Your business is you and your family’s livelihood. Is it any wonder that protecting it is at the forefront of most businessowner’s priorities? Each business is unique and provides products and services that benefit their communities and enhance the lives of their patrons.
Here at Envision Insurance (located in Sterling Heights, Michigan) we have a team of highly trained, licensed insurance professionals ready to help with determining what coverage is most appropriate for your business.
Listed below is a brief explanation of various types of Michigan commercial insurance coverages to help you gain a better understanding of what your Michigan business insurance policy may cover. This list is not comprehensive and determining what coverage is right for your business’ unique situation should be left to the experts, call us today with your questions on which coverage is most appropriate for you and ask us for a free quote!
Types of Business Insurance Policies:
- Businessowners Policy (BOP)
- Commercial General Liability (CGL)
- Commercial (Business) Auto
- Workers Compensation (WC)
- Commercial Inland Marine
- Errors & Omissions Insurance (E&O) / Professional Liability
- Directors and Officers Liability (D&O)
- Commercial (Business) Umbrella Liability
- Builders Risk
- Cyber Liability / Data Breach
- Surety Bonds
- Fidelity Bonds
For more information on any of the policy types listed above, click the link above.
Businessowners Policy Insurance (BOP)
A businessowners policy (BOP) is a combination of several types of “standalone” business insurance policies that offer a complete and comprehensive form of coverage. Typically, a BOP is made up of three main components: commercial property insurance, general liability insurance and business income coverage.
For more information on these various optional coverages click here.
Additional BOP Coverage Options
There are several optional “ala carte,” add-on coverages that can be elected, via endorsement, on a BOP. Through these add-on coverages, you can ensure that your BOP is custom tailored to fit your business’ needs.
- Accounts receivable
- Equipment breakdown
- Personal and advertising injury
- Employment practices liability
- Liquor liability
- Completed product and operations liability
- Rented vehicles
- Hired and non-owned auto liability
- Cyber liability
- Employee dishonesty
For more information on any of the above optional coverages, click the link above.
Commercial General Liability (CGL)
Commercial general liability (CGL) is a standalone business insurance policy that strictly covers your business in the event of liability suits, investigations and settlements. They also may cover medical expenses and damages you are liable for and attorney fees.
For more information on commercial general liability click here.
Commercial (Business) Auto
Commercial auto insurance covers liability and physical damage to vehicles owned by the business and used for business purposes. Unlike personal auto policies, commercial auto policies are tailored to cover the unique features of commercial vehicles (i.e. tow trucks, semi-trucks, box/straight trucks, flatbeds, buses/coaches, taxis, emergency response vehicles, etc.). Business auto policies can also be endorsed to cover the vehicle’s cargo. Regular sedans, trucks and SUVs being used for business should also be insured under a business auto policy to account for the increased risk of being driven more frequently than a commuter / pleasure use vehicle.
For more information on commercial (business) auto click here.
Workers Compensation (WC)
Workers compensation is a type of commercial insurance that covers missed wages and medical benefits to employees (and optionally to the businessowner) as a result of work-related injuries or injuries that occurred while at work. Workers compensation, in Michigan, is mandatory.
For more information on workers compensation click here.
Commercial Inland Marine
Although “marine” is included in the name, commercial inland marine policies do not necessarily cover marine equipment. Inland marine policies are designed to cover a wide variety of specialized business property which are primarily located at job sites or in transit. These specialized business property articles would otherwise not be covered on a standard BOP.
For more information on commercial inland marine click here.
Errors & Omissions (E&O) / Professional Liability
Errors and omissions (E&O) / professional liability insurance provides liability coverage for professionals in the event a client, customer or patient brings forth a suit for faulty advice, negligence, mismanagement, errors in service or processing of transactions or malpractice.
E&O covers professionals, such as: medical professionals, accountants, attorneys, financial advisors, insurance agents, real estate agents, consultants, architects and engineers, amongst others.
For more information on errors & omissions (E&O) / professional liability click here.
Directors & Officers Liability (D&O)
Directors & officers liability (D&O) provides coverage for a company’s board of directors and/or officers in the event that administrative decisions of the company directly resulted in a claim for damage. Coverage can be provided for small, medium and large businesses / corporations. D&O policies can be standalone policies or an add-on coverage (via endorsement) on a BOP and/or GL policy.
For more information on directors & officers liability (D&O) click here.
Commercial (Business) Umbrella Liability
Commercial umbrella liability extends liability coverage over and above your business’ primary liability coverage (through a BOP or GL policy). It is designed to protect against unusually high losses when the policy limits of one of the underlying policies have been exhausted.
For more information on commercial (business) umbrella liability click here.
Builders risk insurance is designed to cover buildings and structures which are under development / construction or being renovated. The contractor and subcontractors are typically covered on these policies as well as any interested parties, such as financing institutions. Along with covering the unfinished structures themselves, the policy also covers labor and materials as well as defective workmanship.
For more information on builders risk click here.
Cyber Liability / Data Breach
Cyber liability and data breach insurance is a standalone policy or can be an optional add-on coverage (onto a BOP) which provides coverage in the event your business’ data security is compromised and/or breached. If your business handles sensitive, personal information of customers / clients, then you are responsible for keeping such data secure. Cyber liability and data breach insurance awards coverage should a suit arise from customers that were directly impacted as result of a data breach.
For more information on cyber liability / data breach click here.
Surety bonds differ from insurance, in that, they are generally guaranties in which the bond issuer assumes responsibility for paying the debt obligation of a borrower should they become incapable of paying such debt. However, surety bonds can also cover a wide array of non-debt, industry-specific related guaranties; several different types of surety bonds are offered. For example, business bonds are secured to guarantee some aspect of a principal’s occupation or a guaranty that a specific service, in which the business was hired to do, is properly executed.
For more information on surety bonds click here.
Fidelity bonds offer protection for your business in the event of employee theft and/or embezzlement. These types of bonds are similar to an employee dishonesty rider on a BOP.
For more information on fidelity bonds click here.