Frequently Asked Questions About
Commercial General Liability Insurance
How much does small business insurance cost?
Costs can vary widely based on industry and are also determined by zip code and often payroll and/or gross sales. Request a free quote to get an exact number. (read more)
What kind of business insurance do I need?
Most business owners need General Liability Insurance at the very least. If you have any non-owner employees, you will need workers compensation insurance too.
What is a Certificate of Insurance?
A Certificate of Insurance is proof of coverage. It lists the type and amount of liability coverage you have and other policy information when a third party requests it. (read more)
Is business insurance tax deductible?
Yes. you can deduct the cost of commercial insurance premiums. The IRS considers insurance a cost of doing business as long it benefits the business & serves a business purpose.
Directors and Officers Liability Insurance California
Directors and Officers Liability Insurance California. Directors and officers liability insurance provides a number of key protections to board members and directors that aren't provided by other personal or commercial insurance plans. Like all other forms of executive liability protection, these policies can be vital for avoiding the high costs of both frivolous and legitimate claims. Following is everything you need to know about these plans, including what they will cover and what they will not. You'll also find helpful information concerning some of the lesser-known but incredibly important provisions that this coverage provides.
A directors and officers liability California can help you attract and maintain qualified executives and board members.
Directors and Officers Liability insurance California protects your executives from lawsuits with rates as low as $37/mo. Get a fast quote and your certificate of insurance now.
What Directors And Officers Liability Insurance Is And Why It's Important
This directors and officers liability insurance California, often referred to as D&O insurance, this coverage protects officers and directors against legal claims that are made against them while serving as officers or on the board of directors. This type of coverage can be bound for professionals serving in this capacity for privately held firms, non-profit organizations and educational institutions. It is not unlike the malpractice insurance that lawyers, dentists and doctors maintain or the errors and omissions insurance that licensed professionals use as part of their comprehensive commercial insurance plans.
This is most true in the sense that D&O insurance will cover damages and legal expenses that are the result of managerial actions or decisions resulting in financial loss. Directors and officers are held legally and financially responsible for the decisions that they make on behalf of or affecting shareholders, client companies, creditors and investors. Claims of this nature are being seen in businesses with increasing frequency. Unfortunately, those who serve as officers and directors can be held personally liable for the resulting damages if this coverage isn't in place. It is also important to note that both non-profit and for-profit companies will need to bind this directors and officers liability insurance California to protect directors and officers if they hope to attract qualified board members and executives and retain the services of these individuals.
Why Homeowners Insurance And A Company's Indemnification Specifications May Not Be Sufficient
It is a common and costly myth that board members are covered by their home insurance policies. While their may exist certain protections for these individuals within their homeowners' insurance plan, these provisions are not guaranteed to cover all costs, nor are they guaranteed to be relevant all of the time. In short, people should not count on these policies to cover them for any association board service, even if they happen to be compensated for filling these rolls. The protections that do exist under certain CA homeowners insurance plans are rarely going to prove sufficient for cover all legal expenses and other costs from the average liability case.
It's additionally important to note that corporate indemnification specifications are not guaranteed to protect all board members in all instances. Indemnification serves as a corporation's front-line or primary protection against liability claims. Despite being incredibly broad in its coverage terms, corporate indemnification should not be considered as being unlimited in the purest sense of the word. This protection often has limits on its abilities to indemnify individuals. Moreover, insolvency can and often does have an impact on a business' ability to honor obligations pertaining to indemnification
There are many prospective board members who will be unwilling to accept their appointed positions if they lack protections under a company's indemnification specifications. There are others still, who insist on having a more extensive measure of protection through supplementary directors and officers liability insurance California or standalone D&O.
Tips For Optimizing Directors And Officers Insurance California
On the part of corporations, it is important to maintain a commitment to protecting directors and officers from financial and legal harm that might result from service in good faith. Not only is this critical for attracting the top talent or the most qualified people for these positions, but it can also play a major role in ensuring the maintenance of a good corporate reputation. When these protections are not provided by corporations or simply do not exist due to the nature of the individual's role, it is absolutely vital for directors and officers to take diligent steps to protect themselves.
Request a free quote to find out more about the best plans and policies for keeping you protected against both legitimate and frivolous claims. We can help you find cost-effective protections for your leadership role, whether you lack any current protections of this type or simply need a policy to successfully supplement other relevant forms of coverage that are already in place.
California Economic Data, Regulations & Limits On Commercial Insurance
If you are an entrepreneur and you considering having your operations located in California, it's essential that you have a full understanding about the economy of the state, as well as the regulations and limits that are in place for commercial insurance.
If you are considering opening up a business in the Golden State, you first want to make sure that it is a sound location for your operations. That means that you should understand some key information related to the state's economy, as well as the types of insurance coverages that businesses are legally required to carry.
Economic Trends For Businesses In California
In terms of job creation, the state of California exceeds rate of job growth in the United States; however, as the state's metropolitan areas are reaching employment capacity, job growth is starting to slow. In 2017, the rate of growth was 2.1 percent, which is the slowest rate of growth since 2011; but it is still expected to increase by 1.8 percent by the end of 2018, and 1.2 percent by the end of 2019.
In the month of April, the unemployment rate in California dropped to 4.2 percent, which is a record low. This unemployment rate is expected to remain consistent for the rest of the calendar year; however, it's forecasted that the rate will start to increase in 2019.
The strongest labor market in the state is in the Bay Area, where the unemployment rate was 3.4 percent in 2017. Southern California follows, with an unemployment rate of 4.5 percent in 2017. In the Central Coast region, the rate was 5.4 percent and in the Central Valley, it was 6.6 percent. While the unemployment rate is considered high in these areas, they have decreased dramatically over the last 12 month period.
The industries that are expected to see the most growth in CA include:
- Information Technology
CA Commercial Insurance Regulations And Limits
The California Department of Insurance regulates insurance in the Golden State. In the state of CA, commercial liability insurance is not required; however, since the state does not cap rewards for liability law suits, business owners are wise to invest in this type of coverage. The amount of coverage recommended varies depending on the size of the business and in the industry.
Workers' compensation insurance is the only type of coverage that business owners are required to have. This applies to any organization that employs a salaried or hourly staff, even if that staff only consists of one employee. Furthermore, if an employee is injured or becomes ill as a result of work, business owners must pay for CA workers' comp benefits.
Additional Resources For Small Business Insurance
Protect your company and employees with the right commercial insurance policies. Read informative articles on small business insurance coverages - and how they can help shield your company from legal liabilities.
- Small Business
- Business General Liability
- Business Liability
- Business Owners Policy (BOP)
- Certificate of Insurance
- Commercial Auto
- Commercial Umbrella
- Comprehensive General Liability
- Directors and Officers Liability
- Cyber Liability
- Employers Liability
- Employment Practices Liability
- General Liability
- Home Based Business
- Independent Contractor
- Liability Insurance Certificate
- Liability Insurance
- Professional Liability
- Workers Compensation Insurance
Your small business faces many potential disasters including: fire, floods, theft, equipment breakdown, lawsuits from clients or customers and current & former employees. Any many other risks you haven't even thought about.
A small business commercial insurance program should provide protection for both larger and smaller disasters. The obvious things like fire, flood and theft most business owners think about... but what if a hacker infects your computers with a virus - and files containing private customer information like credit card and Social Security numbers are stolen?
Who is going to pay to fix your customers credit rating etc...? Will your insurance pay for the cost? You need to know that.
Your commercial insurance program should cover events that can close down your company, or cause it to lose revenue. Anything less than that is not enough coverage. Commmercial insurance doesn't cover everything, and all policies have exclusions and limits.
You need a written plan that allows you to get your operations back up and running as quick as possible.
Request a free Directors and Officers Liability Insurance California quote in Alameda, Alhambra, Anaheim, Antioch, Apple Valley, Bakersfield, Baldwin Park, Bellflower, Berkeley, Buena Park, Burbank, Camarillo, Carlsbad, Carson, Chico, Chino Hills, Chino, Chula Vista, Citrus Heights, Clovis, Compton, Concord, Corona, Costa Mesa, Daly City, Davis, Downey, El Cajon, El Monte, Elk Grove, Escondido, Fairfield, Folsom, Fontana, Fremont, Fresno, Fullerton, Garden Grove, Glendale, Hawthorne, Hayward, Hemet, Hesperia, Huntington Beach, Indio, Inglewood, Irvine, Lake Forest, Lakewood, Lancaster, Livermore, Long Beach, Los Angeles, Lynwood, Manteca, Menifee, Merced, Milpitas, Mission Viejo, Modesto, Moreno Valley, Mountain View, Murrieta, Napa, Newport Beach, Norwalk, Oakland, Oceanside, Ontario, Orange, Oxnard, Palmdale, Palo Alto, Pasadena, Perris, Pleasanton, Pomona, Rancho Cordova, Rancho Cucamonga, Redding, Redlands, Redondo Beach, Redwood City, Rialto, Richmond, Riverside, Roseville, Sacramento, Salinas, San Bernardino, San Buenaventura, San Diego, San Francisco, San Jose, San Leandro, San Marcos, San Mateo, San Ramon, Santa Ana, Santa Barbara, Santa Clara, Santa Clarita, Santa Maria, Santa Monica, Santa Rosa, Simi Valley, South Gate, Stockton, Sunnyvale, Temecula, Thousand Oaks, Torrance, Tracy, Turlock, Tustin, Union City, Upland, Vacaville, Vallejo, Victorville, Visalia, Vista, Walnut Creek, West Covina, Westminster, Whittier, Yorba Linda, Yuba City and all other cities in CA - The Golden State.
Quotes from leading small business insurance carriers including: ACE, AmTrust, Chubb, Cincinnati, CNA, Colony, Employers, Evanston, Fireman's, Foremost, Guard, Hanover, Hiscox, Liberty Mutual, LLoyd's of London, Markel, MSA, Nationwide, Penn America, Philadelphia, Prime, Progressive, Scottsdale, The Hartford, Travelers, USLI, Utica First, Western World, Zurich & others.