Nicknamed the “Evergreen State,” Washington is a beautiful and scenic state with some of the most magnificent forests in the country, as it is known for its many varieties of trees. Agriculture and farming is a prevailing industry in Washington. Not only is the state a leading producer of apples, but also peas, lentils, hops, pears, red raspberries, sweet cherries, apricots, asparagus, spearmint oil, grapes, and peppermint oil. Washington is home to several Fortune 500 companies including Microsoft, Starbucks, Amazon and Costco. The state is also ranked fifth in technology and innovation and eighth for access to capital by the 2011 CNBC Top States for Business. Manufacturing is also a leading industry in Washington, including the production of aircraft, missiles, shipbuilding, lumber, food processing, metal products, chemicals, and transportation equipment. Tourists of Washington enjoy visiting the North Cascades National Parks, Mt. Rainier, Mount St. Helens, Whitman Mission, Pacific Science Center and the Space Needle in Seattle. With all the state has to offer, a small business in Washington has a plentitude of opportunities. But along with these opportunities, comes risk, so it is important that business owners obtain the proper business insurance in Washington as well.
Standard Business Insurance Coverages in
Business Owners Insurance in Washington is an insurance policy held by an entity, also identified as a BOP, as a detailed small business insurance package that offers a variety of liability coverages in a single bundle. A BOP integrates two main coverages in one policy: property insurance and general liability. The insurance coverage for business owners in the state of Washington transfers risk away from the business executive to the insurance company by giving them added protection for different types of liability; including dwellings, equipment, and liabilities for legal reasons. There are a variety of distinctive indemnity claims that business owner’s insurance coverage protects you from including: wage loss, specialized liability claims, important paperwork, broken equipment, fire, employee deception, money and securities, and property claims. Other components for the organization in Washington may be supplemented from the original BOP coverage depending on the probable risks of the enterprise.
General liability insurance in Washington is cautiously developed to provide security and protection for small business owners from financial burdens that can occur from irresponsible acts, omissions, or both, caused by the employer or their staff and may result in bodily injury or property damage. Contractual liabilities, liabilities from goods sold, and accidents on the premises of the business are some of the more common types of exposures covered under general liability insurance. The injury or damage might be unintentional or a result of negligence. General liability insurance for Washington firms may be one policy or can be a combination of policies.
A package policy is an exclusive type of insurance policy for an owner of a Washingtonian company that includes two or more different types of insurance into a single insurance policy, referred to as a bundle. Typically, a package policy in The Evergreen State will combine general liability insurance (described above) and commercial property (described below); although a package policy can also be organized to include nearly any type of coverage which depends on the unique requirements of the business.
Commercial Property Insurance in Washington is a type of security coverage for different types of Washington-based commercial property, such as, important documents, building, materials, equipment, furniture, inventory, and personal property. Commercial property insurance provides protection against different types of perils, including windstorm, hail, explosion, fire, natural disasters, theft, wreckage, and lightening strikes. A variety of professional industries feel more protected with this sort of insurance, including retailers, not-for-profit entities, manufacturers, and businesses related to the service industry.
Washington is a monopolistic state and therefore workers’ compensation insurance is only available through the State’s Workers’ Comp Commission.
Washington small business owners, whether they have one or several vehicles, needs to be protected by commercial auto insurance. Commercial auto insurance in Washington provides financial security to employers and their drivers by offering coverage for a company’s use of vehicles including trucks, vans, and cars. Commercial auto insurance offers security against paying for damages and medical costs that may result from vehicle accidents, vandalism and damage from hail storms and other unpredicted events. Coverage includes different types of vehicles including those that are rented, owned, leased, or hired by the business owner, as well as vehicles owned by the employees and used for business operations. Because of this reason, it’s recommended that organizations purchase a commercial auto insurance policy if employees use their personal vehicle for job-related duties; this is known as non-owned commercial auto insurance.
Commercial umbrella insurance in Washington is beneficial to business owners due to the coverage limits of their existing liability policies, and since they don’t normally cover all expenses in the case of an unexpected and calamitous event occurs. Umbrella insurance fills the gap between where the general liability insurance and the commercial auto insurance or other liability insurance stops. Commercial umbrella insurance for business professionals in the state of Washington is an important resource that fills in the gaps in their primary business liability coverage. Umbrella insurance — as its name implies — is a helpful way to have additional protection for property damage, bodily harm, or other types of liabilities.
Some Additional Business Insurance Coverages in Washington to Consider
Errors and Omissions insurance policies offer employers and individuals in Seattle, Washington a type of protection against claims and lawsuits made by clients or customers for careless duties and acts, errors, and oversights made through various business operations which resulted in lost wages or production on the part of the client or customer. Errors and Omissions insurance in Washington cover legal defense and court costs for business owners, as well as settlements which is included on the insurance contract. As surgeons require malpractice insurance to protect themselves, owners of small firms in the state of Washington should have errors and omission insurance, especially if they, directly or through contractors, offer services or consulting advice.
Professional liability insurance in Washington provides protection for staff, such as accountants, financial analysts, and general contractors, from being accountable for paying the legal cost of defending against errors, negligence claims, failure to perform, or omission which was made by a client, along with damages allocated in that claim. The coverage’s main focus is on the financial burden on the part of the client from this type of Professional liability. Insurance may offer claim coverage to the employees, even if the legal actions turn out to be unsound. Professional liability insurance in the Evergreen State is required by law in a variety of professional practices, including medical and legal, but is also mandatory in other industries according to contract.
Employment Practices Liability Insurance, frequently referred to as EPLI, gives small business owners protection against claims of discrimination, unlawful termination, sexual harassment, breach of contract, wage law violations, false imprisonment, emotional misery, libel, slander, mental distress, neglectful hiring and promotion decisions, and offensive claims. Employment practices liability insurance in Washington 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; the Equal Opportunity Employment Commission (EEOC) enforced all of these laws.
Fidelity Bonds in Washington
Fidelity bonds in Washington are a unique variety of insurance offered to businesses in order to protect against losses, like fraud, embezzlement, or theft by one or more employees. Since reimbursement from member or staff deceitful acts usually implausible due to the cash already being spent, fidelity bonds are an important security measure for firms who would otherwise have to suffer these financial losses. Even if your business has extra security against this type of fraud, such as employee screening, close supervision, and internal controls, it doesn’t always prevent it. Losses accrued from staff thefts of money, property, or securities are all covered under fidelity bonds insurance in Washington. There are three prinicpal kinds of fidelity bonds; business service bonds, standard employee dishonesty bonds, and ERISA bonds.
Surety Bonds in Washington
A surety bond is an important contract or agreement shared between three parties: the principal, obligee, and surety (insurance company). The surety bond acts as a guarantee that the party will pay an agreed upon amount if one of them fails to meet a commitment, such as fulfilling the terms of the contract. A surety bond protects the receiver from monetary loss if the contract is not fulfilled, while the surety company takes on the liability for not performing. A surety bond is usually required for economic compensation. Owners of Washington-based enterprises 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 secure work or be qualified for licenses. While surety bonds in Washington are seen most often in the construction industry, surety bonds are often utilized by lending brokers, automobile dealers, medical equipment suppliers, workout clubs, notary publics, and others. Since many small businesses need bonds, a variety of types and features of surety bonds in the Pacific Northwest state of Washington offer a range of guarantees.
Whether you operate a deli in Seattle or a hair salon in Spokane, business insurance should be top priority. Small businesses in Washington are highly successful due to the diverse economy and high level of tourism in this beautiful state; therefore business insurance should be carefully planned out. Luckily in Washington, business owners have a variety of supplemental business insurance plans to choose from that break the barrier of standard business insurance policies. Coverage for accidents, liabilities, litigations, fire, theft, and natural disasters is crucial if you want to protect your business and assets from such risk exposures.