Common Misconceptions About Commercial Insurance

It’s important that business owners understand commercial insurance well in order to pick the best possible policy out their for their unique companies. Being able to recognize popular misconceptions about commercial insurance is important if you want to find a policy that meets all your needs and protects you against all the potential liabilities your company faces.

The following are five of the most common misconceptions out there about commercial insurance:

  1. It’s not necessary to get commercial coverage on a personal car that sometimes gets used at work- If your personal vehicle is being driven by one of your employees and an accident occurs, your personal auto insurance policy may not cover the damages.
  2. A commercial policy offering “general liability coverage” will offer coverage for car accidents occurring while commercial vehicles are used- In most cases, “general liability coverage” for a commercial insurance policy will cover costs that come up due to either physical injury or property damage of customers or members of the public.
  3. “Full” coverage means coverage for every possible liability- Read the fine print. No commercial insurance policy is actually going to cover every possible liability.
  4. Only those who work in medicine and law need “errors and omissions” coverage- Any company offering advice to clients could potentially benefit from errors and omissions coverage. If clients are paying you for advice that could impact their finances or health, errors and omissions insurance could be highly valuable.
  5. A commercial insurance policy will cover flood damage to company facilities- As with home insurance, commercial insurance does not automatically include coverage for flood damage. On most policies, it will be necessary to get this coverage as an add-on.

If you’re interested in commercial insurance for your Mishawaka, IN company, contact Kevin Dennis Insurance Agency to learn more.