The Inner Workings of Corporate Insurance Policies-What You Need to Know

Posted by on May 20, 2016 in company benefits | 0 comments

A corporate is a business organization that undertakes activities that involve high liability risks. This means that insurance is a must for any corporate regardless of which line of business it operates in. As a result of this necessity, many insurance companies have insurance policies designed for corporate organizations. These policies are commonly listed under corporate insurance.

What is Corporate Insurance

Corporate insurance is a form of insurance coverage extended to large organizations to help cover certain operational risks such as accidents, financial losses, employee health benefits and theft. Some types of insurance policies may protect individuals indirectly involved with the corporation.

Types of Corporate Insurance Policies
There are various types of corporate insurance policies. They include;
• General Liability. General liability usually protects the company and its affiliates against claims of negligence. Under normal circumstances, it covers for accidents and personal injuries.
• Property Insurance. Property insurance covers for any damage done to the corporation’s property by certain agents such as fire, smoke, vandalism and civil unrest. Some insurance companies also categorize normal business interruptions under property insurance.
• Director Insurance. This is a special type of insurance within large corporations meant to protect the directors and high-profile company officers from lawsuits and claims of company mismanagement.
• Corporate Health Insurance. Some large companies who have the interest of their employees at heart can go for corporate health insurance cover. This cover is meant to cater for the health needs of the workers during for the period of engagement with the company. This cover expires when an employee exits the company.
• Workers Compensation Insurance. This insurance covers any form injury, pain and suffering inflicted to an employee in the course of duty. It also covers the medical bills and lawsuits staged by the employee. This helps to settle employee benefit and other hassles that might come up when it comes to worker compensation.
• Business Umbrella Liability. This is an extra layer protection extended to a corporation. However, this policy is quite expensive and only offered in dire situations.

Corporate Insurance Policies Needs
Like mentioned earlier, every corporate organization needs an insurance cover. In some state such as Louisville, every company must have an insurance cover that explicitly covers its employees, its properties and any other business risk that might impact negatively on the public. Numerous insurance companies are willing to extend corporate healthcare insurance policy to any company in this area.

Benefit of Corporate Insurance Policies

Regardless of the success or size of a given corporate organization, disaster can strike at any time. Such disasters can cause a company to shut its doors. However, an insurance policy can keep it running again. For instance, compensation for a policy against property damage can make the business build itself once again. Insurance against business interruptions will help recover business losses incurred due to lack of sales. If a director or an employee becomes critically ill, the corporate healthcare insurance cover will provide a percentage of their income and also cater for medical bills.

Selecting an Insurance Company

Due to the complexity of corporate insurance, selecting an insurance company is best handled by a qualified individual from a trusted insurance company. If you are situated in Louisville KY area, you can contact a corporate insurance advisor who can then guide you in selecting the best insurance company.

What Else do you need?

You might also need additional insurance coverage depending on the line of business. Such coverage may include, auto insurance coverage, equipment floaters and many other commercial insurance policies not mentioned above. Your insurance agent should be in a position to advise you accordingly on this.