Business insurance

CL Coverage List

This list is not intended to list every possible coverage, but to advise you of coverages you may wish to consider. These coverages may already be included in your insurance program.

LIABILITY COVERAGES

WORKERS’ COMPENSATION

Standard policy for providing coverage for payment of compensation and benefits required of the employer by the Workers’ Compensation law for work-related bodily injury, by accident or disease, to an employee.

PRODUCTS LIABILITY

This protects against claims of injuries or property damage for occurrences involving goods handled, processed or sold, or operations after the job has been completed.

PROFESSIONAL LIABILITY

Liability coverage for claims made during the policy period for “errors and omissions” type claims.

LIQUOR LEGAL LIABILITY

Many states, including Texas, have statutes relating to specific responsibilities for persons serving, selling or manufacturing alcoholic beverages.  Liquor Law Liability is purchased to protect the server, seller, manufacturer or distributor from suits involving Bodily Injury or Property Damage to third parties due to intoxication.

POLLUTION LIABILITY

Provides bodily injury and property damage liability coverage for the release of pollutants, or coverage for handlers of hazardous waste materials.

PRODUCT RECALL

Provides coverage for the cost of recalling a product by the manufacturer or distributor (merchandiser), which may cause bodily injury or property damage due to its continued use or existence.  Covers possible BI and PD exposures and certain expenses.

WATERCRAFT LIABILITY

Primary coverage is generally provided automatically for Hired and Non-Owned Watercraft under 26’ in length.  Coverage for watercraft in excess of this length or owned watercraft must be specifically insured.

AIRCRAFT LIABILITY

Provides legal liability coverage for bodily injury and property damage claims from the public arising from operation of covered aircraft.  Coverage may be provided for owned aircraft or aircraft which may be leased.

EMPLOYEE BENEFITS LIABILITY

Provides coverage to an injured party as a result of an incomplete detailing of employee benefits.

HIRED AND NON-OWNED AUTO

Provides liability coverage for you when any auto you do not own is used for your business and provides liability when you rent an auto

FIDUCIARY LIABILITY

Protects insureds from claims for “breach of fiduciary duty” while acting as trustee for the organization’s own employee pension and welfare benefit plans.  This may take the form of unwise investment decisions, errors in enrollment and discriminatory practices.  In addition, the Department of Labor can also initiate investigations into the investment practices of the fiduciary in order to assure compliance with ERISA and sound business practices.

DIRECTORS AND OFFICERS LIABILITY

Policy covers liability claims and defense costs arising out of “wrongful acts.”  Coverage is provided in two distinct parts; one for the personal liability of the directors and officers themselves, and one to indemnify the Insured Organization’s obligation to its directors and officers.

EMPLOYMENT PRACTICES LIABILITY

Provides coverage for liabilities and defense costs arising out of employment related issues.  Coverage may extend to Directors, Officers, and Employers with responsibilities of hiring/firing and the corporation.

FOREIGN LIABILITY

Provides coverage for lawsuits filed outside the U.S. or Canada arising out of the insured’s operations.  Coverage may be written to include General Liability, Products Liability, Automobile and/or Workers’ Compensation.

FRANCHISEE ERRORS AND OMISSIONS

Provides coverage for legal liability imposed upon franchisee arising out of actual or alleged negligent acts in connection with assignment or contracting of franchiser rights to individual insureds or groups.

PATENT INFRINGEMENT LIABILITY

Provides coverage for infringement of another person or entity’s patent caused by the manufacture, use, distribution or advertising of a Covered Product.

CGL “GAP” LIABILITY

Provides coverage for some of the standard General Liability exclusions, such as property damage to your manufactured product, your completed work, impaired property not physically injured and/or products recall expense and off-site product modification expense.  Employment Practices Liability can also be added on an occurrence basis.

PROPERTY COVERAGES

PERSONAL PROPERTY

Provides coverage for damage to contents and usually includes furniture, fixtures, machinery, equipment, stock and improvements and betterments; all owned by the Insured and while in or on the described buildings or in the open within one-hundred (100) feet thereof.

BOILER AND MACHINERY

Direct Damage and Business Interruption/Extra Expense caused by sudden and accidental breakdown of Pressure Vessels and Refrigeration Systems, Mechanical objects and Electrical objects.

ELECTRONIC EQUIPMENT

Specialty “all risk” coverage for electronic data processing equipment which is not provided under a standard contract.  Includes media, extra expense and business interruption, as well as, owned or leased equipment.

VALUABLE PAPERS AND RECORDS

Covers loss to valuable documents and records such as books, maps, films, drawings, abstracts, deeds, mortgages and manuscripts.  Cost of research to reconstruct damaged records, as well as, cost of new paper and transcription is covered.

ACCOUNTS RECEIVABLE

Protects sums due you, which become uncollectible because of damage or loss to records of accounts receivable.

FINE ARTS

A schedule of items with special or artistic value insured on an “all risk” Agreed Amount Basis, both on and off premises.  Special endorsement is required for breakage of fragile objects.

EQUIPMENT FLOATER

Covers machinery and equipment in transit or otherwise.

TRANSIT COVERAGE

Policy for providing protection for shipment of owned merchandise, either incoming or outgoing.

FLOOD AND EARTHQUAKE COVERAGE

Excluded by most policies, special arrangements, or a separate policy must be obtained.

BAILEE POLICY

Provides coverage for damage to customers’ property occurring while the property is in your care, custody and control.

BUILDER’S RISK

Provides coverage for materials, supplies, machinery, equipment and fixtures to be used in the construction, fabrication, installation or completion of described property while at a construction site or being transported.

INSTALLATION FLOATER

Provides coverage for damage to materials and supplies used in building or installation while they are at a job site or being transported.

BUSINESS INTERRUPTION COVERAGES

EARNINGS

Covers reduction in earnings less expenses, which do not continue as a result of a covered loss, subject to the monthly limitation of recovery.  Earnings are defined as the sum of: (a) total net profit, (b) payroll expenses,  (c) taxes, (d) interest, (e) rents, and (f) all other operating expenses earned by the business.

EXTRA EXPENSE

Covers extra expenses over and above the usual costs necessary to keep a firm in business following an insured loss.

CONTINGENT BUSINESS INTERRUPTION

Coverage that protects the Insured against a loss of earnings due to the direct loss to premises not owned, operated or controlled by the Insured.

OFF-PREMISES POWER LOSS

Insures against consequential losses in earnings due to failure of off-premises power equipment from the specified perils insured against.

CRIME COVERAGES

FIDELITY (EMPLOYEE DISHONESTY)

Provides employer with coverage for loss of money, merchandise or other property when due to the dishonesty of employee(s).

THEFT, DISAPPEARANCE AND DESTRUCTION

Covers insured’s money and securities from loss by theft, disappearance or destruction. (Inside and/or outside).

ROBBERY AND SAFE BURGLARY

Insures against loss of property, other than money and securities, by robbery or safe burglary.  (Note:  Coverage can be modified by endorsement to cover money and securities.)

COMPUTER FRAUD

Loss by computer fraud of money, securities, or other property by illegal transfer involving use.

MISCELLANEOUS COVERAGES

KIDNAP AND RANSOM

Reimbursement to a designated Insured, relative or guest for ransoms paid following the actual or alleged kidnapping.

CONTAMINATED PRODUCT

Provides coverage for recall costs, business interruption, business rehabilitation costs and consultants’ costs for claims resulting from accidental contamination or malicious tampering with the insured’s product.

INTERNET INSURANCE

Provides coverage under various unregulated forms (coverage varies by form) for both first party losses (such as business interruption from hacking, viruses, denial of service, etc.) as well as third party losses (unauthorized access, disclosure of confidential, transmission of computer virus, denial of access).

INTELLECTUAL PROPERTY

Provides coverage to pay for litigation needed to protect your patents, copyrights and trademarks.  Coverage is also available to defend you against a charge of infringement made by a third party.

CRISIS MANAGEMENT INSURANCE

Provides coverage for crisis management services in the event of extortion; workplace violence; sudden death of a senior executive; man-made disaster; product boycott; strikes, riots and civil commotion; fraud investigation; or hostile takeover.