Company insurance is intended to safeguard the financial assets of a business owner and is a critical investment for a mobile vet business.
This article will discuss the primary insurance coverage for mobile vets, general liability insurance, as well as additional policies that are appropriate for this industry.
Mobile Vets 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 MOBILE VET BUSINESS
Example 1: A client approaches you while you are examining a dog, suffers a bite from the animal, and then sues you and the dog owner for damages. Your legal fees and any court-awarded damages would be covered by general liability insurance.
Example 2: A local firm says that your new marketing strategy closely mimics their marketing materials, which is harming their business. If they sue you for damages, general liability insurance will cover your legal fees as well as any monetary awards made by the court.
Example 3: You ask for a business loan in order to grow your firm. Your bank requires you to carry a minimum of $1 million in general liability insurance as part of the loan conditions.
Example 4: A customer uses your pet sitting services and entrusts you with three pets while they are away for a week. Your secretary messes up the dates, and you leave the animals alone for two days, causing dehydration in the creatures and damage to the client’s property. General liability insurance would cover the medical expenses for the pets as well as the cost of repairing or replacing the client’s damaged property.
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
In America, mobile veterinarians pay 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 Mobile Vets
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 mobile vets should have are listed below.
Insurance for Commercial Vehicles
Because your job necessitates a specialised car and a substantial amount of time on the road, you are more likely to be involved in an auto accident. In the case of an accident, any car you use mainly for work needs commercial auto insurance to cover the vehicle, driver, and others on the road. While each state requires a certain level of coverage, such restrictions sometimes leave company owners underinsured. 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 company equipment or supplies you transport in your cars.
Insurance for Workers’ Compensation
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.
Insurance for Professional Liability
Diagnosis and treatment of animals may be tough, especially if you are dealing with an uncommon situation or a nervous animal. Pet owners have the right to sue you for expenditures and damages, regardless of who is at blame. Professional liability insurance would cover your legal defence expenses in the case of a lawsuit.
Coverage Options for Some Mobile Vets
In addition to the insurance listed above, your mobile vet company may need other forms of coverage based on particular parts 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 Animal Bailees
An animal bailee coverage pays for expenditures incurred as a result of the disappearance, damage, or death of an animal in your care. Advertising and reward expenditures, medical bills, and temporary lodging are all examples of insured losses.
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.