Company insurance is intended to safeguard the financial assets of a business owner and is a vital investment for a dog breeder.
This article will discuss the primary insurance coverage for dog breeders, general liability insurance, as well as additional policies that are appropriate for this industry.
Dog Breeders 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.
Situations That A Dog Breeder’s General Liability Insurance May Cover
Example 1: A client comes to see a fresh litter of puppies in the hopes of finding the right one to take home with them. She steps in a hole dug by a dog in the yard and breaks her ankle. The expense of treating the injuries would most likely be covered by general liability insurance.
Example 2: A visitor to your home suddenly moves to touch one of your elderly dogs, frightening the dog and resulting in a dog bite injury. The guest chooses to sue you, claiming you responsible for his injuries. The expense of your legal defence, as well as any award or settlement agreed with the opposing party, would be covered by your general liability insurance coverage.
Example 3: A group of clients is heading down the stairway leading to your breeding area when it collapses. Several of them suffer injuries, including broken bones, and must seek medical attention. Your general liability insurance coverage would most likely cover the expense of treating your customers’ injuries.
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
The typical dog breeder in the United States pays between $300 and $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 Dog Breeders
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 dog breeders should have are as follows:
Insurance for Commercial Property
Depending on the size of your dog breeding business, you may have spent a lot of money on equipment and supplies. If your company is involved in a catastrophic disaster, such as a fire or a hurricane, and you lose your property, it will be tough to replace it out of pocket. A commercial property insurance coverage may assist cover the expenses of purchasing new equipment and supplies, allowing you to go back to business as soon as possible.
Insurance for Product Liability
There is always the possibility that one or more of your customers may decide to sue you—for example, if a client takes home a dog and the canine has problems you are unaware of, such as high hostility. If a client sues your company due to the harmful conduct of the dog you sold, your product liability insurance will cover your legal expenses, including hiring an attorney to represent your interests and paying for a settlement if required.
Coverage Options for Some Dog Breeders
In addition to the policies listed above, dog breeders may need other forms of coverage based on particular features of their 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
A commercial car insurance coverage is required if you have a vehicle, or more than one vehicle, that you use mainly for business reasons. Your business vehicle coverage works similarly to your personal auto policy in that it protects you against responsibility in the event of an accident. The coverage will not only cover the expenses of repairing or replacing your car, but it will also cover the costs of treating your injuries or the injuries of those who were injured in the accident.
Insurance for Home-Based Businesses
If you run a dog breeding company out of your house, your homeowner’s insurance may not cover you in the case of an accident caused by commercial operations. It is critical to call your homeowner’s insurance provider to find out what your existing policy covers in terms of your company. A home-based business insurance coverage should be available as part of a company owner’s policy or as an addition to your present homeowner’s insurance policy.
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.