Benefits of a Commercial Excess Liability Policy

Posted on August 25, 2023August 25, 2023 by Chad Ruiz

The future is unpredictable. That’s why safeguarding your company against unforeseen disasters and potential financial devastation is paramount. A standard insurance policy can provide essential coverage, but it may not always be sufficient to protect your business from large, unexpected losses. This is where a commercial excess liability policy becomes invaluable. In this blog, we’ll explore the benefits of commercial excess liability insurance and why it’s a crucial addition to your risk management strategy.

What Is Excess Liability Insurance?

Commercial excess liability insurance is a specialized coverage designed to protect your business from substantial and unexpected events that could lead to catastrophic financial consequences. Unlike standard insurance policies, which have predefined limits, excess liability insurance provides an extra layer of protection when your primary insurance coverage is exhausted. This extra coverage can provide a generous financial cushion beyond your insurance’s coverage, ensuring that your business remains financially secure even in the face of the most expensive claims.

Who Is Excess Liability Coverage Right For?

Commercial excess liability coverage is not limited to specific industries; it’s a versatile solution that can benefit a wide range of businesses. Some of the industries that can particularly benefit from this coverage include:

Manufacturers: Protecting against product liability claims and other manufacturing-related risks.
Real Estate: Shielding against unexpected property-related liabilities.
Retail Businesses: Covering various liabilities for clothing, department, and grocery stores.

Financial Institutions: Safeguarding against financial and professional liability.
Media Companies: Excluding media liability, this coverage can protect printers, publishers, and broadcasters.
Hotels and Motels: Ensuring financial stability in the hospitality industry.
Construction Contractors: Protecting against construction-related liabilities.
Wholesalers/Distributors: Covering various distribution-related risks.

Excess Liability Insurance vs. Commercial Umbrella Insurance:

It’s important to understand the distinction between excess liability insurance and commercial umbrella insurance:

Umbrella Insurance: This type of insurance enhances the coverage limits of your primary policies and fills gaps in those policies. This could include coverage for work-related injuries, property damage, certain lawsuits, and personal liability situations.
Excess Liability Insurance: It provides an additional layer of protection for losses that exceed the limits of your primary and umbrella policies but doesn’t extend coverage beyond those underlying policies. In other words, if your insurance policy covers the relevant event, but the amount required to resolve the issue is too high for your original policy, excess liability insurance can cover the difference.

To maximize your risk management strategy, it’s often advisable to have both commercial umbrella and excess liability coverage in place. The combination of these coverages ensures that your business is comprehensively protected against various liabilities and potential financial hardships.

Protect your business today

A commercial excess liability policy offered by Phil Klein Insurance Group can provide the peace of mind you need to prepare your business for anything. Our commitment to comprehensive commercial insurance and our dedication to building lasting client relationships make us the partner you can trust in safeguarding your business.

With the capacity to cover substantial losses and the flexibility to adapt to your industry-specific risks, this coverage is a valuable addition to your risk management portfolio. Don’t leave your business vulnerable to catastrophic financial consequences – speak with a PKIG agent today to discover how you can protect your business and ensure its long-term success.

What is Workers’ Compensation And How Does It Benefit Workers and Employers?

Posted on July 21, 2023August 4, 2023 by Chad Ruiz

Workers’ compensation insurance is a crucial component of any business’s risk management strategy. Signed into law nearly a century ago, “the grand bargain” is a cooperative arrangement between employers and employees that benefits everyone involved and aligns incentives of both parties. In this blog, we will explore why maintaining workers’ compensation insurance is essential for business owners and how it benefits both workers and employers.

Reason 1: Worker’s compensation aligns incentives

The workers’ compensation system has been referred to as the “grand bargain” between employers and workers because of how effectively it puts workers and employers on the same team in the event of an on-the-job incident. In this arrangement, employees that are injured while performing their job receive medical benefits and paid time off regardless of the fault of the injury. In return, employers are protected from lawsuits related to the injuries.

Reason 2: Legal Requirement

Importantly, workers’ compensation insurance is typically required by law in most states.

It’s important for business owners to understand the specific requirements that apply to their operations; you can determine your state’s requirements by visiting this resource. While the laws may vary by state, businesses with more than one employee are generally mandated to provide workers’ compensation benefits.

Don’t risk legal and financial penalties – get an instant quote for comprehensive worker’s compensation insurance through PKIG today! We’ll help you find a plan that meets your state’s requirements while staying within your budget. Speak with a PKIG agent to learn more about your options.

Reason 3: Employee Protection

Like all insurance, worker’s compensation is an investment in recovering from unexpected setbacks.

Accidents and injuries can happen even in the safest of workplaces. According to the Bureau of Labor Statistics, over 2.6 millions non-fatal workplace injuries and illnesses were reported in 2021. Workers’ compensation coverage acts as a safety net for injured employees, providing them with necessary medical and wage replacement benefits. By having this coverage in place, you demonstrate your commitment to the well-being of your workforce. Employees are given the resources they need to recover quickly, which allows them to get back to work faster.

Reason 4: Business Protection

Workers’ compensation insurance is not just about taking care of injured workers; it also safeguards your business. Without adequate coverage, a single major workers’ compensation claim could lead to substantial financial strain due to medical expenses, lost wages, and potential lawsuits. By investing in workers’ compensation, you protect your business from the potentially devastating costs associated with workplace injuries or illnesses.

Fortunately, an experienced workers’ compensation insurer like Phil Klein Insurance Group can provide valuable loss control services for a price you can afford. We work directly alongside you to develop a plan that suits the type of risks associated with performing work in your company’s field. You can get started with an instant quote here.

Conclusion

Maintaining workers’ compensation insurance is not just a legal requirement; it is a strategic investment in the well-being of your employees and the long-term success of your business. By protecting your employees and your business from the financial and legal ramifications of workplace injuries, you can ensure a safer and more productive work environment. If you’re ready to choose a workers’ compensation plan that suits your company’s budget and coverage requirements, look no further than Phil Klein Insurance Group. Our team of experts is dedicated to helping business owners make informed decisions and secure the right protection. Contact us today to ensure your business is properly covered and compliant with workers’ compensation laws.

What is Commercial Excess Liability Insurance?

Posted on June 29, 2023June 29, 2023 by Chad Ruiz

Protecting your business with the right insurance coverage is crucial, and commercial excess liability insurance can play a vital role in ensuring comprehensive protection. While a commercial general liability policy provides a solid foundation, it may have limitations when it comes to handling high-cost claims – this is where commercial excess liability insurance comes in. Let’s discuss what commercial excess liability insurance is and determine how it could help protect your business.

What is Commercial Excess Liability Insurance?

Commercial excess liability insurance, otherwise known as excess liability coverage or commercial excess liability insurance, is a type of insurance that extends the limits of an existing commercial general liability insurance policy. This means that the terms of the original plan don’t change, but rather this insurance provides a higher dollar limit to safeguard your business in case a claim exceeds the amount of your existing policy.

The most significant advantage of a commercial excess liability policy is the increased coverage limits it offers. By adding an excess liability policy to your existing insurance, you significantly enhance your protection against high-cost claims, which could provide a financial cushion for your business. For instance, if you have a general liability policy with a $1 million limit and add an excess liability policy with a $2 million limit, your total coverage limit would be $3 million.

This kind of additional coverage can be essential to ensuring your business can weather a potentially disastrous payout that may otherwise overwhelm your business’s available funds. Maintaining commercial excess insurance is an investment in the long-term health of your business by establishing a financial safety net for a worst-case scenario.

What does excess liability insurance cover?

As mentioned above, commercial excess liability insurance acts as an extension of an existing commercial liability plan, so the terms of coverage remain the same as the original plan’s terms. That being said, this type of insurance is most often utilized for the following types of policies:

General liability insurance – This type of insurance covers bodily and personal injury, property damage, and any associated legal costs that might result from these claims.

Commercial auto insurance – This insurance covers any injuries that might occur from driving a vehicle for company purposes.
Employer’s liability insurance – This insurance covers employer injury or illnesses that aren’t a part of workers’ compensation.

Does my business need excess liability coverage?

While all businesses should have some form of commercial insurance for worst-case scenarios, whether your business needs excess liability insurance depends on these questions:

Does your business participate in high-risk activities, like construction?

Are you confident your liquid assets will be sufficient to cover your company in case of large payouts?

As with all forms of insurance, excess liability coverage is an investment in protecting your business from the unknown. If there’s a possibility that your existing commercial liability insurance will be insufficient to cover your business, then you should consider purchasing excess liability insurance.

Conclusion

Investing in the long-term health of your business is money well spent for a business that intends on thriving well into the future, and PKIG is ready to help you find the best possible price on your excess liability coverage. With our extensive network of providers, you can compare a variety of plans to find the best coverage for your business without being stuck with any single company’s pricing and coverage options.

Contact PKIG today to partner with a reliable insurance provider that understands the unique challenges your business may face. With PKIG, you can rest assured knowing that your insurance coverage remains optimal and that your business is well-protected against potential risks and claims.