“No Better Time to Look Under the Hood –Do it Today!
It seems like clients do not make it a priority to review their current insurance coverages until a claim or lawsuit comes along and by then it is too late to do anything about protecting your company should it find itself on the wrong end of a claim and worse yet, find out there is no insurance coverage for the claim or lawsuit. Also in quite a few instances clients are under the impression that the one insurance policy they do have will cover all the potential perils that may be out there. Nothing could be further from the truth. When running your business, it seems that the months just fly by. When talking with clients about their renewal, they always seem to say, where did the past year go? Our suggestion is that you carve out some time and review all the insurance policies your company have to make sure you have the proper coverage for your particular company’s needs.
The first insurance policy(s) in Nevada that needs to be reviewed is your company’s:
General Liability: First step is to review your General Liability limits, confirm they at least two million aggregate and one million per occurrence. Next step is to review the terms, conditions exclusions and endorsements in your Nevada General Liability policy. Could there be exclusions in your policy that may affect your company should a claim have to be filed? In many cases General Liability policies are based on some combination of payroll and/or sales, so check to ensure the figures the policy was based on are the correct figures. Also, if you have suffered no claims, you may want to have your broker check to see if there are any other carriers that could possibly offer coverage at least of the same caliber you have now and hopefully secure additional coverages at a premium better than you are paying for with your current General Liability policy.
Workers Compensation Insurance:
An area that every business owner should pay very close attention to is their worker’s compensation rates, considering that in many cases this is their biggest insurance cost. With your company having employees and as we all know having worker’s comp insurance is a must, these comp costs can eat up a large part of your expenses. We suggest to our clients that a full review of their workers comp would be a good idea, starting with what class codes they are actually using and what codes they are being billed for and to make sure that what they are using and what the carrier is billing them for lines up. Also, we suggest that if their claim history is clean and their MOD report low, shop around to see what other carriers may be available and possibly lower their rates without reducing their coverage. In most cases companies may look to sub-out work and lower their comp premium. Workers Comp is an area that will need someone keeping a constant eye on it.
Businesses in quite a few cases will overlook the attention this area deserves. Should your business own its own building or multiple buildings, are your current property limits enough to cover the current value of the company’s real estate holdings? As most everyone knows real estate values have made quite a comeback in the last five to six years. We advise our clients to conduct a complete list of your company’s inventory, machinery, tools, office equipment, have the inventory figures increased in value over the past year or decreased? It is imperative that you have the proper limits to match the value of all the company’s property. We suggest you review your property holdings at least twice a year.
Commercial Auto Insurance:
Commercial auto coverage is one area of insurance that is very important for your company. When discussing commercial auto coverage with clients and prospects, in many instances the client/prospect tells us they already have an auto policy and in quite a few cases are convinced that their personal auto policy will cover their company’s needs. This could be true or false depending on your insurance carrier and their endorsements/exclusions and if you are not sure, you should call your carrier as soon as possible to find out exactly the coverage you have. If your company has commercial auto, it would beneficial to review your current coverage, are all the info regarding the vehicles up to date, including the correct values? Review all your drivers, including the MVR’s to ensure none of your drivers have something serious on their driving records. It might be wise if you do a review of your commercial auto coverage at least one a year and in some cases, it would be to your benefit to review every six months.
No two companies are alike and there could be additional coverages that your company may require. Here are a few of the coverages you should consider.
- EPLI Coverage
- Cyber Liability Insurance
- Directors & Officers Insurance
- Pollution Liability Insurance
- Umbrella Insurance Coverage
- Professional Liability Insurance
These are just a small example of insurance coverages that are available for your company. We suggest that at least one a year your company perform a thorough review of all your current insurance coverages, as well as consider what additional coverages you may want to add to protect your company’s interests. If PJO Insurance Brokerage can be of help in these areas, we would welcome the opportunity to work with your company on its insurance needs.
PJO Insurance Brokerage – Patrick O’ Neill
9850 S Maryland Parkway Suite A-5-262
Las Vegas, NV 89183
Office: 702-370-4799 / 877-234-5759