before shopping for a commercial insurance policy in Lawrenceville, GA. Get quotes from different companies before making a decision. The value of the building is usually determined by estimating the cost to rebuild it after a total loss, including inflation factors. As far as the coverage on the contents is concerned, you will have to accurately calculate annual turnover figures.
If there are higher value items stored in the building, then the value of each needs to be calculated separately. As a business or commercial property owner, you cannot overstate the importance of commercial insurance in Lawrenceville, GA. This is protection from any legal action against you. Contact The Ephraim Group today and let us customize a policy that is tailored to the needs of your business.