The city of Lawrence, MA, is home to more than 5,000 businesses. From the New Balance shoe manufacturing plant to the many shops that line Broadway, these companies play a crucial role in maintaining a healthy local economy. Business insurance can help them stay profitable during disasters.
Selecting the right commercial insurance products for your business can be complicated, but you do not need to do it on your own. Independent agents in Lawrence can help you identify your company’s specific risks and can recommend the best policies to cover against them. Contact an insurance agent near you to learn more.
Why Do Lawrence Businesses Need Liability Insurance?
Liability insurance is a crucial part of every business insurance policy package. It is designed to pay your company’s court costs, legal fees, and damages if your business is sued for a covered event.
You will need to be sure that you have the right kinds of liability insurance to cover against each of the specific risks faced by your Lawrence business. A local independent agent can help you determine your company’s specific needs.
Some of the many commercial liability products that are available to you include:
- Premises liability insurance: This covers lawsuits related to third-party injuries, illnesses, and property damage that occurred due to an accident on your business premises.
- Product liability insurance: This covers lawsuits related to third-party injuries, illnesses, and property damage that was caused by defects in products that your business produces, sells, or promotes.
- Cyber liability insurance: This covers against financial losses and liabilities if cybercriminals hack into your computer system and steal sensitive customer data such as financial information, social security numbers, or personal data.
- Employment practices liability insurance: This covers lawsuits related to accusations of illegal employment practices such as discrimination, harassment, breach of contract, and wrongful termination.
- Pollution liability insurance: This is beneficial for businesses that use or produce toxic substances. It can cover cleanup costs and damage if an accident leads to the pollution of the ground, water, or air.
You can learn more about these and other commercial liability coverage options by consulting an independent insurance agent in Lawrence.
What Insurance Products Cover Your Business Property?
Commercial property insurance is included in all business policies. It is designed to cover against loss or damage to your commercially owned property. This insurance covers a wide range of assets including such things as computers, furniture, supplies, merchandise, and more.
Businesses in Lawrence, MA, are most likely to experience property loss or damage due to hazards such as property crimes, structure fires, severe storms, heavy winds, hail, and hurricanes. Fortunately, commercial property insurance is designed to cover against each of these risks.
Sometimes, additional property insurance products are necessary. Depending on your business’s scope and industry, your insurance agent may recommend adding:
- Inland marine insurance: This covers your company’s portable property whenever it is in transit or is stored away from your place of business, such as while on location at a job site.
- Bailee insurance: This covers your customer’s property whenever it is in your care, custody, or control, such as if you are providing repair or maintenance services.
- Boiler & machinery insurance: This covers the cost to repair or replace a broken down furnace or other machinery and can also cover any business losses associated with mechanical malfunctions.
- Commercial flood insurance: This covers damages caused by flooding. It is necessary for many businesses, particularly those located near the Merrimack and Spicket Rivers because flood damage is specifically excluded from commercial property coverage.
A local insurance agent can help you be sure that all of your business assets are appropriately covered, and that your coverage limits are high enough to enable you to rebuild, repair, or replace, when necessary.
Is Business Interruption Insurance a Good Idea in Lawrence, MA?
A major disaster like a fire or a hurricane can do more than just damage your business’s property. If the damage is particularly severe, it could also force your business to remain closed for several weeks while repairs are made. This can be financially devastating for many small businesses.
Disasters in Massachusetts
- Number of federally declared disasters in MA since 1953: 54
- Most common reasons for declared disasters: Severe storms, hurricanes, and heavy snows
- Average number of tornadoes in MA per year: 1.4
Business interruption insurance provides a solution to this problem by providing your company with a continuation of income until you can resume normal operations.
When you have this insurance, your business can afford to pay regular monthly expenses such as utility payments, loan installments, and employee salaries even though your business is temporarily unable to generate revenue.
Business interruption insurance is not right for every business. Consult a local independent insurance agent for advice about whether or not this coverage is a good fit for you.
Do Businesses in Lawrence Need Workers’ Compensation Insurance?
As a business owner in Lawrence, you are required to provide a safe and healthy workplace for your employees. Unfortunately, even when all reasonable precautions are taken, workers sometimes get hurt.
If this happens, your business is responsible for covering your employee’s medical bills and related financial losses. That is why all employers in Massachusetts are required to carry workers’ compensation insurance. There are exceptions. For example, it is not necessary to buy coverage for:
- Sole proprietors, corporate partners, or LLC members
- Domestic servants who work less than 16 hours per week
- Workers who are engaged in interstate or international commerce
- Salespeople who work in real estate or who sell consumer goods and are paid by commission
Workers’ compensation insurance is designed to protect your business from liability losses by covering the cost of medical treatment, disability pay, and other expenses related to these workplace injuries. In the event of a fatal work-related injury, workers’ compensation insurance can also provide long-term benefits to surviving family members and dependents.
What about Insurance Products for Employee Benefits Packages?
While it is true that health insurance can be rather expensive, offering subsidized coverage to your employees may have cost-saving benefits.
Businesses that offer competitive employee benefits packages find it easier to attract and retain the most qualified employees, according to various studies conducted by human resource professionals. Additionally, employees with health insurance tend to call in sick less often.
- Annual amount spent on healthcare coverage by MA businesses: $1,064,684,000
- Average annual cost of health care in MA: $6,379/person or $17,424/family
When shopping for products to include in your employee benefits package, you will discover that there are many different health and life insurance options available for you to choose from. This can make it difficult to determine which policies are the best choices.
An experienced independent insurance agent in Lawrence can go over the pros and cons of each of your various options so you can make the most informed decision.
Why Work with an Independent Insurance Agent in Lawrence, MA?
Every business has specific risks and exposures. Insurance companies therefore enable business owners to fully customize their commercial insurance coverage. Independent agents can offer guidance and can shop around to help you find the best and most affordable policies to cover your business.
Find an insurance agent with an office in Lawrence to get more information. You will soon discover how easy it can be to build a comprehensive business insurance policy package for your company.
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