Can we please talk about insurance... - Page 2

Wow business insurance is cheap cheap in the US I pay $1180 a year and I have good credit. I called around and was told that no one could beat it. If any other Canucks read this and have other insurance options I'd love to hear it!!!

I am in Oklahoma. I open the doors on April 1st for my new business...my policy is a business owners policy w/ 1.5 m in coverage...500$ a year. I was pleasantly surprised I thought it would have been higher than that. I wish my car ins was that cheap!

Let's be sure we're comparing apples and apples here. I pay over $3500 a year ..... that means I have to put back $10 every single day toward my annual insurance expense .... in my various insurances. There's liability, which is the $250-$500 range. Plus your commercial auto policy (which you can expect to run you twice, three times or more, than your personal auto policy), tenant's insurance or building insurance, insurance on the fire systems and kitchen equipment, fire coverage, loss of income coverage, loss of kitchen use coverage, etc.

There's a lot more than just a $250 liability policy that's needed. Even if you are a home baker, check with your agent at least on the requirements for commercial auto and equipment coverage.

I'm posting before reading everything,...

sweetlayers, that's interesting because I have State Farm here in Ohio.

I pay $224 for $1mil in liability, plus $1000 on supplies. (I'm at home, not a sep. kitchen). I got a discount 'cuz our homeowners ins. is thru same company.

That 500$ business owner's policy does cover all that, Indy...just not the Auto Ins. and I am leasing the building...Now you have me questioning it but I know it had 10,000 cov for equipment....I will have to check it out...Indy you all was have all the info!

Sorry to keep popping in here, but I want to say again that you cannot just say, "I have business insurance and it costs $X" and really know what you are comparing. That's like saying, "I have car insurance and it costs $X". With a car, that would tell you nothing, really. You need to know the make, model and year of the car, if there are other cars (for a multi-car discount), if the home is also with the same company (for a home/car discount), what your driving record looks like, if there are any other drivers on the policy and what their records look like, if there are any inexperienced drivers, what your payment history looks like and what your credit looks like and what types of coverage and coverage amounts do you want THEN you can think about making comparisons. Sorta.

What is covered on your policy? What isn't covered? What are your deductibles? That's for starters. Please listen to Indy. Know what you are covered for. What are your liability limits? Is there a deductible applied to that (with some companies that happens)? What is your coverage for business personal property? What is your deductible? What kind of coverage do you have for any scheduled items? What are your gross sales? Your payroll? Do you own your building? Are you properly insured? If you do not have the correct type of coverage for a business in your home and you burn the place down, you may be homeless. What if a tornado hits your place of business? Do you have coverage to replace your lost income?

All of this is just for starters. Please know what your needs are and be sure that your policy meets those needs. Things do happen! I've seen someone leave a pot on the stove in an office and burn down the entire building. Don't you know they were thankful that they were properly insured, since they were liable for ALL of the damage to the entire building?

Just wanting to help all my dear cake friends.

I have recently been inquiring through my insurance company about business liability insurance as well as the dwelling and contents. My insurance agent said it would run about $80 a month for both and that is with $1M in liability and I can't remember exact amount on property since I haven't started building. I just wanted a basic estimate. One thing that she told me that I had no idea about is that I have to deed a portion of my property to myself that the bakery will be on. She said this is a must and that if an agent came out for any reason and saw that I had a business on my property that they could drop me. I don't know if this is the same for other companies, but I would definitely make sure before you started. Good Luck!

I'm not exactly sure about this one, but laws do vary from state to state. But regardless, this does bring up an important point. All insurance is not the same and just "having insurance" doesn't necessarily mean you are covered for anything!

Insurance is a specific contract. There are specific things required of you and specific things the insurance company says that they will do for you. If your contract (insurance policy) isn't for the coverage you need or want, you have no coverage. Repeating here, just having insurance is not enough.

And, if you do not disclose things asked for, or if you lie in your application, you will have ZERO coverage. If you have a big claim, you better believe that the company (and perhaps its fraud unit) will go over your policy with a fine tooth comb. Were you asked if you have any felony convictions and you "fudged"? No coverage. Do you get the picture? If your policy is simply a homeowner's policy that EXCLUDES businesses, and your business causes damage to your home....that would be a very sad day for you. If your auto policy is personal ONLY and does not cover business use and you cause a major accident with tremendous losses...you will be up the proverbial creek.

This is why I keep harping on all of this. I get concerned about what I read here. Know what you need, read your policy, and be sure you have what you need!

I'm going to echo what ziggy is saying. TALK TO YOUR AGENT!

I see so many insurance threads where folks are asking "what company do you have your coverage with?" No one buys insurance directly thru the insurance company (unless you're buying the lizard coverage) .... you buy thru an agent. THE AGENT is the resident expert in this field and he/she will talk to you and explain the coverages you need according to the state laws.

I never walk into my agent's office and tell him "I want to buy a Hartford policy". I tell him what I need to cover and he knows which company will do the best job for me.

TALK. TO. A. LICENSED. AGENT. Insurance is a legal contract. Don't go to court without a lawyer. Don't buy insurance without an agent.

I am also an insurance agent and happy to see this thread. Although, I have to admit, seeing it here on CC (where I go to escape insurance) is kinda ironic. lol

Surely though, talk to your agent, talk to more than one agent. Ask lots of questions and what if's and shop around to get the coverage that you need. Not all agents are created equal unfortunately. And, some companies that write commercial insurance have the ability to wiggle a little in the premiums so don't be afraid to let them know you are shopping around. Right now are hard times for everyone, including the agents. Alot of them will work to get your business.