Insurance Information

Why do I need business insurance? Insurance is a way of managing risks. When you buy insurance, you transfer the cost of a potential loss to the insurance company in exchange for a fee, known as the premium. In some cases insurance is a requirement of a Vendor, Premise Lease, Equipment Lease, Mortgagee or other funding arrangements.

Commercial General Liability

Commercial General Liability covers those sums that the “Insured” becomes legally obligated to pay, arising out of the operations of the Insured as compensatory damages, including legal defense because of:

Bodily Injury – i.e., you manufacture your food product and during the manufacturing process, a foreign object (small pebble) was in the finished product. As a result, the consumer who eating your product bit down on the pebble and broke their tooth.
OR
Property Damage – i.e., you have a booth set up at a local market, trade show etc. The event is outdoors, and you have a pop-up tent which you have secured with sandbags or a brick which is tied at the legs of the tent. A strong gust of wind picks up the tent and is impales another vendor’s food cart.

Personal Injury and Advertising Injury Coverage

Means injury, other than bodily injury (i.e., including non-physical or neo physical injuries) arising out of one or more of the following offenses.

False arrest, detention, or imprisonment
Malicious prosecution
Wrongful entry into, or eviction of a person from, a room, dwelling or premises that the person occupies.
Oral or written publication of material that slanders or libels a person or organization or disparages a person’s or organizations’ goods, products, or services.
Oral or written publication of material that violates a person right of privacy.

Products and Completed Operations

PRODUCTS & COMPLETED OPERATIONS is a form of insurance coverage that protects you from customer lawsuits alleging property damage or injury due to your product or completed service.

Voluntary Medical Payments

Voluntary Medical Payments is paid for medical expenses for bodily injury caused by an accident:

on premises you own or rent
on ways next to premises you own or rent
because of your operations; regardless of fault (meaning the insured does not have to be negligent).

This includes reasonable expenses for:

first aid at the time of the accident
necessary medical, surgical, x-ray & dental services; including prosthetic devices, and
necessary ambulance, hospital, professional nursing & funeral services.

Tenants’ Legal Liability

Tenants’ legal liability provides coverage for accidental damage caused by the insured or his employee, to that portion of the building which the insured occupies as a tenant

Non-Owned Automobile

This protects the insured against Third Party claims arising out of some other person using their (the other person’s) vehicles in the business of the insured. Example: A business has one of the employees to go to the bank for them, and in doing so, the employee has an accident. Since the employee was on the business of the employer and the employer is responsible for the acts of his agent or servant, the employer may be sued if the employee was negligent in the operation of his vehicle. The Non-Owned Automobile policy protects the employer with respect to such suits.

*** This does NOT give any coverage to the person operating the vehicle. They must carry liability coverage on that vehicle to protect themselves!

Other coverages strongly recommended

Building
Equipment
Stock
Equipment Breakdown (including production machinery)
Manufacturing / Processing Property Endorsement
Manufacturing / Processing Errors & Omissions
Crime Coverage
Cyber / Privacy Coverage

Business Interruption

Business Interruption responds to financial loss and coverage is triggered when there is physical damage to property caused by an insured peril, fire, theft, water damage, flood, earthquake etc.
Coverage is individual for each business, Food Hub and tenant based on their business operations.
* Subject to the policy wording, conditions, and exclusions of the policy.