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General Liability Insurance for Contractors

Posted by David Ross on Sat, Oct 05, 2024

Contact us for contractor general liability insurance in Philadelphia, Pittsburgh, Erie, Lancaster, Lebanon, Allentown, Reading, Harrisburg, and throughout Pennsylvania.For contractors, safeguarding their business against unforeseen risks is a wise and critical decision. General liability insurance is a cornerstone of that protection, shielding contractors against many potential legal and financial pitfalls. From accidental property damage to unforeseen bodily injuries on the job site, liability insurance ensures that contractors can navigate their projects with confidence and security.

This article will explore the essentials of general liability insurance for contractors, discussing what it covers, common exclusions, and how contractors can add a layer of protection by bidding on their projects properly.

Coverage Scope

Here's an explanation of the scope of coverage for general liability insurance for contractors:

  • Bodily Injury: General liability insurance covers bodily injury claims to third parties on your job site or because of your business operations. For example, if a visitor to your construction site trips over equipment and gets injured, your policy would cover medical expenses, legal fees, and any settlements or judgments arising from the claim.

  • Property Damage: This coverage includes damage to someone else's property resulting from your work. If your construction activities accidentally damage a client's home or neighboring property, general liability insurance would cover the repair or replacement costs and any legal expenses in case of a lawsuit.

  • Personal and Advertising Injury: General liability insurance provides a broad range of protection, including coverage against various non-physical injuries, such as defamation, libel, slander, wrongful eviction, and false advertising.

  • Completed Operations: After a project is finished, issues stemming from your work could arise. For instance, if faulty wiring you installed causes a fire after the project completion, this coverage would handle the resulting property damage or injury claims.

  • Product Liability: Product liability insurance can cover the associated costs if your construction includes using specific products that result in damage or harm after job completion. For instance, if a structural component you provided fails and causes damage, this policy will address the claims.

Common Exclusions

While general liability insurance covers a broad range of risks, it does come with specific exclusions and limitations. Common exclusions include:

  • Professional Liability (Errors and Omissions): This would cover disputes arising from professional advice or services.

  • Employee Injuries: Typically, workers' compensation insurance covers these injuries.
  • Intentional Acts: Any damage or injury caused intentionally is not covered.
  • Automobile Liability: Businesses need separate commercial auto insurance for vehicle-related incidents.

Importance of Project Bidding

Project bidding is crucial since it ensures a clear definition of the scope of work and responsibilities, reducing ambiguities that could lead to disputes. It allows contractors to identify and manage risks, providing appropriate safety measures and insurance coverage are in place.

Detailed bids lead to comprehensive contracts with protective clauses, helping mitigate potential liabilities. Accurate bidding also aids in financial planning and demonstrates compliance with legal standards, building client trust and reducing the likelihood of claims. Effective bidding encourages transparency, risk management, and legal safeguards essential for minimizing liabilities.

Contact Us Today to Save on General Liability Insurance for Contractors

Still have questions? Contact American Insuring Group for the best rates on general liability insurance for contractors. As independent brokers, we shop the market to find you the best deal on quality insurance!

So call us today at (610) 775-3848 or click here to start saving!

Tags: Contractor Insurance, Commercial Insurance, Commercial General Liability Insurance

Legal Requirements for Worker's Compensation

Posted by David Ross on Sat, Sep 28, 2024

Contact us for Workers' Comp Insurance in Philadelphia, Pittsburgh, Erie, Lancaster, Allentown, Harrisburg, and throughout PA

The legal requirements for worker's compensation insurance can be confusing. Most businesses must take out these policies by law whenever they hire someone but there are differences between states, sectors, and companies. 

This post looks at state-specific requirements, penalties for non-compliance, and when you don’t need a policy. Here’s what you need to know: 

State-specific requirements 

States requiring coverage for all employees include California, New Jersey, Hawaii, Pennsylvania, and New York. These don’t consider the number of employees you have, so insurance applies immediately. 

Other states require businesses to carry worker’s compensation insurance when they reach an employee threshold number. For example, Florida, Georgia, Mississippi, Rhode Island, and South Carolina demand that employers get worker’s comp when they hire four or more employees. For Alabama, Arkansas, Louisiana, Tennessee, and Virginia, it’s three or more, and for North Carolina and Wisconsin, it’s two or more. 

Some states have industry-specific requirements for worker’s compensation insurance that depend on the sector in which you operate. For instance, Michigan and Tennessee require construction worker’s compensation insurance regardless of the number of employees. 

Penalties for non-compliance

The penalties for non-compliance with worker’s compensation insurance regulations also vary considerably by state. Most have fines in place, and some threaten jail time. 

For instance, in California, it is a criminal offense to fail to provide worker’s compensation insurance. The state punishes people with up to a year in jail and fines between $10,000 and $100,000. 

New York also takes a tough stance. The state considers breaking the rules a misdemeanor or felony, depending on the violation. Fines go from $1,000 to $50,000 plus an additional $2,000 for each day without coverage. 

Pennsylvania has some of the strictest rules in the union and considers non-compliance with worker’s comp to be a felony of the third degree. The state imposes fines of up to $15,000 and up to seven years in jail. 

Florida takes a slightly different tack. It institutes a Stop-Work Order on companies found to be non-compliant and requires businesses to cease operations until they pay a fine and put proper insurance in place. Fines are usually twice the amount the employer would have spent on premiums over the preceding two years.

Lastly, in Illinois, employers who willfully fail to provide worker’s compensation insurance according to the rules face fines of $500 daily for non-compliance, with minimum penalties of $10,000. Furthermore, officers at companies failing to arrange insurance for their employees can be held personally liable. 

Exemptions

Despite the tough penalties for worker’s comp non-compliance, many states have exceptions. These include: 

  • Sole proprietors and partners who don’t hire anyone and who aren’t official employees of the firm
  • Workers who do not meet the definitional requirements of “employees” in some states
  • Domestic workers and housekeepers without contracts or working undefined hours
  • Independent contractors who aren’t employees (in some states)
  • Businesses with less than the minimum employee threshold (as discussed)

Contact us For the Best Pricing on Worker's Compensation Insurance!

If you want guidance on the legal requirements for worker’s compensation insurance, contact our team. As independent brokers, we shop the market to find you the best deal on quality insurance!

So call us today at  (610) 775-3848 or contact us online to start saving.

 

Tags: Workers Compensation Insurance, Commercial Insurance, Business Insurance

Cost Factors of Landlord Insurance

Posted by David Ross on Sat, Sep 14, 2024

Contact us for the lowest cost on landlord insurance in Philadelphia, Pittsburgh, Erie, Lancaster, Allentown, Lebanon, Reading, and throughout Pennsylvania.

Landlord insurance is essential for anyone who rents out property. 

But how much does it cost? That’s the big question. 

Fortunately, this article provides answers. We explore how insurers calculate premiums and the factors that influence how much you will ultimately pay. By the end, you should understand what you can afford. 

Premium calculation

Premium calculations begin with a thorough property assessment. Insurers inspect structures to determine how much rebuilding will cost in case of serious damage or a fire. 

Next, they ask you the amount of coverage you need. Some landlords require more than others, so it is always a personal decision. If you go to an insurance broker, they will give you quotes from assorted carriers. You can use these to determine insurers offering the best risk-reward. 

During this process, insurance companies calculate the effect of deductibles (discussed below). Usually, you have a choice of how much you want to contribute to the cost of repairs (should they become necessary). 

The last step is to review the policy terms and decide if you are happy with them. If you are, sign on the dotted line. 

The average cost is around $1,895 annually. However, you may pay more, depending on your circumstances.

Influencing factors

Numerous behind-the-scenes actors determine the cost of landlord insurance (similar to other insurance policies), including: 

  • Property Location

Property location is one aspect that can affect insurance costs substantially. Areas prone to natural diseases (like flooding or wildfires) usually command a higher premium than those in safer regions. Other factors, like crime, can also play a role. 

  • Property Value

The value of the property can also affect the cost of landlord insurance. The costlier it is, the higher the premiums (similar to car insurance). 

Multi-family homes and larger developments are at risk of higher costs because of the valuation effect. However, insurers sometimes charge more for older properties if they believe they have a higher risk of damage or liability. 

  • Deductible

You can occasionally lower your monthly insurance premiums by raising your deductible. The more you are willing to contribute, the lower the perceived risk by the insurer. However, if you make a claim, you have to pay more. And that can increase overall costs. 

  • Coverage Amount

Coverage amount also affects landlord insurance premiums. The more protection you want, the higher the premium. 

For example, expect to pay extra for things like loss of rental income or liability coverage. 

  • Tenant Type 

Lastly, insurance premiums can sometimes vary by tenant type. Insurers often view renting to students and short-term renters as risky because they have reduced incentives to avoid property damage. 

By contrast, long-term renters (with professional qualifications) often have lower risk profiles. These individuals are less likely to cause damage, keeping costs down. 

Once insurers have these details, they can enter them into the actuarial tables and calculate the risk you pose. Then, they can use this information to calculate a suitable premium. 

Contact us to Save on Landlord Insurance

If you are looking for a great price on landlord insurance, contact our team today! As independent brokers, we shop the market to find you the best deal on quality insurance!

So call American Insuring Group today at  (610) 775-3848 or contact us online to start saving.

 

Tags: Landlord Insurance, Commercial Insurance, Business Insurance

Builder’s Risk Insurance: Are You Covered?

Posted by David Ross on Sat, Sep 07, 2024

Contact us for builders risk insurance in Philadelphia, Lancaster, Erie, Pittsburgh, Harrisburg, Allentown, Reading, and throughout PA.

Builder’s risk cover is a type of contractor insurance that applies during construction. It’s essential for builders wanting to avoid on-site losses. 

However, it can be confusing. Therefore, this post explores what builder’s risk insurance covers, how lenders package it, and the exclusions/limitations you can expect when taking out a policy. 

What it covers

Builder’s risk insurance covers various losses and damages that can occur on construction sites during projects. However, policies can vary significantly. Some are comprehensive (meaning they cover nearly all losses), while others are more specific. 

Items builder’s risk insurance can cover include: 

  • Theft
  • Property damage
  • Arson
  • Damage to materials in transit to the building site
  • Removal of debris
  • Backed-up sewers and drainage systems
  • Damage by hail or wind
  • Collapse risk

However, don’t take this list as gospel. Always check the policy wording to see if the insurer includes all the coverage you want. Sometimes, you can ask them for additional coverage in exchange for higher premiums. 

Project-specific coverage

Some builder’s risk insurance policies provide blanket protection throughout the year. These are helpful for contractors involved in numerous residential and commercial projects (i.e. 25 or more annually), reducing paperwork and streamlining applications. 

However, you can get a “single policy” for new construction and remodeling projects. These are helpful when you want builder’s risk insurance as a one-off and only want to cover a single site. 

Builder’s risk insurers will cover several project types, depending on your requirements. However, you must provide them with this information upfront.

Most contractors opt for builder’s risk insurance to cover new constructions. These can include home and apartment developments, condo buildings, and duplexes. It is also available on commercial projects. 

Another type, remodeling builder’s risk insurance, applies when changing a building’s function or structure. For example, you could get insurance if you add a mezzanine level to a living area or extend a building. 

Lastly, you can sometimes get installation-related builder’s risk insurance. Unlike a complete remodel, this covers single fixtures and fittings, like cabinets or awnings. 

Exclusions and limitations

Unfortunately, builder’s risk insurance won’t protect you against everything. As such, you may need to add other insurance products to your stack. 

Like most insurance offerings, builder’s risk insurance doesn’t protect against force majeure. It won’t pay out for acts of war, terrorism, or other government actions (like property confiscation). 

It also doesn’t cover contractor or employee injuries – one of the most common building site claims. For this, you will need workers' compensation and public liability insurance. 

Other exclusions can include: 

  • Extreme geological events, like earthquakes
  • Intentional acts of destruction
  • Damage due to preventable design flaws or plans
  • Vehicle damage 
  • Depreciation

Contact Us Today to Save on Builder's Risk Insurance!

Still confused? Contact American Insuring Group for the best rates on builder’s risk insurance. As independent brokers, we shop the market to find you the best deal on quality insurance! So call us today at (610) 775-3848 or click here to start saving. 

Tags: Builders Insurance, Commercial Insurance, Business Insurance, Builders Risk Insurance

Understanding Your Builders Risk Insurance End Date

Posted by David Ross on Sat, Aug 27, 2022

Knowing when your builders risk insurance ends can be a key to avoiding surprise costs. Get the best rates on all types of contractor insurance, including in Philadelphia, Pittsburgh, Erie, Allentown, Reading, Lancaster, Harrisburg and throughout Pennsylvania.There are many types of Contractors’ Insurance designed to protect your business from unforeseen circumstances. However, one type of insurance that is somewhat unique to the construction industry is Builders Risk Insurance. 

What is Builders Risk Insurance?

Builders’ Risk Insurance - also called Course of Construction Insurance or Inland Marine coverage – is a temporary insurance policy that helps protect a renovation or new building while under construction. It typically covers a building, structure, materials, tools, and equipment on a job site, in transit, or stored elsewhere during construction or renovation. 

The following perils are typically covered under a Builders’ Risk Insurance policy:

  • Theft
  • Vandalism
  • Fire
  • Explosion
  • Vehicle accident 
  • Weather events, such as hail or lightning

Some Builders’ Risk policies also include the following perils:

  • Costs incurred by delayed construction, such as lost rental income or loan interest
  • Removal and disposal of pollutants
  • Damage to temporary structures
  • Changes required to meet environmental standards 

The following perils are typically NOT covered under a Builders’ Risk policy:

  • Wind
  • Earthquake
  • Flood
  • Employee theft
  • Normal wear and tear
  • Mechanical breakdowns
  • Terrorism
  • Faulty work or materials
  • Contractual penalties 

When Does Builders Risk Insurance Coverage End?

Most insurance policies have an insurance policy period that includes an effective and expiration date. Simply stated, those dates indicate when coverage from that policy begins and ends. However, the end date of a Builders’ Risk Insurance policy can be a little more complicated. 

Because the value of a structure being built or renovated increases over time, Builders’ Risk insurance factors this changing value into its pricing. Due to this unique situation, there are times when an expiration date may change. 

  1. The owner of the property takes over

If an owner (such as the original property owner, bank, or purchaser) takes over the project (regardless of how complete the project is), the Builders’ Risk Insurance policy you purchased becomes invalid. 

  1. The Project Is Abandoned

If the contractor walks away from the site with no intention of completing the project, the Builders’ Risk Insurance policy becomes invalid. 

  1. The Property is Being Used for Intended Purpose

If all or part of the property is being used for its intended purpose during construction, the Builders’ Risk Insurance policy becomes invalid. 

  1. The Project has been Completed for 30 Days

Once an occupancy permit or other completion confirmation has been issued, the Builders’ Risk Insurance policy becomes invalid. 

Once the Builders’ Risk Insurance policy has expired, other types of insurance are available to protect the property, which are often less expensive. For example, property insurance can be purchased when the property is being used for its intended purpose or when the project has been completed for thirty days, which is typically less expensive than Builders’ Risk Insurance. On the other hand, if a property has been abandoned, there is more risk for damage such as decay, vandalism, break-ins, and arson. Therefore, insurance to cover the property will be higher than Builders’ Risk Insurance.

Need Help With Builders’ Risk Insurance?

If you have questions about Builders’ Risk Insurance or any type of Contractors Insurance, be sure to speak with one of the experienced agents at American Insuring Group.

Not only do we specialize in Contractors Insurance, but as independent agents, we also compare multiple insurance companies to ensure you pay the lowest premium for the coverage you need.

Call today at (800) 947-1270 or (610) 775-3848, or connect with us online.

Tags: Construction Insurance, Construction Risk Insurance, Contractor Insurance, Commercial Insurance, Business Insurance, Builders Risk Insurance

7 Common Mistakes Restaurants Make When Filing an Insurance Claim

Posted by David Ross on Sat, Aug 20, 2022

Properly filing a restaurant insurance claim can help you save on restaurant insurance in Philadelphia, Reading, Lancaster, Pittsburgh, Erie, Harrisburg, Allentown, PA and elsewhere.Savvy restaurant owners purchase Restaurant Insurance to help protect their business, but insurance policies and claims can be complicated. The experienced agents at American Insuring Group can help you navigate your insurance options, policies, and claims.

However, it’s helpful to understand and avoid the most common errors restaurant owners make when filing an insurance claim:

Not Understanding Your Policy

Your insurance policy states explicitly what “perils” it does and does not cover. It can be extremely frustrating to discover something you thought was covered isn’t when you go to make a claim (not to mention the time wasted making a claim while also trying to recover from the incident).

Therefore, you need to read and understand what your policy does and does not cover, so you can either fill the gap or have a plan in place if an uncovered event occurs. Ask your insurance agent to clarify anything you’re unsure of. 

You should also know your policy’s deductible – the amount you must pay before insurance kicks in on a claim. If you decide to increase your deductible to lower your premiums, make sure you have enough available cash to cover that deductible if you need to make a claim. 

Finally, it’s crucial to understand if your policy values damaged property according to an actual cash value (factors in depreciation and normal wear and tear) or the replacement value (does not factor in depreciation and normal wear and tear). If the damaged property is valued according to actual cash value, you need to be prepared to pay the difference out of pocket. 

Not Filing a Claim Promptly

If someone is injured in your restaurant or your oven is damaged by fire, call your insurance company immediately. Waiting to file the claim can make the process more difficult or even lead to having the claim denied. A good rule of thumb is to file a claim within the first 48 hours of an incident, but the sooner, the better.

Not Working with Insurer

Don’t think of your insurance adjuster as the enemy. Be professional, polite, and cooperative, and promptly provide whatever documentation they request. Failure to cooperate may provide grounds to deny a claim. However, don’t be afraid to ask questions or even appeal an estimate if you have reasonable proof that the lost property is undervalued. 

Not Documenting Damage and Claim

You will need proof of damage to receive a payout, so immediately record the time and date of the incident and take photos and/or videos of the damage. Also, document your communication with your insurer – keep a record of mailed correspondence and emails along with the time, date, and substance of verbal communications. 

Disposing of Damaged Items

You may think photos will be enough when filing a claim, but you should also keep the damaged property as physical evidence until the claim is closed. 

Admitting Fault

Never admit fault if someone is injured in your restaurant. There are too many frivolous lawsuits, and you may not honestly know the cause of an incident until it is investigated. In addition, accepting responsibility will make it difficult for your insurer to defend you if there is a lawsuit. Plus, some policies don’t allow you to assume fault without the insurer’s consent. With these policies, admitting fault can lead to a breach of contract, denial of a claim, or termination of coverage.

 Paying Claims Out of Pocket

You may be tempted to pay the medical costs of someone injured in your restaurant. However, your insurance policy will not reimburse you for payments made out of pocket and could even result in a denied claim. 

Want to Save on Restaurant Insurance Costs?

Work with one of the experienced independent agents at American Insuring Group. We can answer any of your questions, and – as independent agents – we compare pricing and coverage with multiple insurance companies to make sure that you pay the lowest premium for your insurance coverage!

Call us today at (800) 947-1270 or (610) 775-3848, or connect with us online.

Tags: Restaurant Insurance, Commercial Insurance, Business Insurance, Restaurant Insurance Costs

The Key to Lowering Workers’ Comp Costs is Good Communication

Posted by David Ross on Sat, Aug 13, 2022

Good communication can reduce accidents and help you save on Worker's Compensation insurance in Philadelphia, Pittsburgh, Erie, Reading, Lancaster, Harrisburg, Allentown, Lebanon and throughout PA. Contact us today to learn more.Good communication is key to lowering Workers’ Compensation (WC) Insurance costs. Unfortunately, many business owners are under the false impression that communicating with injured employees can cause WC claims and increase the cost of those claims. Nothing could be further from the truth.

Lack of communication and miscommunication in the claims process can cost your business more. For example, injured employees typically hire a lawyer – not to get more money but because of inadequate communication with their employees. For example, one study found that “46% [of injured employees] said they hired attorneys because they felt the claim had been denied when, in fact, it had not yet been accepted into the process.” And the truth is that WC cases that involve attorneys often cost more. 

An injured employee may be worried about their injury, recovery, and how they will continue to support their family. In addition, they may be in pain or facing unfamiliar medical treatments or medication. Plus, WC claims can be complicated. This can result in a scared, stressed, confused, and possibly angry employee. If the injured employee understands that you are concerned about their well-being and are willing to help them through the WC claims process, you become an ally (rather than an adversary). The only way to accomplish that is through good communication before, during, and after a workplace injury. 

Workers’ Compensation Communication

Good communication should be part of the onboarding process of new employees:

  • Foster a Positive Culture of Safety – From the start, you need to create a culture of safety that emphasizes safety as a core value of your business.
  • Foster Ongoing Communication – Employees need to know that it is safe for them to report safety concerns and injuries without fear of retaliation.
  • Provide WC Information – Employers should provide all employees with information about WC, including how to report an injury, what type of injuries are covered, who to contact if they have questions, a list of designated medical providers, etc.
  • Training – All employees should receive ongoing safety training to minimize the risk of injury and to know what to do if an injury occurs. Supervisors should receive training regarding Workers’ Compensation in addition to safety training. CFO advises, “Supervisors are often in the best position to shape workers’ initial expectations about what should happen, post-injury.”

Good communication is also crucial when an injury occurs:

  • Seek Appropriate Medical Attention – When an injury occurs, your first priority should be to ensure that the injured employee receives appropriate medical attention.
  • Thorough Investigation – Every time an injury occurs, a thorough investigation of the incident should occur. The investigation should include interviews with the injured employee and any co-workers who witnessed the incident.
  • Documentation – Every incident should be well-documented while everything is still fresh in everyone’s mind. 

Ongoing communication during the claims process is critical for a timely resolution:

  • Designate one employee to be the primary contact point for injured employees. That employee should be patient, kind, understanding, and familiar with the WC claims process.
  • Provide written and verbal information about the claims process, what the injured employee should expect, etc.
  • Regular communication (at least every other week) throughout the recovery process allows employers to monitor the recovery process, update the injured employee on the progress of the claim, and answer any questions or concerns the injured employee may have.
  • Communicate Genuine Empathy and Trust. Regular informal phone and in-person conversations and get-well cards show the employee that you are concerned about their well-being.
  • Discuss Return-to-Work Assignments. Communicate to injured employees that you are concerned about their well-being and that you are looking forward to them returning to work when it is medically safe to do so. Discuss the possibility of light-duty or transitional duty opportunities with medical providers and the injured employee. 

The Key to Lowering Workers’ Compensation Costs

Good communication should begin with your insurance provider. The independent agents at American Insuring Group listen carefully to better understand your needs, so we can ensure that you get the right workers' compensation insurance coverage at a great price!

Get started today by calling (800) 947-1270 or (610) 775-3848, or connect with us online.

Tags: Workers Compensation Insurance, PA Workers Compensation Insurance, workers comp costs, Commercial Insurance, Business Insurance

11 Types of Commercial Insurance for SMBs

Posted by David Ross on Sat, Jan 08, 2022

Commercial Insurance for Small Business in Philadelphia and throughout PAOwning a small business can be an extremely rewarding experience, but it also comes with its share of risks that can impact the success of your business – employee injuries, fires, lawsuits, thefts, and the list goes on.

The good news is that there is insurance to help your business recover from just about any catastrophe. Unfortunately, research shows that many U.S. businesses are completely uninsured, and 75% of U.S. businesses are underinsured by 40% or more.

Whether you're opening a new business or have been in business for years, it's important that you understand the potential risks your business may face, what insurance policies are required (by law, contracts, landlords, etc.), how financially prepared you are in the event of an unexpected incident, and what types of commercial insurance are available to you. Only then can you make an educated decision about which insurance policies are right for your business.

11 Types of Commercial Insurance to Protect Your Business 

  1. Commercial General Liability (CGL) Insurance – CGL is relevant to any business and helps protect your business from financial loss that results in property damage, bodily injury, libel, slander, lawsuits, and settlements or judgments.

  2. Commercial Property Insurance – If your business has property or physical assets, property insurance helps protect them against loss or damage due to events such as fire, hail storms, civil disobedience, and vandalism.

  3. Workers' Compensation (WC) InsuranceIn Pennsylvania (and most other states), WC is mandated for nearly every business with employees. If an employee is injured on the job, WC helps pay lost wages, disability payments, death benefits, and medical costs and helps protect your business against employee lawsuits.

  4. Business Owner's Policy (BOP) – BOP is relevant to most small business owners – especially home-based businesses. It combines all of the typical insurance coverage – General Liability, Commercial Property, and Business Income Insurance - into one, simplifying the process and often saving you money.

  5. Business Income Coverage/ Business Interruption – If you are forced to shut down your business after experiencing covered property damage (such as fires, storms, etc.), Business Income coverage can help replace lost income.

  6. Cyber Insurance -Small or medium-sized businesses are involved in 43% of all data breaches, and 61% of all small and medium-sized businesses report experiencing at least one cyber-attack in the previous year. Cyber Insurance helps cover your business' liability for data breaches that involve sensitive customer information, such as credit card numbers, driver's license numbers, and health records.

  7. Commercial Vehicle Insurance – If you use a vehicle for any business – such as delivering food or transporting products – Commercial Vehicle Insurance helps cover bodily injury or property damage claims if the vehicle is involved in an accident.

  8. Product Liability Insurance – If your business manufactures, wholesales, distributes, or retails a product, Product Liability Insurance can protect you against financial loss resulting in malpractice, errors, and negligence.

  9. Gap Insurance – Often overlooked, Gap Insurance helps cover the cost difference to pay off a lease balance when the vehicle's value is less than the leasing company's payoff in a total loss accident.

  10. Commercial Umbrella Insurance – Insurance liability policies include a limit (the maximum amount an insurer will pay if a claim is filed). Commercial Umbrella Insurance helps cover the difference if a claim exceeds a policy's limit.

  11. Professional Liability/Indemnity Insurance (Aka Errors and Omissions Insurance)– If your business is sued due to a mistake made in a professional service your company provides, Professional Liability helps cover legal costs.

There are also insurance policies specific to unique risks in certain industries, such as Liquor Liability Insurance for restaurants and bars that serve alcohol, Builders Risk Insurance for contractors, and Bobtail Insurance for truckers.

We Offer The Best Insurance For Your Business

Every business is unique, which is why working with an experienced independent insurance agent is the key to obtaining the right insurance for your business.

So give one of the professional agents at American Insuring Group a call today at (800) 947-1270 or (610) 775-3848, or connect with us online.  

As independent agents, we will also compare the cost of your coverage with multiple insurance companies to ensure you pay the lowest price for the right coverage.

Tags: Commercial Liability Insurance, commercial vehicle insuarance, Commercial Insurance, commercial property insurance

8 Tips to Lower Your Commercial Insurance Costs

Posted by David Ross on Sat, Aug 14, 2021

Save on Commercial Insurance in Pennsylvania: Philadelphia, Allentown, Pittsburgh, Erie, Reading, Lancaster and elsewhere.Commercial Insurance is an excellent investment for any small to medium-sized business. Liability insurance, workers' compensation, or any other type of commercial insurance is designed to help protect your business. But that doesn't mean you should pay more than you have to for that coverage.

Here are some tips to help you lower your Commercial Insurance costs:

Create a Safer Work Environment

Whether you run your business out of an office or a Jobsite, creating a safe work environment is your responsibility. And it's in your best interest as fewer workplace injuries mean lower expenses, including lower Workers' Compensation and Commercial Liability premiums.

There are several measures every business can take to create a safer work environment:

  • Create a culture of safety
  • Use signs to alert employees about potential hazards
  • Provide PPE when appropriate
  • Keep things clean
  • Maintain equipment
  • Implement safety protocols, etc.

Develop Safer Employees

Safety training should be a part of any employee training – especially in higher-risk occupations, such as restaurant, trucking, and construction. But even an office presents certain hazards, such as ergonomic injuries, eye strain, and fires.

The Occupational and Safety Health Administration (OSHA) offers various safety and health training and articles based on hazards, industries, etc.

Minimize the Risk of Theft or Damage

Prevent employee theft by doing background checks on potential employees and hiring employees who don't have a criminal background. Have a written policy on employee theft and make sure all employees understand those policies. Divide payroll and billing responsibilities, restrict access, keep track of inventory, etc.

Protect your business assets from theft and vandalism by installing solid doors and good locks and ensure that your exterior building entrances are well lit. In addition, consider installing security systems – cameras and alarms.

Protect your information from being stolen through cyber-attacks by training employees on security principles, providing firewall security for your internet connection, ensuring proper passwords and authentication is used, etc.

Combine Your Insurance

Many insurance companies offer a discount when you combine or "bundle" different types of insurance – such as commercial auto and commercial property insurance. And did you know that depending on your business structure, you may even be able to bundle business and personal policies to save even more on insurance premiums?

Maintain Good Credit

Often, insurance companies will look at a new business owner's personal credit history before providing an insurance quote, and typically the better your credit history, the lower your premiums. Establishing good credit under your business name – especially if your personal credit is less than stellar – could also help lower your insurance premiums.

Increase Deductibles

The deductible is the amount that you pay out of pocket when you make a claim. The higher you set your deductible, the lower your insurance premiums should be. However, before selecting a high deductible to lower your insurance premiums, make sure you will be able to cover that deductible if you have to make a claim.

Review Your Insurance Policies Annually

In business, as in life, things change. For example, this past year, you may have purchased or sold a company vehicle, made improvements on your property, added or eliminated an employee. Any of these changes can affect your insurance premiums and the amount of coverage you need, so it's essential that you review your policy each year.

Work with an Independent Insurance Agent

The agents at American Insuring are independent agents, which means we aren't restricted to working with one insurance company, unlike most of our competitors. Instead, our agents will check with multiple insurance companies to ensure that you get the lowest rate possible on your insurance needs.

For a free quote, give us a call today at (800) 947-1270 or (610) 775-3848, or connect with us online.

Tags: Workers Compensation Insurance, Commercial Insurance

How to Protect Your Business From Construction Defects

Posted by David Ross on Sat, Jul 31, 2021

How to Protect Your Business From Construction Defects while saving on contractor and construction insurance in the greater Philadelphia, Harrisburg, Allentown, Lancaster, Reading, Pittsburgh, Erie regions and throughout PA.Let's face it – no one is perfect. Not even contractors. Construction defects occur, and contractors can be held liable for those defects.

One significant lawsuit has the potential to put you out of business, which is why it's imperative that you understand potential construction defects, how to prevent those defects and potential lawsuits, and how to protect your business with the right Contractors Insurance.

What is a Construction Defect?

Modern Contractor Solutions magazine defines a construction defect as "a defect in the design, the workmanship, and/or in the materials or systems used on a project that results in a failure of a component part of a building or structure and causes damage to person or property, usually resulting in financial harm to the owner." Construction defects can lower a home's value and can even cause bodily injury or property damage.

Construction defects come in many forms. A defect can be as simple as an improperly painted room or as complicated as a foundation that affects the structural integrity of the building.

Some of the most common and most costly construction defects include the following:

  • Structural Integrity
  • Mechanical
  • Electrical
  • Doors, windows, and glass
  • Finishes

According to FindLaw, courts typically categorize construction defects into four categories:

  • Design Deficiencies, which typically relate to "building outside of a specified code." For example, a poorly designed roof can cause water penetration, poor drainage, etc.
  • Material Deficiencies are the use of inferior building materials. For example, using cheap windows that – even when properly installed – leak.
  • Construction Deficiencies is poor quality workmanship that can lead to several issues, such as water infiltration, cracks, plumbing leaks, pest infestation, etc.
  • Subsurface Deficiencies are the lack of a solid foundation. For example, subsurface conditions that are not properly compacted and prepared for adequate drainage can lead to a structure moving or shifting, flooding, etc.

And there are two types of defects – patent and latent. A patent defect is an obvious flaw that can be easily seen, such as a crack in the foundation or flaking stucco. In contrast, latent defects are hidden issues that aren't as easy to identify, such as plumbing that is improperly installed that causes leaks and damage. These defects may not be evident until well after a project has been completed.

Anyone who works on a project – contractors, subcontractors, developers, suppliers, architects, and engineers - can be held liable for construction defects. Laws regarding construction defects are complicated and vary by state.

Currently, in Pennsylvania, the statute of limitations on construction defects is two years from discovery, and the statute of repose is 12 years after completion of construction. Lawyers.com explains, "A statute of limitations sets a lawsuit-filing time limit based on when the potential plaintiff suffered harm, a statute of repose sets a deadline based on the mere passage of time or the occurrence of a certain event that doesn't itself cause harm or give rise to a potential lawsuit."

How to Limit Liability

"An ounce of prevention is worth a pound of cure" is a well-known proverb that certainly applies when it comes to liability. Your first goal should always be to prevent liability by taking the following measures:

  • Draft well-crafted contracts that set expectations
  • Fulfill the terms of the contract
  • Keep schedules realistic
  • Provide quality workmanship
  • Hire reliable and competent subcontractors
  • Perform and document periodic inspections
  • Keep communication professional and reasonable
  • Ensure everyone working on the project is adequately insured

How to Protect Your Business

Sometimes, despite all of your best efforts, errors do occur, which is why the right insurance is crucial to any construction company's success. The following types of insurance can help protect your business from construction defects:

  • General Liability Insurance – covers injuries (other than employees), property damage, libel, and slander
  • Completed Operations Liability Insurance – covers a completed job or service
  • Professional Liability Insurance – covers lawsuits related to failure to deliver services, negligence, and errors and oversights
  • Builder's Risk Insurance (sometimes called Course of Construction Insurance or Inland Marine coverage) – covers damage that occurs while a building is under construction

Get the Right Contractors Insurance and Start Saving

The independent insurance agents at American Insuring Group specialize in Contractors Insurance, so they can 1) ensure you have the right coverage and 2) ensure you pay the lowest price for that coverage by shopping the market extensively for you.

Give us a call today at (800) 947-1270 or (610) 775-3848, or connect with us online for a free estimate.

Tags: Construction Insurance, Contractor Insurance, Commercial Insurance, Contractor Safety Management