umbrella Archives - Melendez Insurance

How to Set Up a Home-Based Business Office

There’s no denying that home-based businesses are on the rise. Right now, it’s estimated that there are 38 million home-based businesses that generate $427 billion a year in the United States. Perhaps you already have an idea for a home-based business—and maybe you’ve even thought through the risks as well as logistics like buying business insurance. If so, you’re probably focused on one of the more enjoyable aspects of your new enterprise: setting up your home- based business office. Whether you have a spacious wing of your house or simply one end of your kitchen table, it’s your space. Not sure where to start? Then read on to get some tips to set up your home-based business office. Supplies for your home-based business Set a budget and stick to it. Chances are you don’t have an abundance of funds if you’re just starting out. That’s why it’s important to create a budget and commit to it.… Read More

Large Losses Are a Threat to Every Business

Many trends in today’s business world are exciting and encouraging. Unfortunately, the number of lawsuits and high-dollar awards in liability cases are not one of those positive trends. Here are a few recent news headlines from around the country: Pennsylvania hotel sued for concussion from shower slip. Fatal two-truck accident case in New York results in $3.97 million settlement. Virginia victims get settlement checks (about $9 million) over toxic drywall. There’s no way to prevent lawsuits like these entirely, but you can manage the impact. A business catastrophe liability policy serves as financial protection, or a cushion, against a legal judgment for a covered loss, beyond the limits of your underlying insurance policies. A business catastrophe liability policy functions in a similar fashion to a personal catastrophe liability policy. Personal catastrophe liability —commonly known as “umbrella” – coverage can provide an extra layer of liability protection over and above your auto and homeowners policies in the event that a covered claim is made against you (or a covered family member).… Read More

Can Your Business Afford to Lose $3,000 a Day?

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The recent storms that swept across the country shut many businesses down for days on end. Downtime like that can cost your business big bucks: The Symantec 2011 SMB Disaster Preparedness Survey revealed that disasters cost inoperable small businesses an average of $3,000 a day. Most people would never consider opening a business without coverage for things like fires and weather events. But many small business owners don’t think about how they would manage if a fire or other disaster made their building temporarily unusable. A business that has to close down completely while the premises are being repaired may lose out to competitors—or even end up going out of business. The good news is that you can protect your business with business interruption insurance. Business interruption insurance covers the revenue you would have earned (based on your financial records) had the disaster not occurred. The policy also covers continuing operating expenses (like electricity) that continue even though business activities have come to a temporary halt.… Read More

Too Little Liability Insurance Creates a Big Risk

I’m a safe driver. I don’t do risky things. Someone I know would never sue me. Sound like something you’d say? When it comes to truly terrible events, many people have an “It can’t happen to me” mentality. This belief is not only false—it’s also dangerous. “Believe me when I say a catastrophic event can happen to anyone,” says Scott Brown, a supervisor in the Erie Insurance Claims Department with 38 years of experience. “Most of the serious cases we see involve simple negligence, not recklessness.” A few examples Many of the catastrophic cases Scott has seen over the years involve cars. Surprisingly, most do not involve alcohol or drugs. “Everybody believes they are superior drivers, but we all make mistakes on the road,” says Scott. “Anything from a momentary distraction to poor weather can contribute to an accident.” Accidents can have major repercussions if you injure someone else. The same applies if you hit an expensive vehicle like a brand-new luxury car or a commercial truck.… Read More