Many companies today, especially private companies, have growing concerns about the business risks they face. However, despite this, most private companies report that they have wide gaps in their insurance coverage, and have a lack of understanding about professional and management liability insurance. This is according to Chubb’s 2013 Private Company Risk Survey.
The survey polled 450 decision makers for U.S. private companies to ascertain concern about corporate risks, uncover risk-mitigation strategies and identify the prevalence of insurance ownership. In the three years since Chubb last conducted its survey, 44% of private companies experienced at least one loss even related to Directors and Officers (D&O) Liability, Employment Practices Liability (EPL), Fiduciary Liability, Employee Fraud, Workplace Violence, or Cyber Liability.
It’s found that large companies are especially susceptible to losses, with two-thirds of companies employing more than 250 staff members having experienced a loss since 2010, compared to a third of companies with up to 50 employees. However, smaller companies are less likely to recover from a major loss event, Chubb says.
The problem is that many companies assume that their Orlando General Liability Insurance coverage includes everything. What this means is while your Orlando Business Insurance policy may cover general liability incidents such as legal liability for claims involving bodily injury, property damage, advertising injury or personal injury and the defense expenses related to these incidences, it will not cover financial injury from actual or alleged wrongdoings of a company’s directors and officers, employment-related discrimination, harassment or retaliation, breach of fiduciary duty imposed by ERISA, or financial injury that may be insured by Orlando Professional Liability.
What does all of this mean for you as a business owner? It means that while obtaining an Orlando business insurance policy is wise, it’s important for you to understand just what coverages you have, and speak to your insurance agent about other coverages you may need. At Newman Crane, our specialists will create a business insurance package tailored to the specific needs of your company. To learn more, please contact us at (407) 859-3691.