If you have a successfully-operating location for your business, congratulations! That is something to be very proud of achieving. Now, you may be considering expanding to another location and need to know about the appropriate considerations regarding commercial insurance. As part of your planning for the expansion of your business, you will want to consult with your agent at Bryan Insurance Agency LLC, serving New Windsor, NY, for commercial insurance coverage.
Developing a Master Insurance Policy Structure
A master policy structure is useful to be certain that each location has appropriate coverage so that one location is not overinsured when compared to the other location that is underinsured.
The master policy structure covers all the basics, but also allows for each location to have different coverage based on specific location risks, such as weather risk from floods, hurricanes, or wildfires, different crime rates, and infrastructure risk, such as the distance to the fire department.
Property Valuations
Each site will have different property valuations based on the building(s), equipment, and inventory. Replacement cost may also be different depending on the location.
General Liability
General liability is greater for multiple locations because you have more customers, more employees, and more chances of accidents. You also have more perceived value in the community and may be considered "deeper pockets" for lawsuits.
Out-of-State Location(s)
If your new location(s) is out of state, you need to follow the rules of each state’s workers’ compensation system.
Umbrella Insurance
More locations create more risk. You can expand your commercial insurance coverage by having an umbrella insurance policy for excess liability coverage.
Business Interruption Insurance
Business interruption insurance may help with lost income and ongoing expenses if one location goes down to avoid some of the damage to the entire operation.
As you consider expanding your operations by adding a new location(s), talk to your agent at Bryan Insurance Agency LLC, serving New Windsor, NY, for a commercial insurance upgrade.