Business Insurance in San Diego, CA

In today's business world, it's extremely important to insure yourself against unexpected events that, without the right coverage, could mean the end of your business. That's why, as far as business goes, you should carry as the bare minimum:
 
  • General Liability Insurance to insure against third party negligence claims
  • Property Insurance to insure buildings, stock, and income
  • EDP for your computer hardware and software
  • Transportation and Cargo to insure goods in transit
  • Crime to insure against employee theft and theft of monies
  • Peak Season Endorsements to insure additional stock during heavy business periods.
 
In addition to the above types of coverage, you may need:
  • Workers' Compensation, required by law if you have any employees
  • Auto Insurance if your company owns any vehicles
  • Umbrella Liability Insurance for extra protection
  • Mechanical Breakdown Insurance to cover sudden and accidental loss due to electrical surges in your air conditioning, appliances, or electrical system
 
 
 
Other considerations that we highly recommend are:
  • Employment Practices Liability, insuring against lawsuits arising from sexual harassment, wrongful termination, etc.
  • Fiduciary Liability to insure against employee suits regarding company benefit plans
  • Product Recall Expense to cover the cost to remove recalled products from stores
  • Liquor Legal Liability if you sell or distribute alcoholic goods
  • If your organization has a website, we also recommend Media Liability Insurance
Business Property Insurance
The most important type of insurance for any business to carry is property insurance. It is also one of the most complex and, at times, confusing subjects to get right on your own.
 
 
 
Property insurance is designed to cover property damages due to specific instances that arise, classified as "covered perils." The word peril here refers to what actually caused the loss or damage. The reason it's so important is that although some causes are readily apparent, such as a flood or burglary, others can be harder to determine, like an off premises power failure or technical malfunction.
In addition to various coverages, many insurance carriers require you to purchase specific causes of loss, in order to determine what events are and are not covered by your insurance.
Some of the basic property coverages are:
Building - Covers business-owned buildings against direct physical damage, with values based upon replacement cost or actual cash value.

Business Personal Property - Covers personal property against direct physical damage, with values based upon replacement cost or actual cash value.

Loss of Income - Perhaps the most important feature of any business insurance policy, this coverage will help pay for all lost income, minus the one-time costs of suspending business, provided the physical damage took place on business property (the insured location) and the interruption is from a covered peril.

Loss of Income from Dependent Properties - This coverage protects against loss of income in the event that a business you rely on to sell your products or services must suspend business temporarily. An example would be if you run a gardening supply company, and an accident forces your exclusive supplier of topsoil to shut down for a week.

Loss of Rents - Covers the loss of anticipated income from a rental or leased property due to damage or lessee abandonment.

Extended Loss of Income Coverage - Especially important for restaurants, this coverage pays the difference in income following a loss so that, after a period of having been closed, your gross business income will not be lacking as it takes time for customers to discover you have re-opened.

Extra Expense - Pays for necessary additional expenses to continue business after a covered loss. One example would be renting a temporary facility for your business after a fire.

Earthquake

Earthquake Sprinkler Leakage - This coverage protects against damage caused by a leakage in your building's fire sprinkler system after an earthquake.

Flood

Fire Legal Liability - Covers the cost to repair fire damage in a rented or leased building. With this coverage, make sure that the amount you are entitled to is equal to the amount it would take to rebuild the structure in the event of unrepairable damages.

Personal Property of Others - Covers repair or replacement costs for the property of others that is in your care or possession. Businesses such as repair shops and dry cleaners should especially consider this coverage.

Building Ordinance - This coverage pays for the enforcement of any building, zoning or land use law that require demolition or regulate construction, repair, zoning or land use. Coverage is included in the building limit.

Increased Cost of Construction

Demolition - Covers the cost of demolition of a building or other structure due to enforcement of a building ordinance.

Off Premises Power Failure - Pays for direct and consequential losses to your business in the event of a power failure caused away from the premises. An example would be if a downed power line caused your coffee shop to be shut down during the morning rush.
 
Boiler and Machinery - Mechanical Breakdown
  • Mechanical, Electrical Pressure Equipment - Covers losses due to sudden and accidental breakdown of necessary equipment to the business, such as processing and production equipment, boilers, and HVAC units.
  • Consequential Damage - Covers loss from the spoilage of product due to lack of refrigeration, heat, light, or any other covered cause of loss.
Inland Marine Insurance
When insuring your business and it's property, it is important to remember that under most insurance policies, your Property Insurance coverage only pertains to property and equipment that is 100 feet or less from the premises. Any further than that, and your coverage may not apply in the event of an accident or malfunction. That's where Inland Marine picks up the slack, extending coverage to wherever your business needs to be.

Tools and Equipment Floater - Covers your tools on and away from your premises against direct loss. Check to see if your policy requires you to lock your vehicle and/or toolbox in order to receive compensation.

Contractor's Equipment Floater - Covers your equipment on and away from your premises against direct loss.

Installation Floater - Covers materials and supplies during transportation and installation. This includes protection against theft of materials at a work site.

Accounts Receivable - Covers all sums due to you from your customers in the event that damage or loss of accounts receivable records prevents you from being able to collect.

Valuable Papers - Covers against damage or loss of records and written documents, including maps, drawings, deeds, titles, and manuscripts, but not money or securities.
 
 
EDP - Computer Hardware - Protects against risk of direct physical loss or damage to your business' computer hardware.

EDP - Computer Data & Media

EDP - Computer Extra Expense

EDP - Mechanical Breakdown

Property at Any Other Location

Salesmen's Samples - Covers direct physical loss or damage to glass of display cases as described in the glass schedule.
 
Glass - Covers direct physical loss or damage to glass described in the glass schedule.

Signs - Provides coverage against direct physical loss or damage to signs described in the sign schedule.

Motor Truck Cargo - Covers cargo owned by or sold to others while being loaded for shipment in or on described vehicles.

Transportation Floater - Protects your property while it is being transported or is in the care or possession of others.

Bailees - Protects against the direct physical loss to the property of others while it is in your care, custody or control.