Company insurance is intended to safeguard the financial assets of a business owner and is an important investment for a guard dog business.
This article will discuss the primary insurance coverage for guard dog enterprises, general liability insurance, as well as additional products that are appropriate for this industry.
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Guard Dog Businesses Need General Liability Insurance
Every firm, regardless of sector, has risks that should be insured. General liability insurance is the most frequent and comprehensive form of coverage that company owners purchase.
General liability insurance covers the following risks:
Physical harm
Damage to property
Medical expenses
Legal defence and decision
Personal and commercial harm
While general liability insurance is not legally needed for companies, operating without it is exceedingly dangerous. If your company is sued, you might face costs in the hundreds of thousands of dollars (or more). The only way to avoid this sort of catastrophe from destroying your organisation is to have an adequate general liability insurance coverage in place to assist pay for these losses.
GENERAL LIABILITY INSURANCE MAY COVER COMMON SITUATIONS FOR A GUARD DOG BUSINESS
Example 1: A prospective client comes to your property to choose a new guard dog, and a dog in training attacks them. The bite necessitates multiple medical visits and may need surgery. In the case of a lawsuit, general liability insurance would cover the customer’s medical expenditures as well as your legal fees.
Example 2: While your new website boosts business, your web designer used a copyrighted picture, and the owner of the photo sues you for copyright infringement. Your legal bills and any consequent compensation would be covered by general liability insurance (up to the limits of your policy).
Example 3: One of your hired canines causes damage to your customer’s business throughout the night, and the client holds you liable. The expense of repairing and/or replacing any damaged property would be covered by general liability insurance.
Of course, this is not an entire list of risks covered by a general liability insurance policy, and certain situations may result in a specific peril not being covered. To minimise coverage gaps, it’s always better to speak with your agent about the terms of your policy.
General Liability Insurance Cost
Guard dog firms in America pay an average of $300 – $700 per year for $1 million in general liability insurance.
The cost of your coverage will be determined by a number of variables. Among them are your:
Location
Deductible
Employees’ number
Per-occurrence restriction
The overall aggregate limit
You may be able to get general liability insurance at a lower cost if you buy it as part of a business owner’s policy (BOP) rather than as a separate policy. A business interruption policy (BOP) is a more complete option that covers numerous types of coverage, such as business interruption and property insurance.
Other Types of Coverage Required by Guard Dog Businesses
While general liability insurance is the most crucial, there are various different types of coverage to be aware of. Other forms of insurance that all guard dog firms should have are listed below.
Insurance for Product Liability
Your clients hire you to supply a security dog that fulfils their specific requirements. If you fail to address their demands and an event happens, they may seek to you for compensation. Product liability insurance protects you if a consumer alleges that the “product” you sold harmed them.
As part of a business owners policy, you may obtain product liability coverage that is customised to your company’s unique requirements (BOP).
Insurance for Commercial Property
If you own the building where you do business, you are liable for any business-related property that is held there in the case of a fire, burglary, or natural catastrophe. After an accident, commercial property insurance would cover the expense of restoring or rebuilding your building and its contents, allowing you to recover fast.
This coverage is available as part of a company owner’s insurance (BOP).
Insurance for Workers’ Compensation
When dealing with dogs, even the most well trained staff run the danger of harm, making this coverage important. Workers’ compensation insurance is required in most states for both part-time and full-time employees. This coverage covers your workers if they are hurt at work or get sick as a result of a workplace accident. It covers not just an employee’s medical expenditures and missed pay if they need time off to recuperate, but also any disability or death benefits resulting from a work-related accident.
While many states enable business owners to exempt themselves from their workers’ compensation coverage, if you intend to engage in your company’s daily operations, you should avoid this choice.
Coverage Options for Some Guard Dog Businesses
In addition to the insurance listed above, your guard dog company may need other forms of coverage based on particular features of your activities. Some of them may not apply to you, so be sure to ask your agent whether policies are appropriate for your company.
Insurance for Commercial Vehicles
Any car used mainly for business by you or your workers needs commercial auto insurance to safeguard the vehicle, driver, and others on the road in the case of an accident. Choose a policy that not only covers accident-related vehicle repair expenses and medical care for anybody harmed, but also provides enough coverage for any business products you transport in your cars. Consider getting coverage that is more than the state-mandated minimum to protect your company from the unexpected.
Commercial vehicle insurance may be purchased as part of a business owners policy (BOP) or as a separate policy.
Umbrella Insurance for Businesses
While most claims are covered by your general liability insurance policy, certain incidents or lawsuits may be so severe that they threaten to deplete the limits of your main coverage. Commercial umbrella insurance protects you from having to pay for legal expenses and awarded damages that exceed the limits of your main policy out of pocket.
Additional Security Measures for Your Company
Although investing in company insurance is simple (and necessary), it should not be your first line of defence. Yes, insurance will reimburse your company for cash losses incurred as a result of an occurrence, but it is much preferable to avoid losses altogether.
With this in mind, here are a few steps you can take to better secure your company:
Make use of legally binding contracts and other business agreements. (We provide free templates for several of the most often used legal forms.)
To safeguard your personal assets, form a limited liability company (LLC) or a corporation. (To discover how to incorporate an LLC or company in your state, see our step-by-step tutorials.)
Keep your company licences up to date.
Streamline the internal procedures of your company. This will eliminate unneeded variables from routine activities and establish a secure, consistent environment in which to do business.
If your company is an LLC, you should check into LLC insurance.