Surrounded by the Great Lakes region, Indiana is favored with a number of metropolitan areas among its midst including Indianapolis, Fort Wayne, South Bend, and Gary. This means your growing business will have a steady supply of talent to tap into as your business in Indiana expands. Although a large component of Indiana’s economy comes from manufacturing, businesses in Indiana include pharmaceuticals, medical devices, automobile dealers, electrical companies, and a host of diverse small businesses. Hoosiers who operate a company in this Midwest state know that they need business insurance in Indiana. Here’s an overview of the most common types of business insurance in Indiana you should be aware of.
Standard Business Insurance Coverages in Indiana
Business Owners Insurance in Indiana is an insurance policy held by an entity, commonly referred to as a BOP, as a broad small business insurance package that provides a number of liability coverages in one bundle. A BOP integrates two chief coverages in a solitary policy: property insurance and general liability. The insurance coverage for employers in Indiana transfers risk away from the leader of the organization to the insurance company by providing protection for a range of liability, such as buildings, equipment, and legal liabilities. Common claims that small business owners insurance coverage protects you from are: injury to an employee, income loss, specialized liability claims, important papers, equipment failure, fire, authorized liability claims, employee fraud, money and securities, and property claims. Additional components for the Indiana enterprise may be supplemented from the original BOP coverage depending on the probable risks of the business.
General liability insurance in Indiana is offered to Indiana small business leaders as protection from financial burdens that may rise from thoughtless acts, omissions, or both, caused by the company or their employees that sometimes result in physical harm or property damage. Common types of exposures typically covered under general liability insurance are contractual liabilities, liabilities from goods sold, and accidents on the premises of the company. The injury or damage might be from lack of concentration or unintentional. General liability insurance for Indiana small business owners may be a single policy or can be part of combined policies.
A package policy is an exclusive type of insurance policy for a business administrator that includes several types of insurance placed into one insurance policy, a bundle. The typical package policy in the Hoosier State combines general liability insurance (described above) and commercial property (described below); keep in mind a package policy may be prearranged to include nearly every type of coverage, which depends on the needs of the business. A package policy is recommended to a small business employer as it allows for an excellent range of flexibility to adapt to a policy primarily for the individual needs and risk exposures of the entity.
Commercial Property Insurance in Indiana is accessible protection coverage for a range not only for of Indianapolis, Indiana commercial property, but for properties throughout the state. It includes important documents, building, equipment, products, furniture, inventory, and personal property. Commercial property insurance offers protection for Indiana-based entities against various types of perils, including windstorm, hail, explosion, fire, burglary, wreckage, natural disasters, and lightening strikes. Various industries may benefit from commercial property insurance, including retailers, manufacturers, not-for-profit entities, and service-oriented organizations.
The state of Indiana requires that any company with employees working for them have Workers’ compensation insurance to provide coverage against employee work-related injuries and occupational illnesses. Workers’ compensation insurance in Indiana is a no-fault, state-mandated insurance program that offers benefits to any employee suffering injuries or illnesses during work. Because Workers’ compensation is required in Indiana, the company may be liable for fines and civil penalties if they fail to carry it, and can also lead to the company to being responsible for the cost of injuries sustained by their employees. By having workers’ compensation insurance for your Indiana small business, employees benefit from medical care and lost wage coverage with the guarantee that they will not sue the company as for the injury or illness.
As a Hoosier business owner with at least one vehicle, your company should be protected by commercial auto insurance. Commercial auto insurance in Indiana offers monetary protection to business leaders and their employees by providing coverage for that enterprise’s use of trucks, vans, cars, and other vehicles. Commercial auto insurance provides protection against damages and medical costs that result from accidents, as well as vandalism and damage from natural disasters such as hail storms. Coverage for Indiana small businesses includes vehicles which are owned, rented, leased or hired by the organization leader, and includes vehicles owned by employees who use their vehicle for company duties. For this reason, it’s recommended that businesses obtain a commercial auto insurance policy if workers use their own vehicle for business operations; this is called non-owned commercial auto insurance.
Commercial umbrella insurance in Indiana fills the gap between your general liability insurance and your commercial auto insurance since these types of liability policies might have coverage limits and not cover all expenses from events that are deemed disastrous and unforeseen. Umbrella insurance is a recommended resource for business owners in Indiana because it fills in the holes and covers a variety of exclusions in your primary business liability coverage. Umbrella insurance is an excellent way to have additional security for property damage, bodily injury, or other types of liabilities.
Some Additional Business Insurance Coverages in Indiana to Consider
Errors and Omissions insurance policies provide small business owners in Indiana and individuals with protection from lawsuits and claims made by customers or clients for negligent acts, neglectful duties, errors, and oversights that might be made through business operations and resulted in a loss of wages or production on the part of the client or customer. Errors and Omissions insurance in Indiana provides help with legal defense and court costs, as well as with settlements which is detailed on the insurance contract. Just like physicians having malpractice insurance, owners of organizations should have errors and omissions insurance in that they offer services or consulting advice, whether with subcontractors or directly.
Professional liability insurance in Indiana offers added protection for employees, including financial analysts, CPA’s, and general contractors, from being liable for the legal cost of defending against a claim of carelessness, errors, failure to perform, or omission made by a client, along with damages owed in that claim. The coverage’s main focus is on the monetary loss on the part of the client from this particular kind of claim with respect to the goods or service provided by the worker. Even if the legal actions turn out to be unproven, professional liability insurance may offer claim coverage for the Indiana organization. Professional liability insurance in the Hoosier State is required by law in different types of industries, primarily in medical and legal, but is also required by contract in other industries.
Employment Practices Liability Insurance in Indiana (EPLI) provides protection to professionals for accusations of discrimination, wrongful termination, sexual harassment, mental distress, neglectful hiring and promotion choices. Employment practices liability insurance is based on the laws, acts, and protection from Title VII of the Civil Rights Act of 1964, Age Discrimination in Employment Act, and Family and Medical Leave Act — all of which the Equal Opportunity Employment Commission (EEOC) enforces throughout Indiana and the country at large.
Fidelity Bonds in Indiana
Fidelity bonds in Indiana provides small companies with protection against losses, such as embezzlement, fraud, or robbery by one or more of their employees. Reimbursement from these types of acts is usually not plausible since the money is often already spent, so fidelity bonds offer businesses a safeguard against having to endure these types of financial losses. Even companies with additional protection against these types of dishonest acts, including employee screening, internal control, and close supervision, it doesn’t always cover everything. Monetary losses suffered from employee thefts of money, property, or securities, are covered under fidelity bonds insurance in Indianapolis, Indiana. The three main types of fidelity bonds include business service bonds, standard employee dishonesty bonds, and ERISA bonds.
Surety Bonds in Indiana
A surety bond is a necessary agreement or contract shared mutually between three parties: the principal, obligee, and insurance company, or surety. The surety bond represents a promise they will agree to a specific amount if a party fails to meet their commitment, such as fulfilling the terms of the contract. A surety bond offers security to the recipient from loss if the contract is not fulfilled, while the surety company assumes the liability for not performing. A surety bond is typically required for monetary compensation. Owners of Indiana-based entities may require a surety bond to assure payment of utility bills or state sales taxes, while a contractor may need to post a bond to guarantee work or be eligible for licenses. While surety bonds in Indiana are generally used in the construction industry, surety bonds are also used by mortgage brokers, medical suppliers, auto dealers, health club owners, notary publics, and others. Since many small businesses need and use bonds, there are a variety of types and features of surety bonds in the state of Indiana provide a range of guarantees.
Running a small business in Indiana is something to be proud of. Indiana has been receiving accolades for being one of the best states to do business in. In fact, it received the honor of being the sixth best state to do business in in the nation in 2011, according to Chief Executive’s magazine. But whether your business is a auto repair shop in Indianapolis or a diner in Fort Wayne, rest assured that you are protected financially with proper business insurance in Indiana.