You might feel overwhelmed if you’re a new business owner. It is possible to feel isolated in your difficulties and not be able to solve all your problems on your own. It is important to look at the key factors that will help you feel calm and confident when managing a business. A lot of people take comfort in the fact that business insurance in Los Angeles can be similar to personal insurance, giving them a good starting point.
Personal Vs. Commercial Insurance Differences
At Safecal, we want to break down the real personal vs. commercial insurance differences. Below, we will show you some of the important details of each type of insurance and offer an easy and effective way to set up both plans ASAP.
What are Personal Lines of Insurance?
Personal insurance is also known as personal lines insurance. It covers a variety of insurance policies that protect your personal property, possessions, as well as activities like holidays. While some types of insurance are very common, others are more specific.
Because of the specific risks faced by businesses, business owners will need coverage through commercial lines insurance. This insurance will protect you from situations that are not possible in a domestic setting such as customers, employees, and property related to work.
What is Commercial Insurance?
Business insurance, also known as commercial business insurance, is coverage that covers businesses and corporations. It generally covers the owner, employees, and management. Commercial insurance is available in many sizes, shapes, and colors because many kinds of businesses have different needs and circumstances.
You might be wondering what type of insurance you need as a small-business owner. Although the answer to this question will vary depending on the type of business, there are a few types of commercial insurance policies that small business owners should be aware of.
Different Types of Insurance Available
There are many types of personal and business insurance plans. This typically includes at least two types.
General Liability
Let’s say a customer gets hurt at your business because of something you did or didn’t do. General liability insurance covers the legal costs as well as any medical expenses. This coverage can also cover “advertising injuries,” which may include offenses such as copyright infringement or libel.
Property Insurance
Property insurance is a coverage plan that offers security for your building and contents as well as your business income in the event of a disaster. This can include a fire, theft, or other natural disasters. You can choose to have property coverage listed as a “named-peril,” “open-peril,” or “special” case.
What You Need to Know About Your Insurance Policy
You need to be aware of the caveats in all types of insurance plans. One or more of these policies is a hallmark of commercial insurance:
- The premium is the cost a business has to pay for coverage. The cost of your premium can be affected by many factors, including the type of business, employees, location, payroll, year in business, and exposures.
- Deductibles refer to the amount that the insured must pay before insurance will cover a claim. A high deductible policy could mean you pay less monthly but will be responsible for more in case of an accident.
- Exclusions are items that an insurance policy doesn’t cover. Understanding the exclusions in your policy will allow you to determine if it is right for you.
If you are looking for personal or commercial insurance of any type, get in touch with Safecal to discuss your options today.
Find the Best Commercial Plans ASAP
Looking for the best plan for your new business or personal property? Begin by talking to one of our insurance agents about your preferred plan, such as business auto insurance in Los Angeles. We will work with you to compare both personal and commercial coverage rates to get the best deal. Contact us today to schedule a one-on-one consultation!