Newspaper delivery services deliver newspapers or magazines to homes and businesses. Newspaper delivery services are typically independent contractors who are responsible for providing their own vehicles and also must purchase their own business insurance to make sure their livelihood is protected.
Why Do You Need Newspaper Delivery Insurance?
Delivering newspapers isn’t a complex business, but it is unique. You probably use your own vehicle or employees' vehicles to do your work. If you or an employee causes an accident, your business will be financially responsible for any injuries or damage that are caused.
You may or may not own or rent office or warehouse space, but you need to protect any commercial property that you have, no matter where it’s located. And if any customers or members of the general public visit your commercial space, you’ll need to be able to pay if anyone is injured or you damage anyone’s property in the course of doing business.
If you have employees, your insurance needs become more complicated, because you’ll need to protect workers who are injured on the job.
What Does Newspaper Delivery Service Insurance Cover?
Commercial auto insurance is the most important business insurance policy you’ll need for your newspaper delivery service. In fact, if you’re a sole proprietor with no employees and you work out of your home, this may be the only business insurance you need, depending on your situation.
If you own a van or any type of vehicle that you use to make deliveries, your vehicles must be covered with commercial auto insurance. If you or one of your drivers causes an accident, it covers bodily injury and property damage that the driver is at fault for.
Commercial vehicle insurance for newspaper delivery services covers your cars, trucks, and any other vehicles you use for business. In addition to liability coverage, it provides collision, comprehensive, and uninsured motorist coverage.
Your commercial auto insurance can be tailored to your needs, and your coverage and premiums will be based on how your vehicles are used and who drives them. Each vehicle owned by your business or used for business purposes can be listed separately on your business auto policy, with corresponding coverage for each vehicle that can differ depending on the vehicle’s characteristics and the coverage it requires.
If you or your employees drive personal vehicles for business purposes, talk to your insurance agent about your need for non-owned auto liability insurance. It provides coverage for when personal vehicles are driven for business, which is typically excluded from personal auto insurance policies.
What Other Policies Do Newspaper Delivery Services Need?
If you have an office space, warehouse, and employees, you’ll have some more complex business insurance needs. Talk to an independent insurance agent about your need for the following:
- Commercial property insurance helps you rebuild or make repairs when an unexpected event—like a fire, a flood, hail, lightning, or a tornado—destroys your physical space. It helps you replace, rebuild, or repair computers, inventory, equipment, furniture, fixtures, and more after a covered event.
- Business interruption coverage reimburses you if you sustain a substantial loss of revenue or you must close your doors temporarily after some type of covered loss. If a fire damages your space, you may have to close for some time in order to make repairs and replace lost property. This coverage pays for lost income, salaries, and other expenses during that time. It may also help to pay for relocation expenses if you must set up a temporary space.
- Commercial general liability (CGL) insurance offers financial protection if a person is injured on your premises or if someone (vendor, delivery person, customer) sustains some type of property damage as a result of your business. If a vendor trips over an upturned rug, or an employee damages someone’s property while making a home newspaper delivery, this policy will cover the medical bills or repairs related to the accident. And it will pay for your legal expenses and any financial payouts if you are sued for additional damages.
If you have employees, you're likely to need workers’ compensation insurance. It pays for lost income and medical expenses for employees who are injured on the job.
What Is Home-Based Business Insurance?
If you work out of your home full-time, or even just some of the time, you may be uninsured or underinsured if you think you have coverage under your homeowners insurance policy. Your need for home-based business insurance depends on the size and scope of your business, the value of the business property kept in your home, and whether you invite members of the general public into your home for business purposes.
Whether you need home-based business insurance is an important conversation to have with your independent insurance agent. Here are the basics:
A typical homeowners insurance policy limits coverage for office equipment to around $2,500—not nearly enough to replace a computer, printer, phones, desk, fax, scanner, or other equipment or supplies you need for your business. And your homeowners policy will not cover business liability, loss or damage of business records, or damage caused by a business interruption.
If you have a home office, you have several options in order to make sure you have appropriate coverage:
- Endorsement to your homeowners insurance policy. You can add an endorsement to a homeowners insurance policy that provides more coverage for the home-based business or home office. This option is viable for one-person businesses without a lot of valuable equipment or business-related visitors. The endorsement will typically add about $2,500 in business equipment coverage as well as some additional liability protection at an affordable price.
- In-home business/home office insurance. Some insurance companies offer a specialty policy for in-home businesses or home offices. The in-home business policy includes certain features of business insurance policies designed for larger firms, but sometimes with much lower policy limits. A typical in-home business policy will provide $10,000 of business property coverage and a liability coverage limit typically between $300,000 and $1 million. It may also provide limited coverage for loss of valuable documents, accounts receivable, off-site business property, and use of equipment.
- Business owners policy: A BOP as described above is often recommended for home-based business owners who need more than $10,000 of business property coverage, as well as liability coverage for customer injuries and business interruption coverage.
How Much Does Newspaper Delivery Service Insurance Cost?
The cost of newspaper delivery service insurance will vary depending on the coverage that you need, as well as your unique risks. Whether you work out of an owned or lease commercial space or your home, whether you have employees, and how many vehicles you own or employ for deliveries will have an impact on your insurance costs.
The more risk exposures you have, the more you can expect to pay.
Find and Compare Quotes
An independent insurance agent can work with you one-on-one to determine the types and amounts of coverage you need. Your agent can get quotes from multiple insurance companies so you can evaluate the cost and coverage options and make the best choice.
Benefits of an Independent Insurance Agent
Independent insurance agents simplify the search process for finding the right newspaper delivery service insurance. They’ll walk you through some handpicked policy options and explain the details and options.
Most importantly, they’ll be there for you when claim time comes. They know the ins and outs of the process and will make sure your claim is handled appropriately.
The Lowdown on Online Quotes
Online quotes can be tempting. They are fast and easy to get—but are they accurate? And are you getting quotes for the right coverage? For business owners, choosing speed over accuracy can cost you.
Online quotes can’t and don’t see the whole picture. They can leave out important coverage that will leave you devastated if something unexpected happens. And they can leave out cost-saving opportunities that an agent can help you take advantage of.
Instead of getting an online quote, find an independent insurance agent now, and get one-on-one consultation and affordable options for the best coverage for your unique needs.
TrustedChoice.com Article | Reviewed by Paul Martin
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