6 Commercial Insurance Terms You Need to Know August 2, 2023 When it comes to running a business, it’s crucial to protect yourself from potential risks and unexpected events. Commercial insurance provides coverage for various aspects of your business, ensuring you have financial protection in case of accidents, damage or loss. Keep reading to learn six commercial insurance terms that every business owner should know! Builders Risk If you’re involved in a construction project for your business, builders risk insurance is essential. This coverage protects your property while it is under construction from unforeseen events such as fires, tornados, or vandalism. With builders risk insurance, you can have peace of mind knowing that your investment is protected until the project is complete. Business Personal Property Your business’s physical assets are vital to your operations. Business personal property insurance provides coverage for assets like furniture, equipment, supplies and inventory, in case of damage or loss due to covered incidents like fires, theft or natural disasters. With this coverage option, you can mitigate the financial impact of property damage and swiftly recover your business operations. General Liability General liability provides protection in case a third party, like a customer or vendor, experiences bodily injury or property damage due to your business. This covers legal expenses, medical costs and potential settlements, safeguarding your business from significant financial losses. Contractors Equipment or Cargo Insurance If your business relies on equipment and materials, such as contractors, having contractors equipment or cargo insurance is crucial. This ensures that your valuable equipment and materials are protected against theft, damage or loss. It also provides financial assistance for repairing or replacing essential items, so you can get back to business. Loss of Income Unexpected events like natural disasters, fires or other covered incidents can disrupt your business operations, resulting in a loss of income. Loss of income insurance provides coverage for the net income your business would have earned during the period of suspension. It can also help cover continuing payroll expenses, ensuring that your employees are taken care of even during challenging times. Signs Are you reading the signs? Signs coverage protects signs used for advertising, whether it is attached or unattached to your business’s building. Whether due damage due to severe weather, accidents or vandalism, this policy ensures that you can quickly repair signage without bearing the full financial burden. Understanding commercial insurance terms is crucial for every business owner. By familiarizing yourself with these key terms, you can make informed decisions about protecting your business from unexpected events. Plus, with OKFB Insurance, our businessowners policy has so many more coverage options that can be tailored to your type of business. Talk to your local OKFB agent to get started! We’re Here to Help Whether you’re a longtime policyholder or just starting to look for insurance options, we’re here to help. If you have questions or concerns that you want to discuss, connect with your local OKFB agent today. If you have any insurance-specific questions, we would love to help you find the coverage that best meets your home, auto, commercial and life insurance needs. Don’t forget to follow us on social! This kind of information and more is just a click away. You can find us on Facebook, Instagram and LinkedIn.