Protecting What Pays the Bills
Most of us wouldn’t dream of driving without insurance. Of course, we make sure our homes are insured—we worry about fires or hailstorms damaging our roofs. Our cars and homes matter to us, and we want to ensure they’re protected and protected properly. If that’s the case, why don’t we apply the same level of care to the one thing that allows us to afford those car payments and mortgages in the first place—our business?
The reality is, most business owners have no idea what their commercial insurance actually covers. Unlike auto or homeowners insurance, business insurance isn’t one-size-fits-all. There are countless variables that determine whether your livelihood is truly protected.
Questions Your Agent Should Be Asking:
Is your business located in a rented space? Have you read your lease?
Many business owners assume landlords cover more than they actually do. One major example: the HVAC unit. In most cases, the tenant—not the landlord—is responsible for repair or replacement. If your unit goes out in October, you might get by for a few weeks. But what if it fails in February or August? Do you have $15,000 ready to go? Most of us don’t—and even if we do, we’d rather not spend it upgrading someone else’s building. The good news: many commercial policies can include HVAC coverage.
Are your employees using their personal car for work errands?
Even a quick trip to the bank can become a major liability if there’s an accident. Most personal auto policies do not cover accidents that occur while performing work-related tasks. As a business owner, it’s critical to ensure that this doesn’t fall on your employee—or worse, come back on you. There’s no faster way to lose a good employee than by failing to protect them.
Do you carry Workers' Compensation insurance?
This is a big one. Did you know that Texas is the only state in the U.S. that doesn’t require businesses to carry workers’ compensation insurance? Not surprisingly, about 40% of Texas businesses don’t have it.
You might think, “I run an office—it’s not necessary.” But in my 15+ years owning an insurance agency, we’ve filed plenty of workers’ comp claims, including one involving a tragic death. That employee wasn’t operating heavy machinery or climbing scaffolding—they simply fell off a 6-foot ladder.
Accidents happen everywhere. Your employees are one of your most valuable assets. Protecting them should be a top priority.
These are just a few examples, but as someone in the business of protecting others businesses, I can tell you: we see business owners every day who are not covered the way they should be.
Here is my advice:
Find you an agent you trust.
Find an agent that will take the time to sit down with you and review your coverages at least every other year.
Find you an agent that can explain the holes in your policy and can come up with a solution to fill those gaps.
If you don’t have one we would love to be that person.