Types of coverage for service providers
If you are a service provider — for example, a photographer, florist, barber, locksmith or funeral director — it's a good idea to protect your company with a business owners policy (BOP). Allstate offers a variety of coverages to help protect professional service businesses.
Below are coverages that may be available for your business. An Allstate agent can also help explain what coverages are standard and which are available as add-ons so you can craft a business owners policy (BOP) that fits your needs. Some coverages are subject to deductibles and limits.
The utility company's transformer blows and you lose power to your business.
This coverage helps reimburse you for perishable items that spoil due to a power outage. This is normally an optional coverage, but if you're a florist, this coverage is included with Allstate's Business Insurance policy for florists.
Preservation of dead bodies coverage
This coverage helps reimburse you for expenses if you have to move the deceased off premises due to a power outage. This coverage is included when you purchase insurance for funeral homes.
Theft of locksmith equipment
While out on a job, someone breaks into your work vehicle and steals tools.
Locksmiths' tools and equipment coverage
This helps replace tools if they're stolen while you're away from your business location.
Damage to property while off premise
While in transit to a customer or vendor's location, you are involved in an accident and your tools and equipment are damaged.
Inland marine coverage
This provides protection for your company's tools, equipment, materials and inventory while the items are in transit.
Property in transit/off premises
This covers your business property while it's away from your location and/or being transported by vehicle to another location. This coverage is optional.
Photographic equipment off-premises coverage
This provides coverage for camera equipment that you own if it's damaged while you're away from your business premises. This coverage is included with Allstate's Business Insurance policy for photographers.
Customer items are stolen
While a customer's goods are in your care, someone breaks in overnight and steals their items.
Customers' goods coverage
This coverage provides for direct physical loss of or damage to customers' goods after a covered loss. This is typically an optional coverage.
Your business receives checks, credit card payments and sometimes cash for work that you do. When reviewing the receipts for the week, you notice that the deposits were lower than usual.
Employee dishonesty coverage
This coverage helps pay for a loss if an employee steals money or property from your business. It is typically an optional coverage.
It is discovered that someone hacked into your bank account and transferred funds out of your account.
Computer fraud and funds transfer fraud coverage
These optional coverages kick in if someone uses a computer to fraudulently transfer money, securities or other property to someone else.
The refrigerator in your truck breaks down
The refrigerator unit on your delivery truck fails in the middle of a long day of deliveries. Your product may spoil quickly without being transferred to a working refrigerator.
Vehicle refrigeration breakdown expense coverage
This coverage helps with expenses you incur after your company vehicle's refrigeration system breaks down. It is meant to help prevent spoilage of your company's perishable stock.
Refrigerator breaks down in your shop
The refrigerator at your business location breaks down and you lose your entire inventory due to spoilage.
Equipment breakdown coverage
This coverage helps pay for your company's expenses resulting from the sudden breakdown of machinery or other equipment.
Building Or Property Damage
If your business building or business property are destroyed due to a covered loss, such as a fire or theft, costs could add up quickly.
Business building/personal property coverage
This coverage pays to repair or replace your owned business building and/or your business personal property, up to the limits you select.
Money stolen from your company in a theft or burglary could lead to hardship.
Money and securities coverage
This optional coverage helps protect your business against loss of money or securities due to theft, disappearance or destruction. This coverage may provide reimbursement whether the loss occurred on or off your business premises.
You can't open your business
Your business is damaged due to a fire and you cannot operate until repairs are made.
Business income and extra expense coverage
This coverage helps with loss of income and fixed expenses, such as rent or payroll, while your business is temporarily closed for repairs after a covered loss. This coverage provides your business with up to 12 months of coverage.
A pipe bursts and leaks all over a filing cabinet containing your critical documents. Many documents are damaged, and others are completely destroyed.
Valuable papers and records
This helps cover the cost of restoring important business documents that are damaged or destroyed by a covered loss. This coverage is included in the basic BOP and can be increased if you opt for additional coverage.
Billing records are destroyed
There is a fire and your company's billing records are destroyed. This makes it difficult for you to collect payments from customers.
Accounts receivable protection
This covers the increased cost of collecting payments and the expense of reestablishing the records of accounts receivable.
Computer virus attack
You get an email from a client, but you open it to discover that it contains a virus.
Electronic data coverage
This provides coverage for repairing and restoring data due to harmful code that damages or destroys any part of your company's computer system.
This coverage is included in a basic BOP, but you have the option to increase coverage limits.
You are sued because somebody was injured after slipping on a recently mopped floor at your business.
General liability protection
This provides coverage for injury to others at your premises and helps protect you from lawsuits filed against you.
Damage to customer property
You're a locksmith and accidentally damage a customer's front door while changing out a lock.
General liability protection
This provides coverage for damage to another person's property while in the course of your work.
This provides coverage for damage to a customer's property that you accidentally cause while performing your job.
You cause injury to a customer
You are a hair stylist and sued by a client after accidentally causing an injury during a haircut.
The barber shops and hair salons professional liability
This endorsement kicks in if you're sued after accidentally making a professional error or performing a negligent act while practicing your craft.
Products And Completed Operations Coverage
This helps protect you in the event of claims caused by products your company sold, distributed, produced or handled. This provides coverage from lawsuits and legal cost for the items you sell.
Employee gets into an accident while using their own vehicle for a business errand
You ask your employee to run a business-related errand in their personal vehicle, and while they are running the errand, they get into an accident.
Employer's non-owned auto liability coverage
This liability coverage helps when an employee uses their own car to conduct their employer's business. It will help protect your business if your employee causes property damage or injury as a result of an accident in their personal vehicle.
A client sues you when the services they paid for don't turn out as expected. For example, you own a funeral home and the remains of the deceased are misplaced or taken to the wrong location.
Miscellaneous professional liability/errors and omissions coverage
This covers legal obligations arising out of professional errors, negligent acts or omissions during the course of practicing your profession.
Funeral Directors Professional Liability
If you own a funeral home, this endorsement helps with legal costs that arise if you accidentally make an error while you're working, up to your policy's liability limits.
Embalming fluids misuse
During the embalming process at your funeral home, some fluid is spilled and goes down the drain.
Limited pollution liability coverage — embalming fluids
This coverage protects you after the accidental, alleged or threatened discharge, dispersal, seepage, migration, release or escape of embalming fluids used in embalming operations causes bodily injury, property damage or medical expenses to someone else.
This coverage is optional for funeral homes.
Wrongful Termination Lawsuit
A former employee sues you for wrongful termination.
Employment Practices Liability Coverage
This provides coverage and support in the event of a lawsuit related to wrongful termination, sexual harassment or discrimination. This is typically an optional coverage.
Customer data loss or theft
Customers' confidential personal and financial data that you maintain is lost or stolen.
Data compromise coverage
This optional coverage provides case management, legal support, credit monitoring and legally required notifications after customer data is affected.
An employee causes an accident
While performing work for you, your employee gets into an accident and causes injury or damage to another person or their property. You could be held liable.
This coverage helps pay for someone else's medical bills and/or repairs to their vehicle, even if it's due to your employee's negligence.
Damage to your vehicle, whether your driver was at fault or not, can result in unexpected repair bills.
This protection pays to repair damage or replace your car if it is a total loss.
Hail can cause damage to your business vehicle, such as large dents and broken glass.
This protection pays to repair hail damage to your business vehicle. This coverage may also help repair damage from other non-accident-related events, such as fire, theft or vandalism.
You are injured by an uninsured driver
If you or your employee are in a collision with an uninsured driver and sustain serious injuries, your livelihood could be at risk.
Uninsured motorist coverage
This coverage helps pay for your medical bills if you are injured in an accident that is caused by a driver with no insurance. Or, you may have the protection you need, depending on your policy's bodily injury limit. (Coverage restrictions apply in some states, so be sure to talk to your agent.)
You owe money on a damaged vehicle
If you still owe money on a loan or lease, you could be responsible for the cost of replacing the vehicle after an accident.
Lease and loan gap coverage
This helps you pay off your car loan if your vehicle is totaled or stolen and the amount you owe is more than the car's depreciated value. This coverage comes standard in an Allstate Business Auto Insurance policy.