Made famous for its fried catfish and hush puppies, Mississippi is a Southern US state with a wealth of small business possibilities. The state of Mississippi is ranked tenth for cost of living, according to the 2011 CNBC Ranking of America’s Best States for Businesses, which helps to make it an ideal place for a variety of small businesses. Mississippi is home to the very first state college for women in the nation, the Mississippi University for Women located in Columbus. Having more tree farms than any other state, agriculture is a leading industry in the state, primarily for growing soybeans, corn, peanuts, pecans, and rice. The “Magnolia State” is a popular tourist spot for visitors of the Midwestern United States who want to enjoy small town life and some of the best seafood in the country. If you’re looking to start or expand an established business in Mississippi, be sure to learn about business insurance in Mississippi.
Standard Business Insurance Coverages in Mississippi
Business Owners Insurance in Mississippi is an insurance policy held by a business entity, also known as a BOP. It is an all inclusive insurance package for small businesses. It offers various types of property and liability coverages in a single bundle. A BOP integrates two primary coverages in a single policy: property insurance and general liability. The insurance coverage for employers transfers risk away from the business owner to the insurance company by providing security for various kinds of liability, like buildings, equipment, and legal liabilities. Common indemnity claims that business owners insurance coverage protects you from include: liability claims, essential documents, equipment collapse, fire, liability claims, employee dishonesty, money and securities, and property claims. Additional components not only for the Jackson, Mississippi business owner, but all over this Southern state, may be supplemented from the original BOP coverage depending on the feasible risks of the entity.
General liability insurance in Mississippi is strategically planned to offer protection for owners of small firms from financial burdens that may arise from careless acts, omissions, or both, caused by the business or its employees that may result in physical harm or property damage. Common types of exposures normally covered under general liability insurance are contractual liabilities, liabilities from merchandise sold, and accidents on the premises of the business. The injury or damage might be from carelessness or unintentional. General liability insurance for companies in the Hospitality State may be a single policy or can be part of a package or BOP policy.
A package policy in Mississippi is an exclusive type of insurance policy for a business entity that includes two or more different kinds of insurance into one insurance policy, a package. Common package policies in the state of Mississippi will combine general liability insurance (expounded on above) and commercial property (detailed below); although a package policy may be prepared to include practically every type of coverage, depending on the requests of the business. A package policy is attractive as it allows the business owner a great amount of flexibility to adjust to a policy — particularly for the unique needs and risk exposures of his organization.
Commercial Property Insurance in Mississippi is accessible protection coverage for a variety of commercial property, such as, important papers, building, materials, gear, furniture, inventory, and personal property. Commercial property insurance offers protection against various types of perils, including windstorm, hail, explosion, fire, theft, wreckage, natural disasters, and lightning strikes. A number of industries may benefit from this form of insurance, including clothing retailers, not-for-profit organizations, manufacturers of all kinds, and service-oriented organizations.
If a business has employees working for it, it needs to have Workers’ compensation insurance as part of its insurance portfolio. Workers compensation is essential to offer coverage against employee work-related injuries or work-related illnesses. Workers’ compensation insurance in Mississippi is a no-fault, state-mandated insurance structure that provides benefits to professionals who incurs injuries or an illness while on the job. Because the Magnolia State has a requirement for any firm with employees to carry workers’ compensation, they may be forced to pay large-scale fines and civil penalties along with it — if they fail to carry proper coverage, and might even be liable for the cost of injuries received by their workers. By having workers’ compensation insurance in the state of Mississippi, workers benefit from medical care and lost pay coverage with the provision that they will not sue their employer as a result of the injury or illness.
In the state of Mississippi, any company that owns at least one vehicle needs to be protected by commercial auto insurance. Commercial auto insurance in Mississippi offers monetary security to small business owners and their workers by providing coverage for a company’s use of vehicles such as trucks, vans, and cars. Commercial auto insurance offers protection against damages and medical costs that result from vehicle accidents, as well as vandalism and damage from hail storms and other natural disasters. Coverage for organizations in Mississippi include any type of vehicle whether they are rented, owned, leased, or hired by the company, along with employee-owned vehicles used for business purposes. For this latter reason, it’s recommended that enterprises acquire a commercial auto insurance policy, which is referred to as non-owned commercial auto insurance — if drivers use their own vehicle for tasks related to work.
Commercial umbrella insurance in Mississippi fills the opening between where your general liability insurance, commercial auto insurance, or other liability insurance stops. Your firm will benefit from umbrella insurance as a result of the coverage limits of your current liability policies. Commercial umbrella insurance in Mississippi is a crucial resource that fills in the gaps and covers an assortment of exclusions in your primary business liability coverage. Umbrella insurance is a splendid way to have added protection for property damage, bodily harm, or other types of liabilities.
Some Additional Business Insurance Coverages in Mississippi to Consider
Errors and Omissions insurance policies offer Mississippi employers and employees protection against lawsuits and claims filed by clients or customers for careless duties, negligent acts, errors, and oversights made through business practices that resulted in a loss of salary or productivity on the part of the customer or client. Errors and Omissions insurance in Mississippi covers legal defense and court costs, as well as settlements which is stated on the insurance contract. Medical doctors often require malpractice insurance, so executives that offer services or consulting advice, either directly or with subcontractors, should have errors and omissions insurance.
Professional liability insurance in Mississippi provides extra protection for workers, such as financial services personnel, auditors, and lawyers, from having to pay the full legal cost of defending against a claim of negligence, fault, failure to perform, or omission made by a client as well as damages owed in that claim. The coverage’s chief focus is on the financial loss on the part of the client from this type of supposed claim with respect to a product or service provided by the employee. Professional liability insurance may provide claim coverage, even if the legal actions turn out to be unsubstantiated. Professional liability insurance in Mississippi is required by law in a variety of professional industries, including medical and legal, but certain types of contracts in other industries require it as well.
Employment Practices Liability Insurance in Mississippi, also known as EPLI, provides small company owners with security against claims of discrimination, wrongful termination, sexual harassment, breach of contract, violating wage laws, false imprisonment, emotional agony, libel, slander, mental anguish, neglectful hiring and promotion decisions, and offensive claims. Employment practices liability insurance is based on the laws, acts, and protection from VII of the Civil Rights Act of 1964, Age Discrimination in Employment Act, and Family and Medical Leave Act — which are all enforced by the Equal Opportunity Employment Commission (EEOC) arm of the government.
Fidelity Bonds in Mississippi
Fidelity bonds in Mississippi are a unique type of insurance available for small business owners in the state to protect against losses, including fraud, embezzlement, or theft by one or more employees. Since compensation from employee fraudulent practices is naturally not available due to the cash already being spent, fidelity bonds provide an important safeguard for a company executive who would otherwise have to endure these monetary losses. Even if your business has additional security against these kinds of acts such as employee screening, internal controls, and watchful supervision, it isn’t always enough. Losses suffered from professional thefts of money, property, or securities are all covered under fidelity bonds insurance. The three main types of fidelity bonds include: business service bonds, standard employee dishonesty bonds, and ERISA bonds.
Surety Bonds in Mississippi
A surety bond is an agreement or contract shared between three separate and distinct parties: the principal, obligee, and surety (insurance company). It represents the pledge they will pay a specified sum if a party fails to meet a commitment, like fulfilling the terms of the contract. A surety bond protects the recipient from loss if the contract is not fulfilled, while the surety company takes on the liability for not performing. A surety bond is generally required for financial reimbursement. Owners of businesses in the state of Mississippi may require a surety bond to secure payment of utility bills or state sales taxes, while a contractor may need to post a bond to secure work or be qualified for licenses. While surety bonds in Mississippi are seen most often in the construction industry, they are also used by mortgage brokers, medical suppliers, auto dealerships, modern health clubs, traditional notary publics, and others. Since many firms need and use bonds, a wide array of types and features of surety bonds in the state of Mississippi offer a range of guarantees.
Many small businesses in Mississippi thrive in the state due to in part to its rich history and successful agriculture industries. But no matter what type of business you operate in Mississippi, whether it is a nursery in Jackson, or a tree farm in Gulfport, you can provide your entity with supplemental business insurance to offer additional protection outside of what your traditional business insurance will cover. While standard business insurance policies can cover common, everyday events, additional insurance policies safeguard your business from potential employee fraudulent acts, natural disasters, theft, liabilities, and additional types of risk exposures. Looking closely at your current insurance policies can give you a better idea of what risks you might not have fully covered and give you the chance for optimum insurance coverage.