Business insurance is a must when you’re starting or running a business. However, finding the right coverage can be challenging. You need to know what’s available and how much your company needs. Business insurance is necessary for all types of businesses, but it’s especially important for businesses in Utah. If you’re looking for business insurance in Utah, you may feel overwhelmed by all the options. We’ve evaluated the best business insurance providers based on coverage, financial stability, customer satisfaction, and overall quality.
Coverwallet began its journey in New York City in 2015 operating under the
Aon Insurance banner. At Coverwallet, you can access everything you need to
keep your company well-protected at an unbeatable price.
With a 100-year history of insuring businesses, Hiscox is well-known across
America and globally. With more than 500,000 small business customers,
Hiscox is fully aware and trained in the unique risks a business can face.
Thimble provides business insurance that can be tailored to your business by
the year, month, day, or even the job. At Thimble, the process to getting
the right business insurance is simple, scalable, and flexible.
What are the requirements for business insurance in Utah?
The minimum requirements for business insurance in Utah are the following:
Workers’ Compensation Insurance: If you have employees, it’s required by the state of Utah.
General Liability Insurance: This is a basic policy that can cover your business from bodily injury and property damage claims. Your clients may require this as well.
Professional Liability Insurance: A professional liability insurance policy, also known as errors and omissions insurance, protects you from claims of negligence during your professional services. A client may hold you legally responsible if they believe you failed to perform your professional duties.
What are the types of business insurance in Utah?
Here are the most common types of business insurance and what they exclude:
General liability insurance.
This is a primary type of business insurance that covers your company if you cause injury to someone or damage a client’s property while conducting business. For example, if you’re a consultant, your client could sue you for giving bad advice. This policy will cover their lost profits and related expenses. General liability insurance typically excludes injury to your employees, damage to your premises and vehicles and advertising claims.
Workers compensation insurance.
If an employee becomes ill or injured due to working for your business, workers compensation provides medical coverage and income replacement during recovery. This policy typically covers medical expenses and lost wages for employees who get sick or hurt on the job but not employees who are injured in auto accidents while driving for work.
Professional liability insurance
Sometimes clients can sue you for malpractice, for example, if you’re an accountant who makes an error on their tax return. Professional liability insurance will cover the legal fees associated with defending yourself plus any resulting claims against you if you lose the case. The policy doesn’t cover injuries to your employees covered by workers compensation or damage to your premises which would fall under general liability insurance.
Business interruption
If an insured peril damages your place of business — say, a fire — this policy can help cover lost income while the repairs are being made. It won’t cover lost income due to illness, strikes or other unrelated factors that prevent you from opening your doors.
Commercial Auto insurance
Commercial auto insurance. This policy will pay for physical damage to your vehicle caused by perils such as fire or vandalism and injuries caused by an auto accident. But it won’t cover any harm done to your car while being driven by someone who isn’t listed on the policy, hit-and-run.
How much does business insurance cost in Utah?
Several factors affect the cost of business insurance. Below is a list of some of the most important factors that can impact the price of your coverage:
Company size: Your company’s revenue, the number of employees you have and the number of locations you do business from can all affect the cost of your business insurance. If your company earns more than $1 million annually or has more than 100 employees, you could be considered a large company by an insurance company. Some insurance companies offer policies specifically for small and medium-sized businesses and larger companies.
Your business location: Most businesses have a geographic range they serve, and it’s important to let your insurer know where this range is to assess the risk appropriately. For example, businesses that service clients in high-crime areas might have higher liability risks than those operating primarily out of an office building.
Claims history: Claims history describes past incidents requiring insurance policy coverage. Frequent and large claims may result in higher premiums, as you’ve had more opportunities to use your coverage, which increases the risk to the insurer. Conversely, businesses with no claims history will be considered lower risk, making them safe and with fewer premiums.
Coverage limits: The more coverage you have, the higher the premium. For example, you might choose to have a higher liability limit or a lower deductible, so you’d have fewer out-of-pocket expenses if you had to file a claim.
Business Activities: Some business activities are riskier than others and cost more to insure. For instance, if your business has a lot of foot traffic, there’s a greater chance someone could get hurt and seek damages from you. Or, if your work involves heights or dangerous equipment, those kinds of activities carry more risk for possible accidents.
How to choose the best business insurance in Utah
Here are things to look for when choosing the right small business insurance:
Consider how much coverage you need: The first thing you need to do is assess how much coverage you need to cover your business assets in a worst-case scenario. The cost of this coverage will vary depending on what type of business you have and where it is located, as well as other factors such as the size and value of your business assets.
Check on your local laws: many states require construction companies that use heavy equipment to have commercial liability insurance. Also, if you rent or lease a property, your landlord may require that you have a certain type of insurance policy in place before they allow you to use their property.
Shop Around: Insurance companies use different formulas to calculate premiums. You may want to discuss your options with an independent insurance broker or agent who can help you find the best fit for your business.
Experience: You want an insurance company that knows what it’s doing. That means your provider has been in the business for a long time and knows how to handle claims. It would help if you also looked for an insurer with experience working with businesses like yours.
Know what’s included and excluded: Every policy has exclusions or things it won’t cover. For example, flood insurance isn’t part of standard property coverage; it’s a separate policy you have to buy. Make sure you know what your policy covers so you don’t find out after a claim is denied that you needed additional coverage all along.
