Common business and personal insurance quesstions, answered.
Gain insight to frequently asked questions.
We’ve got the answers to the most common insurance questions we are asked. And to make navigating the answers easier, we’ve broken the frequently asked questions into several categories. Nice and simple.
Search for questions by category.
Business insurance is tax deductible, as long as the insurance coverage is for the purpose of operating a business, profession, or a trade. Businesses may not deduct their business insurance premiums if the coverage is for the purpose of a self-insurance reserve fund or a loss of earning insurance policy.
At a 10,000 foot view, general liability commercial insurance covers slips, trips, and falls, meaning bodily injury and/or property damage to a third party. Professional liability insurance coverage is protecting your business against bad advice or guidance. Any time you give a professional opinion, advice, or guidance, you are opening yourself up to a professional liability claim.
Business income insurance provides reimbursement for lost revenue after a covered insurance loss. For a company that does not have a physical address that is crucial to its business, such as a contractor, business income insurance is probably not necessary. For storefront or main street businesses, like a coffee shop, business income insurance is a must.
Simply stated, a surety bond is a three-party agreement under which one party, the surety, guarantees to another, the owner or obligee, that a third party, the contractor or principal, will perform a contract in accordance with contract documents. In the case of a subcontract, the general contractor then becomes the obligee and the subcontractor is the principal.
Contract Surety Bonds
- Bid Bond — A bid bond provides financial assurance that the bid has been submitted in good faith and that the contractor intends to enter into the contact at the price bid and provide the required performance and payment bonds.
- Performance Bond — A performance bond protects the obligee from financial loss should the contractor fail to perform the contract in accordance with the terms and conditions of the contract documents.
- Payment Bond — A payment bond guarantees that the contractor will pay certain subcontractors, material suppliers, and all of the general contractor’s labor associated with the contract.
Miscellaneous Surety Bonds
In addition to contract surety bonds we provide a host of miscellaneous surety bonds including, but not limited to:
- Financial Guarantee Bonds
- License and Permit Bonds
- Maintenance Bonds
- Supply Bonds
A fidelity bond is a bond which will indemnify an insured for loss caused by a dishonest or fraudulent act of an employee covered under the bond. There are numerous types of fidelity bonds we can provide:
- Bankers Blanket Bonds—For Financial Institutions
- Union Bonds—Guarantees Wages and Fringe Benefits
- Bonds on Mercantile Establishments—Covers Dishonesty
- Disappearance and Destruction Bonds
- Commercial Blanket Bonds
- Bonds for Non-profit Organizations
- Blanket Position Bonds
- Pension and 401(k) Bonds
- Labor Organization Bonds
- Computer Systems Coverage
When it comes to personal insurance, should I have my home and auto insurance with the same company?
Absolutely, yes! If you can package your home insurance and auto insurance together with the same insurance company, you should do it. There could be significant cost savings involved, in addition to other benefits.
Yes. Claims for homes and claims and violations for autos do make a difference in the rating of your personal insurance policy. The impact depends on the severity of the insurance claim, and if you were at fault. Tickets and accidents will impact your insurance premiums for a three year period, while major tickets such as DUI and careless driving can impact your insurance rates for five years.
Yes. Your credit will be checked when an insurance company is rating a home or automobile personal insurance policy for you. This is an insurance score, which is slightly different than your credit score. The insurance score does not show as a hit on your credit, like other credit inquiries (multiple credit inquiries can actually lower your credit score).
Industry Insurance Specialization
At L. Calvin Jones, we stretch beyond the standard business insurance policy to offer specialized commercial insurance lines. Our agents understand that certain aspects of your business require more extensive coverage than supplied in a general business insurance policy. We will work with you to build a solid strategy for protecting your business from various risk factors. Our specialty insurance lines include commercial insurance policies, such as:
- Contractor Insurance
- Manufacturer Insurance
- Wholesaler and Distributor Insurance
- Habitational Insurance
- Restaurant Insurance
An independent insurance agent has the ability to shop your insurance through multiple insurance companies. Our job is to help you create the best insurance coverage package to meet your needs, and then go to the market and find the most competitively priced insurance company for those coverages.
Changing your insurance carrier has no effect on your credit score. You can change your insurance carrier as often as you like and it makes no difference to your credit score.
We know that things happen and there will be the unfortunate instances where you will have an insurance claim to report. The majority of our insurance companies have 24/7 insurance claim centers, and we would first advise you to call your insurance company in which you had the claim and report it to an authorized insurance representative. That being said, there are some advantages to calling our office to speak to us about your insurance claim.
Our dedicated insurance agents can advise you on what the effects of filing your insurance claim would be, and explain how the insurance claims process works. This will hopefully take the headache out of what already is a painful process. If it is an emergency, you should call your insurance provider directly to expedite the process.