Small Business Insurance
Peace of mind for your business
Amica has partnered with Homesite Insurance, a growing property and casualty insurer that offers business coverage with customized, affordable insurance policies to protect businesses against serious financial loss due to unexpected events.
Homesite specializes in providing coverage tailored to your needs, and their customized policies ensure that you get the coverage you want – without paying for coverage you don’t need.
Why do I need small business insurance?
No matter what industry you’re in, you more than likely need small business insurance. Why not protect something you worked so hard to build? Small business insurance can help protect your company’s personal property, income and liability claims.
One of the most common types of small business insurance is a business owner’s policy (BOP). A BOP typically covers general liability, business income and commercial property, but you can also get these coverages separately. We’ll further explain these coverages and policy types below.
Business owner’s policy
A business owner’s policy is a comprehensive insurance policy that bundles general liability, property, business interruption and other additional coverages into one convenient package.
- General liability coverage – This protects your business against third-party claims made against it for bodily injury and property damage resulting from products, services or operations.
- Commercial property coverage – This protects your business’s buildings and/or business personal property against perils such as fire and theft.
- Business interruption coverage – This protects your business for lost income, operating expenses, employee payroll and more. In order for this coverage to apply, there must be a direct physical loss or damage to the insured place of business, which resulted from a covered peril, such as fire.
General liability business insurance
If your business doesn’t operate out of a physical location or have assets you need to insure, a general liability business insurance policy could be right for you. For example, businesses within the contracting and service industries may fall into this bucket. In this case, a monoline general business liability insurance policy may make more sense than a BOP and can typically be purchased at a lower cost.
Do I need business insurance if I’m in an LLC?
Even if your business is in an LLC, small business insurance is important to have. That’s because your LLC only protects your personal assets, and leaves your business assets exposed. Getting a business owner’s policy is a good start. Just like you decided to protect yourself with an LLC, you should also decide to protect your business with a small business insurance policy.
How much does business insurance cost?
When it comes to small business insurance, cost is probably on the top of your mind. However, business insurance costs can vary widely. What policies you need, what coverage you have on those policies and what your business does all impact how much you’ll pay for small business insurance. The best way to estimate your company’s business insurance costs is to get a quote. A few factors that help determine your small business insurance premium are:
- Industry – Some industries are riskier than others, and in insurance, higher risk means higher premiums.
- Location – Similar to your personal auto and home insurance, rates can vary based on where your business operates.
- Size – The number of employees has a direct correlation to the cost of your business insurance premium. More employees can mean more opportunity for risk.
- Payroll and sales – Especially if you have business interruption coverage, your business’s payroll and sales impact how much coverage you need to adequately cover a business interruption, and therefore, impact your premium.
- Prior claims – Prior claims can impact your premium, as they indicate the likelihood of more claims in the future.
- Coverage and deductibles – As with any insurance policy, how much coverage you have and the deductibles you carry determine how much the insurance carrier could have to pay out on your behalf. The more coverage, and the lower the deductibles, the more your premium can be.
Amica is proud to partner with Homesite Insurance to provide our customers with small business insurance solutions. Call Homesite to get answers to your business insurance questions.
AMIC-03-041723