Klint insurance guide
Business insurance without the jargon
Short answer: Business insurance is a set of coverages for different exposures, not one universal policy. A business owners policy may combine property, interruption and liability, but professional liability, cyber, vehicles and employee risks can need separate review.
Describe what the business actually does
Your industry label is only a starting point. Tell the licensed broker about services, products, premises, employees, vehicles, contracts, data and geographic operations. A home-based business may not be adequately protected by a personal homeowners policy.
For example, an office consultant and a retailer can both need liability insurance, but advice-related financial-loss allegations and customer injuries are not identical exposures. Ask which activities are named in the proposed policy and which are excluded.
Match coverages to exposures
| Coverage | Question to ask |
|---|---|
| Commercial general liability (CGL) | How are third-party bodily injury, property damage and relevant personal/advertising injury addressed? |
| Professional liability / errors and omissions | Which services and alleged errors are covered? Check claims-made terms, exclusions and reporting rules. |
| Business owners policy (BOP) | What property, interruption and liability are included, and what additional coverages are needed? |
| Cyber, crime, D&O or EPLI | Which data, crime, management or employment exposures are addressed? These terms are not interchangeable. |
| Workers’ compensation / commercial auto | What obligations apply to employees and business driving in the relevant jurisdictions? |
Read triggers, conditions and contracts
Claims-made and occurrence policies can respond to different timing conditions. Retroactive dates, reporting periods, exclusions and defense-cost treatment may matter as much as the headline limit. A certificate is not a substitute for the underlying policy.
State requirements and contract obligations vary. Klint’s educational review does not certify compliance with a client contract, provide legal advice or guarantee that a business-interruption loss will be paid.
Frequently asked questions
Does a BOP include every business coverage?
No. BOPs typically do not include every professional, employee, vehicle or specialized risk. Review the actual package and endorsements.
Are CGL and E&O the same thing?
No. They generally address different allegations and exposures. A business may need both, depending on its activities and policy wording.