Automobile/Fleets/Garage Insurance Policies
Fleet Insurance: When a business has a number of owned vehicles, they can insure them all on one policy and can qualify for additional discounts for being a part of a “Fleet” and their own loss history. Insurers differ in their requirements for Fleet rating. Some start with as low as 6 vehicles, while others require 10-12 vehicles before allowing Fleet rating.
Garage Liability Insurance: Protection for an automobile dealer, repairer, service station, valet, etc for while the company employees are have custody or are operating their customer’s vehicles. These companies should have both Third Party Liability as well as Physical Damage for damage to the Customer’s or their Own Autos.
Business Interruption Insurance
Profits Business Interruption Insurance – covers the business’ loss of income until the business is back to the same Financial position as it was prior to the loss. The Indemnity period can be extended for longer periods, depending on the exposure of the business and how long it would take them to get back up and running and get back to the same profitability level. 12 months is the most usual, however, you can also purchase 18 month and 24 month Period of Indemnities. To obtain this coverage a Company needs to prepare a Profits Worksheet to determine the required limit of insurance. After a loss, if the adequate limit was not insured, there can be a co-insurance penalty applied to the loss. As this coverage is the most extensive, pays the longest and for highest amounts, it also follows therefore that it is the most expensive.
Gross Earnings Business Interruption Insurance – more economical than Profits coverage, Gross Earnings covers the business’ loss of income until the business is back up and running. Similar to the Profits coverage, the business must complete a Gross Earnings Worksheet to determine the limit to be insured – and if the proper limit was not insured, there can be a co-insurance penalty applied to the loss. This coverage is more the middle ground in both coverage and premium.
Extra Expense Business Interruption Insurance – Extra Expense Insurance only covers the expenses the company incurs to get back up and running and does not cover Loss of Income at all. This insurance typically has lower limits and, with its more limited coverage, Extra Expense also has the most reasonable premium.
Commercial General Liability (CGL)
Section A: Bodily Injury and Property Damage – This coverage protects the policy holder when he/she is found legally obligated for damages of property damage or bodily injury to a third party arising out of his/her negligence and/or products. This also covers the policy holder’s Employees actions within the scope of their work (please note Professional Liability is excluded and must be covered by an Errors & Omissions policy – refer to common exclusions in the wording)
Section B.- Personal Injury & Advertising Injury Liability – This is only covered when there is a limit indicated on the policy declarations and in some cases, depending on the type of business insured, may not be available without a special policy. This coverage deals with damage to a person’s character, reputation and/or position in the community as a result of libel (in print) or slander (verbal defamation) and is intended to protect the policy holder accused of libel or slander.
Section C. Medical Payments – This coverage is to provide for a third party’s minor medical expenses for an injury that occurred on the policy holder’s premise – regardless if negligent or not. In essence, the coverage is offered as a way to hopefully avoid a costly law suit. This does not cover injury to employees and if there are tenants in the policy holder’s building, it does not cover tenants injured within their own suite. Again, please refer to wording for full list of exclusions.
Section D. Tenant Legal Liability – If you unintentionally cause property damage to the workspace you rent or lease this coverage would respond for the space you occupy.
Course of Construction / Builders Risk
Directors & Officers Liability
Employment Practices Liability
Equipment Breakdown Boiler and Machinery Insurance
Kidnap & Ransom
Umbrella Legal Liability
When there is a “package” purchased with an extension wording, typically there is a small amount of Portable Tools and/or Contractors Equipment automatically included in the wording. In this case, we would only need to list items when the value exceeds the extension or if the item value is over $1,000.
Portable Tools are typically defined as Portable Hand Tools. Something that is relatively easy to pick up and walk away with. Higher valued items (anything over $1,000) should be specifically scheduled, while lower valued items would have a Total of Miscellaneous Tools limit shown and not be required to be scheduled.
Contractor’s Equipment is typically defined as bigger items, not so easily transported. This could be Ladders, Scaffolding, Compressors, Band saws, to bobcats or welders, etc. These items are typically scheduled by item.
Product recall applies to both food type products, as well as other general merchandise. Completion of a Product Recall application, outlining manufacturing processes/quality control procedures would be required in order to obtain quotes for this type of insurance.
The Commercial General Liability wording specifically excludes allegations made due errors or omissions in plans, reports, surveys, drawings, opinions, reports, recommendations that professionals make.
Sometimes when we talk to new clients who are researching insurance due to a contractual requirement, we have ta a more difficult time as some people underestimate the importance of Errors and Omissions coverage. My thoughts are that, even if the allegations are groundless, can you afford the cost to defend the possible allegations? CISG considers that we have expertise in the special needs of Professionals.
Surety / Bonds / Fidelity
Some of the surety products offered would include:
- Bid Bonds, Consents of Surety & Pre-qualification Letters
- Performance & Labour & Material Payment Bonds
- Lien Bonds and Release of Hold Back Bonds
- Developer Bonds
- Pre-paid Contractor Bonds
Other Miscellaneous Surety Bonds including:
- Canada Customs Bonds
- Consumer Protection – Collection Agencies
- Consumer Protection – Debt Repayment
- Direct Sellers Bonds
- Driver Training Schools
Excise – Brewers and Spirits / Tobacco
- Foreign Employment Agency
- Home inspectors
- Private Investigator & Security Guards
- Real Estate Agent / Broker Bond
Other Miscellaneous Bonds as requested.