You keep track of the news routinely and know the risks of terrorism on everyday life. What about your business? A key factor to keep in mind is that if an act of terrorism occurs and it leads to losses suffered by other people related to your business, such as your customers, you could be liable for those losses. Terrorism insurance is a type of business insurance your company may need. Before you overlook its importance, it is vital to understand what it is and when you need it.
What is Terrorism Insurance?
This is a very specific form of business insurance that is offered as an addition or a separate policy to your existing policy. Your traditional business insurance policy does not cover terrorism-related losses. Terrorism coverage helps to minimize the financial impact of such situations on your business. It is a type of public and private risk sharing partnership that allows for the federal government as well as the insurance industry to shoulder some of the losses in the event that a significant event occurs.
Terrorism insurance can provide protection to your commercial establishment in the way of:
- Providing for financial protection for damaged or destroyed property such as equipment and buildings as well as furnishings and inventory in terrorism-related events.
- Offering for business interruption coverage in the event of a terrorism-related incident.
- Potentially providing coverage against liability claims made against your company that may be related to a terrorist attack.
There is no way for you to know what types of risks are present to your business, but with the help of a policy like this, you can minimize the losses you face. There are some types of exclusions from this policy such as for chemical, biological, nuclear or radiological attacks. Cyber risk are also not likely covered, though you may be able to obtain cyber insurance coverage.
If you have yet to consider the value of adding this type of protection to your current business insurance policy, do so now. Work closely with your insurance provider to learn more about your risks as well as the overall rewards that this type of insurance policy can offer to you.
Are you familiar with the benefits of your coverage? Call RV Johnson Insurance at (561) 745-8894 for more information on Stuart FL business insurance.