(888) 900 0205California Small Business Insurance
California is home to over 4 million small businesses, making it the largest small business economy in the United States. These businesses are the backbone of the state's economy, contributing significantly to job creation and economic growth. Whether you're running a tech startup in Silicon Valley or a small café in Los Angeles, having the right insurance coverage is essential to protecting your business from unexpected risks.
General Liability Insurance
General liability insurance is a must-have for any small business in California. This coverage protects your business from claims of bodily injury, property damage, and advertising injury. It's important to note that while general liability insurance is not legally required in California, many landlords and clients may require you to carry it as a condition of doing business. This makes it an essential component of your overall risk management strategy.
Commercial Property Insurance
Commercial property insurance covers the physical assets of your business, including your building, equipment, inventory, and furniture. In California, this insurance is crucial, especially considering the state's susceptibility to natural disasters like earthquakes and wildfires. While property insurance is not required by law, it is highly recommended to safeguard your business assets against potential losses due to unforeseen events.
Workers' Compensation Insurance
In California, workers' compensation insurance is legally required for all businesses with one or more employees. This coverage provides medical benefits and wage replacement to employees who are injured or become ill due to their job. Failing to carry workers' compensation insurance can result in severe penalties, including fines and potential lawsuits, making it a non-negotiable for California business owners.
Commercial Auto Insurance
If your business involves the use of vehicles, commercial auto insurance is required by law in California. This coverage protects your business from financial losses if one of your vehicles is involved in an accident. It covers property damage, bodily injury, and even legal fees if you're sued as a result of an accident. Given the heavy traffic and high number of vehicles on California roads, this insurance is vital for businesses that rely on transportation.
Surety Bonds
While not required for all businesses, surety bonds are often necessary for those in the construction industry or businesses that provide services to the government. A surety bond is a promise to pay one party a certain amount if a second party fails to meet a contractual obligation. In California, surety bonds are often required to obtain licenses or permits, making them an important part of operating a compliant and trustworthy business.
Cyber Crime Liability
If your small business uses technology for any reason, there is a chance that cyber criminals will use it to cause problems for your company. This might include a data breach, fraud, or other expensive issues. You can try to avoid these problems by including cyber crime coverage on your California small business insurance policy.
California Small Business Insurance FAQ
We’re big believers in keeping things simple, so ask us anything and we’ll answer honestly and without the jargon.
What's Business Insurance ?
Business insurance offers crucial protection to companies against unanticipated risks and events that threaten their assets and financial health. Organizations can safeguard themselves by having adequate protection.
How Much Insurance Do I need ?
Industry standard general liability insurance is $1,000,000
Can I customize my coverage based on my specific needs?
Often, yes. While there are standard coverages, many insurance providers offer additional options or tailored packages based on your business's unique requirements.
What's covered under Bodily Injury?
Bodily Injury covers medical expenses and compensation for work time lost if someone is injured on your business premises or as a result of your services.
What does Property Damage entail?
This covers expenses if your business causes damage to another person's property, ensuring bills and loss of use charges are handled.
What if I rent a workspace for my handyman services ?
The "Damage to Premises Rented to You" section covers damages to leased or rented structures once you've vacated them.
Who is required to have business insurance in California?
In California, workers' compensation insurance is required for any business with employees. Additionally, commercial auto insurance is mandatory if your business uses vehicles. Surety bonds may be required for certain licensed professions and contractors.
Who do we insure in California?
Our insurance coverage extends to a diverse array of contractors, including welders, plumbers, electricians, carpet cleaners, handymen, general contractors, and various other professions in the industry.
How much insurance do I need in California?
The amount of insurance you need will depend on several factors, including the size and type of your business, the risks associated with your industry, and any legal requirements. It's generally recommended to have at least $1 million in general liability coverage, but consulting with an insurance expert is the best way to determine the right amount for your business.