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Every guide in the library, newest first. Each one is written in plain language and lists its sources.
63 articles
Newest first
Barbershop insurance: chairs, clippers and the people in them
General liability covers the client who slips on hair clippings. Professional liability covers the razor nick that gets infected or the relaxer that burns. Add property coverage for the chairs and workers’ comp for barbers on your payroll, and require chair renters to carry their own.
Industry guides8 min read
Cleaning business insurance: what house and office cleaners need
Start with general liability, because broken things and wet-floor falls are the claims cleaners actually face. Add workers’ comp when anyone else cleans for you, cover the equipment you haul, and know that theft by a cleaner needs a bond, which is a different product.
Industry guides9 min readDo small businesses need cyber insurance?
Most do, and three kinds of business need it now: those that take card payments, those that keep customers’ or clients’ personal data, and those that send or receive money based on email. A few very small businesses can reasonably wait. Whichever you are, the details to check are the sublimits, especially for email payment scams.
Coverage explained8 min read
Do you need business insurance for a side business?
Often, yes, and sooner than most people think. A homeowners or renters policy usually leaves business liability and most business property out, your day job’s insurance doesn’t follow you home, and the first client contract or market application you sign may require proof of coverage.
Insurance basics7 min readErrors and omissions insurance for real estate agents
Errors and omissions insurance, the real estate version of professional liability, covers claims that your mistake or oversight cost a buyer or seller money. A brokerage policy usually covers you only while you’re with that brokerage, and a few states, including Colorado and Tennessee, make E&O a condition of the license.
Industry guides8 min read
Food truck insurance: what you need before your first event
You’re insuring two things: a kitchen, which needs general liability and coverage for its equipment, and a vehicle, which needs commercial auto, a separate policy. Many events will also want a certificate naming them before you can park.
Industry guides9 min read
Handyman insurance: what you need for small jobs
The usual starting point is general liability for damage in clients’ homes and tools and equipment coverage for what rides in the van, then add workers’ comp once they pay a helper. Small jobs can still produce large claims, and state licensing rules can cap the work you take on.
Industry guides8 min read
How to collect and check certificates from your subcontractors
Get a certificate of insurance from every subcontractor before they start work, check it against what your contract requires, and track the expiration dates. If a sub turns out to be uninsured, your own workers’ comp policy may be charged for their crew at audit, and their claims can land on you.
Certificates and contracts8 min readHow to switch business insurance without a gap
Get the new policy bound before you cancel anything, start it on the exact day the old one ends, and keep your retroactive date on any claims-made coverage. Then send new certificates to everyone who holds the old one.
Insurance basics9 min readIs business insurance tax deductible?
In most cases, yes. The IRS says you can generally deduct premiums for insurance related to your business, such as liability, property and workers’ comp, as long as the expense is ordinary and necessary, but some premiums don’t qualify. Confirm your own situation with a tax professional.
Insurance basics8 min readLandscaping business insurance: mowers, crews and flying rocks
General liability for the rock your mower throws through a window, tools and equipment coverage for the mowers and trimmers on your trailer, and workers’ comp once you have a crew. If you spray anything, check your pesticide license and your policy’s pollution exclusion before the season starts.
Industry guides8 min read
Personal trainer insurance: clients, gyms and online coaching
The claim that matters most is a client who gets hurt doing the exercise you prescribed, and that usually belongs to professional liability. Add general liability for accidents, and expect any gym or studio you rent space from to ask for a certificate naming them.
Industry guides7 min readPhotographer insurance: gear, venues and unhappy clients
Cover the camera bag with tools and equipment insurance, carry general liability because venues will ask for it, and add professional liability for the claim that hurts most, a client who says you missed the shots or lost the files.
Industry guides8 min readPlumber insurance: leaks after you leave and what covers them
When a fitting you installed fails weeks later, general liability’s completed operations coverage typically pays for the water damage, subject to its terms. It usually won’t pay to redo your own work, and it only helps if your policy is in force when the damage happens.
Industry guides7 min readWhat “licensed, bonded and insured” actually means
A license is permission from a state or local government to do the work, a bond is a guarantee that protects your customer if you break the rules or don’t finish the job, and insurance protects your business when something goes wrong. They overlap less than the phrase suggests.
Certificates and contracts9 min readYour business insurance renewal went up. What now?
Find out which number moved, from your payroll estimate to your claims to the insurer’s rates, and ask your insurer to explain it in writing. Then get a quote for the same coverage to compare, well before the renewal date.
Cost and pricing9 min read
How much does business insurance cost?
There’s no honest single number. Your premium is a rate for your kind of work multiplied by the size of your business, then adjusted for your limits, deductibles and claims, and a quote is the only place your own number exists.
Cost and pricing13 min read
What business insurance does a small business need?
Most small businesses start with general liability, then add policies for what they own, the work they do and the people they employ. The right mix depends on your risks, your state and what your lease and contracts require.
Insurance basics13 min readWhat is a certificate of insurance?
A certificate of insurance (COI) is a one-page summary of your business insurance that you hand a landlord, client or general contractor as proof of coverage. It lists your policies, limits and dates, but it can’t change the policy behind it.
Certificates and contracts13 min readAdditional insured vs. certificate holder
A certificate holder receives your certificate of insurance and nothing more. An additional insured has been added to your policy by an endorsement, so your coverage can protect them for certain claims tied to your work or your space.
Certificates and contracts9 min read
Booth renters vs. employees: insurance for salons
If your stylists are employees, your salon’s policies cover their work and their injuries. If they rent booths, each one is usually a separate business that needs its own general and professional liability, and you insure the space, the shared areas and your own staff.
Industry guides9 min readBusiness insurance for sole proprietors
A sole proprietorship has no legal wall between you and the business, so a claim against the business is a claim against your own savings. Most sole proprietors start with general liability or professional liability, and add policies for the gear they own and any contracts they sign.
Insurance basics8 min readDo business owners need workers’ comp for themselves?
Often not by law. Many states let owners, partners, LLC members and corporate officers leave themselves off workers’ comp, but the rules vary, and covering yourself makes sense if your work is physical or a client requires it.
Employees and payroll8 min readDo consultants need professional liability insurance?
Most do. If clients act on your advice or rely on your deliverables, professional liability is the policy that typically responds when they say your work cost them money, and many client contracts require it before you start.
Industry guides8 min readDo independent contractors need workers’ comp?
A true independent contractor usually isn’t covered by your workers’ comp policy. But if a worker is really an employee under the law, or a subcontractor has no coverage of their own, the cost can come back to you.
Employees and payroll9 min readDoes an LLC need business insurance?
Usually, yes. Forming an LLC can keep the business’s debts and lawsuits away from your personal assets in most cases, but it doesn’t protect the business itself. When the LLC is sued, its own money and equipment are what’s at stake, and insurance is what can help pay.
Insurance basics9 min readDoes homeowners insurance cover a home business?
Usually only a little. Homeowners and renters policies often limit coverage for business equipment and typically exclude liability for business activities, so a client’s fall or a stolen work laptop may not be covered.
Insurance basics9 min readEmail scams and wire fraud: what small businesses should know
In a business email scam, a criminal poses as a supplier, client or colleague to get you to send money or change payment details. Property and general liability policies usually don’t pay for money you were tricked into sending, but some cyber policies can help, often up to a lower limit.
Coverage explained10 min readFirst-party vs. third-party coverage
First-party coverage pays your business when it suffers a loss, like a fire or a theft. Third-party coverage defends you and pays other people when they claim your business harmed them.
Coverage explained9 min read
Garagekeepers vs. garage liability
Garagekeepers covers damage to customers’ vehicles while your shop has them. Garage liability covers injuries and damage your shop’s operations cause to other people and their property. The names are close, but they answer different claims.
Coverage explained9 min readGeneral liability vs. professional liability
General liability answers for physical harm, when someone gets hurt or something gets broken. Professional liability answers for financial harm, when a mistake, missed deadline or bad advice in your work costs a client money.
Coverage explained9 min readHiring your first employee: an insurance checklist
Check your state’s workers’ comp rules and have coverage in place before your first employee’s first shift. Then update the payroll on your policies, because the number you give now gets checked later.
Employees and payroll8 min readHold harmless and indemnification clauses, explained
A hold harmless or indemnification clause is a promise in a contract to pay for, and often defend, certain claims against the other party. How much you’re taking on depends on the clause’s wording, your insurance and your state’s law.
Certificates and contracts9 min readHow business income claims are calculated
Business income claims are usually calculated as the net income you would have earned plus the expenses that kept running, for the period it takes to repair covered damage, after a waiting period. Extra costs to reopen sooner are added on top.
Coverage explained10 min readHow business insurance works: premiums, limits and deductibles
You pay a premium, and for a set policy period the insurer agrees to help pay for covered losses, up to your limits and after your deductible. Exclusions, conditions and endorsements decide what counts as covered.
Insurance basics10 min readHow to choose a deductible
Pick the highest deductible you could pay from cash twice in one year without missing rent or payroll. Then check how it applies, per claim, per car or in hours, and whether the premium saving would add up to the extra deductible before you’re likely to claim.
Cost and pricing8 min readHow to choose liability limits
Start with the highest limit any lease or contract requires, because anything less can cost you the space or the job. Then ask whether one serious claim, or a bad year of smaller ones, could go past it, and raise your limits if you couldn’t pay the difference yourself.
Cost and pricing8 min readHow to file a business insurance claim
Make the scene safe, photograph it before anything is cleaned up and call your insurer the same day. Don’t admit fault, don’t pay anyone yourself and keep a log of every call.
Claims10 min readHow to get business insurance, step by step
Work out which policies your business and your contracts call for, gather the details an underwriter will ask about, get quotes you can compare on equal terms, then bind coverage and send proof to whoever asked for it.
Insurance basics9 min readHow to read a business insurance policy
Start with the declarations page, which shows who and what is insured, for when and for how much. Then read the insuring agreement, definitions, exclusions, conditions and endorsements, because together they decide whether a loss is covered.
Insurance basics10 min readHow to read insurance requirements in a client contract
The insurance section of a client contract or subcontract lists the policies you must carry, the minimum limits, the endorsements the client needs and when proof is due. Compare it line by line with your policy before you sign, because a gap you find later is harder to fix.
Certificates and contracts10 min readHow workers’ comp premiums are calculated
For each kind of work, payroll is divided by 100 and multiplied by that classification’s rate. The total is then adjusted by your experience modification, if you have one, and by other credits and charges that vary by state and insurer.
Cost and pricing9 min readInsurance requirements in a commercial lease
Most commercial leases require you to carry general liability at set limits, name the landlord as an additional insured, insure your own contents and build-out, and send a certificate before you move in. Read the insurance section before you sign, because it decides what you’ll buy.
Certificates and contracts9 min readIs business insurance required by law?
Some of it is. Nearly all states require workers’ comp once you have employees, vehicles need auto liability, and some trade licenses require insurance or a bond. General liability usually isn’t required by law, but leases and client contracts often make it a condition.
Insurance basics10 min readOccurrence vs. claims-made policies
An occurrence policy covers injury or damage that happens while the policy is in force, whenever the claim arrives. A claims-made policy covers claims reported while it’s in force, for incidents after its retroactive date, which matters most when you switch insurers or close.
Insurance basics9 min readOpening a restaurant: an insurance timeline
Your insurance usually has to start when you get the keys, often months before you open the doors. Here’s what to have in place at each step, and who will ask to see it.
Industry guides10 min readReplacement cost vs. actual cash value
Replacement cost coverage pays what it would cost today to repair or replace your property with something of like kind and quality. Actual cash value pays that amount minus depreciation, so older things pay out less.
Coverage explained9 min readShoplifting, break-ins and employee theft: what insurance covers
A break-in is usually covered by your property insurance, subject to its terms and deductible. Shoplifting and unexplained inventory shortages often aren’t, and theft by your own employees typically needs separate crime coverage.
Industry guides9 min readWays to lower your business insurance costs
The levers that work are accurate classification and estimates, limits and deductibles that fit, fewer and smaller losses, claims reported promptly, certificates from your subcontractors and a careful review at every renewal. The ones that backfire all involve shading the facts.
Cost and pricing9 min readWhat are loss runs, and why do insurers ask for them?
A loss run is a report from your insurer listing every claim on your policy, with dates, amounts paid and amounts set aside. New insurers ask for one to see your real claims history.
Claims8 min readWhat business insurance doesn’t cover: common exclusions
Every business policy lists things it won’t pay for. The most common exclusions, from flood and wear and tear to employee injuries and customers’ property in your care, are usually covered by a different policy or by separate coverage you’d buy on purpose.
Coverage explained9 min readWhat decides the cost of general liability insurance
Your general liability premium is a rate for your kind of business multiplied by a measure of its size, usually sales, payroll or square footage. Your limits, deductible, claims record, location and any endorsements your contracts require then move it up or down.
Cost and pricing8 min readWhat decides the cost of professional liability insurance
Your profession sets the starting rate, and your revenue, the size of your contracts and the kind of clients you serve set how much is at stake. Your limits, deductible, claims record and retroactive date then move the price, and so does whether defense costs come out of your limit.
Cost and pricing9 min readWhat insurance contractors need to win jobs
Most jobs ask for general liability that covers completed work, workers’ comp or a state exemption, and endorsements like additional insured and waiver of subrogation. Here’s how to read the request and get proof out fast.
Industry guides10 min readWhat is a premium audit, and how do you prepare?
A premium audit is the insurer’s review, after the policy period ends, of the actual payroll or sales your premium was based on. If the real figures are higher than your estimate you owe more, and if they’re lower you may get money back.
Cost and pricing9 min readWhat is a waiver of subrogation?
A waiver of subrogation is an agreement that your insurer won’t try to recover what it paid on a claim from a specific party, such as your landlord or a general contractor, even if that party was partly to blame. Clients ask for it so a loss stays between you and your insurer.
Certificates and contracts10 min readWhat is inland marine insurance?
Inland marine insurance covers business property that travels or sits somewhere a regular property policy doesn’t reach, such as tools on a job site or equipment in a truck. Despite the name, it has nothing to do with boats.
Coverage explained9 min readWhat to do after a data breach
Take affected systems offline without turning them off or wiping them, call your cyber insurer before you hire anyone and get legal advice on who you have to notify. Every state has its own breach notification law.
Claims10 min readWhat to do when a customer is hurt at your business
Get the person help, make the hazard safe, save the evidence and tell your insurer the same day, even if they walk out saying they’re fine. Be kind, but don’t admit fault or offer to pay.
Claims9 min readWhat to do when an employee is hurt at work
Get them medical care, report the injury to your workers’ comp insurer the same day and check your state’s deadline. A death must be reported to OSHA within 8 hours, and an in-patient admission, amputation or eye loss within 24.
Claims10 min readWhat you need to get a business insurance quote
You need an honest description of your work, your location, your revenue and payroll, your claims history, the value of what you’d insure and the insurance clauses in your lease and contracts. Here’s the full checklist, and what you can leave out.
Cost and pricing9 min readWho pays when a customer’s car is damaged at your shop?
Usually your garagekeepers coverage, if the car was in your care and the cause is covered. Whether you bought legal liability or direct coverage decides what happens when the damage isn’t your fault.
Industry guides9 min readWorkers’ comp vs. general liability: who pays when someone gets hurt
Workers’ comp covers your own employees’ work injuries, and general liability covers injuries to customers, visitors and other people outside your business. The hard cases are the workers who fall in between, like independent contractors and a subcontractor’s uninsured crew.
Coverage explained10 min read
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