Commercial Insurance Maryland

For a broad range of protection for businesses of all kinds, commercial general liability (CGL) can cover many types of property damage that commonly arise from the day-to-day operation of a company. It also protects against claims resulting from personal or physical injury on the job. When consumers use a product made by the company and become injured or sick, or when someone suffers an accident on company premises, a CGL policy can offer protection against loss.

Routinely, but mistakenly called comprehensive policies, a standard CGL does cover multiple kinds of risks but not a comprehensive list of losses. As is the case with many other categories of insurance coverage, CGLs can cover lower or higher levels of risk.

Many policies of this kind are said to offer "premises coverage" because they insure against claims arising from injuries or events that take place on company property during regular hours. It's also possible to include coverage within a CGL that covers owners for injuries to consumers of the company's products. Most insurers offer the option to add special coverage into a typical CGL policy if need be.

In most cases, commercial general liability (CGL) policies cover claims for property damage, "advertising injury," and personal injury. One of the most common kinds of lawsuits against business owners is the so-called "slip and fall" case. A non-physical kind of injury, known as reputation harm, takes place when something a business owner says or does causes measurable damage to the commercial image of another company.

There are multiple areas of coverage in a standard commercial general liability insurance maryland policy, including protection against property damage, legal fees, adverse court judgments, court costs you are forced to pay during or after a trial, and more. It's important to note the areas of coverage that are not typically included in a CGL policy, namely any claim arising from an illegal act on the business owner's part, or any act that can be considered intentionally harmful or malicious.

Two other areas that aren't covered under the standard CGL policy are vehicle-related expenses sustained by the owner or the owner's employees while driving a company car or truck and which were the fault of the owner or employee-driver. Nor will a CGL cover on-the-job claims for injuries made by company employees.

For most companies, state laws require that they carry business insurance of one kind or another. Always check with local ordinances to make sure you're in compliance with local regulations. Just as individual motorists must have basic coverage to own and operate a personal vehicle, nearly every business in the U.S. needs business insurance especially in maryland.

If you hire employees, for example, a workers comp. policy is a necessity. It will protect owners against losses arising from on-the-job worker injuries and accidents. One advantage of workers comp. insurance, for owners, is that it prevents employees from suing an owner directly in the event of an injury. Additionally, a company with paid workers is required to have unemployment insurance.

And if one or more vehicles are used by those workers, then the law will mandate commercial vehicle insurance. It's important to remember that personal auto policies do not cover company vehicles. Each state's laws are slightly different, but any company that has paid workers and a fleet of vehicles will need workers comp., unemployment and commercial vehicle insurance policies just to conduct day-to-day functions.

Besides those three basic kinds of business insurance in md, there are many more, some of which are and some of which are not mandated by state and federal laws. State laws differ on what types of polices are needed and what the specific limits of liability are for each type of insurance that is required.

Business owners should understand what types of insurance policies are right for their companies. Every organization has its own unique characteristics, operating environment, and local regulations to take into account when choosing insurance coverage. It's important to keep in mind that besides the several kinds of insurance that the law requires, there are many forms of business insurance that are optional. Workers comp, commercial vehicle and unemployment are typically required by law, as are disability policies, in most states.

When it comes to the kinds of insurance that are not required by law, various forms of product liability, coverage, professional liability, commercial property, general liability and a host of others are completely up to the discretion of the company's owners. In fact, fewer than half of all U.S.-based businesses carry business insurance that exceeds state and federal requirements.

Companies that carry only the legally-required coverage expose their business to very high levels of risk. It's a common misconception among business owners that cutting back on insurance costs and coverage, when legally possible, is a smart way to reduce company expenses.

There are several ways to figure out if your company needs to carry commercial vehicle insurance. Generally speaking, if cars or trucks are used in the routine operation of company business, then a vehicle policy should be in effect. Specifically, owners need to know whether there are local regulations that call for such insurance. And if employees are the ones who typically use those vehicles to conduct company affairs, then a commercial vehicle policy should be in place.

Other key points to consider are how vehicles are used, what kinds of cars and trucks the company owns, and how much those vehicles weigh. There are some instances where a personal auto policy might work; the owner of a sole proprietorship who uses a car for business and personal needs can usually get by with a standard auto policy. In most other situations where vehicles are used for company business, commercial policies are needed.

For example, 18-wheelers and dump trucks are categorized as commercial vehicles by individual states and must be covered by commercial vehicle insurance policies. In general, if a car or truck is company-owned, is used for business purposes, and exceeds state-set weight limits, it must have higher coverage amounts than personal auto policies offer — and commercial coverage is needed. Small businesses in which owners use their personal cars to travel to and from the office can usually get by with personal auto insurance. Companies, however, that employ workers who drive while on the job need the coverage commercial vehicle insurance offers.