Colorado Springs Business Liability Insurance

Colorado Springs business liability insurance will be higher if your office or store is downtown. Colorado insurance companies calculate rates based on statistical risk, and the risk is higher in busy areas. So, if you don't need the exposure, it's best to set up your business off the main drag and away from traffic.

Your Colorado Springs business liability insurance can be either claims made or occurrence. The difference between claims made and occurrence policies sounds relatively straightforward at the outset, but it will require your thoughtful consideration. Your choice will depend on the nature of your business and your particular long-term risks.

Location and Your Business Insurance

If you're running a store or shop in downtown Colorado Springs, you obviously want to have traffic and exposure. You should note, though, that the busy downtown streets mean higher risk to your insurer, and therefore higher premiums. Downtown, there are more people, and therefore a greater chance that someone will sue you. There's also more traffic, crime, and so forth.

If you want the exposure, setting up in downtown Colorado Springs is probably worth it to you. You can avoid riskier parts of downtown, perhaps, and lower your costs that way. Actually, the other businesses in the Colorado Springs, CO neighborhood you choose will affect your premiums as well. In other words: don't set up next to a dry cleaner, a bar, or any other businesses with a high risk of fire.

Also, your building will impact Colorado business liability rates as well. Older buildings may not be up to code, and are therefore more susceptible to lawsuits. So, you Colorado Springs business liability insurance will be higher if you choose one of those charming old buildings. A newer building will be equipped with an elevator and lead-free paint, and that will mean lower rates from your insurer.

When you sign the lease for your building, you should be sure to read it over carefully. Commercial leases are different from residential leases. For example, commercial leases often require Colorado Springs business liability coverage. Commercial leases will require a company to have much higher liability coverage than necessary. You may want to consult with a Colorado Springs business liability insurance agent before signing a lease.

Here's another tip: don't set up your business too far from emergency services in Colorado Springs, CO. If you're way out in the boonies, your insurance premiums will be higher. Ideally, you want to be close enough to emergency services, including the hospital and fire department, but not too close to the activity of downtown.

Most likely, the easiest and best thing to do is ask Colorado Springs business liability insurance company or agent what kind of locations would guarantee the lowest premiums. Then, you can ask about places you'd like to consider, and work out a compromise that secures lower rates and the success for your company. A good Colorado Springs agent or insurer will help you with this process.

Occurrence Versus Claims Made Policies

Your Colorado Springs business liability insurance most likely is offered in two different forms: claims made and occurrence. Basically, a claims made policy will be active during the time that your Colorado business is actually insured. An occurrence policy, on the other hand, will remain active long after you stop paying. If any claims are brought up for events that occurred during the time you were insured, you're still covered.

So, imagine if you build a house, and it falls down in 10 years. At that time, you've stopped working and paying for your insurance. If a liability claim is brought against you regarding the house, you'd better hope that you have an occurrence policy at the time that you builds it. If you had a claims made policy, you're no longer insured.

Of course, purchasing an occurrence policy is more expensive than a claims made policy. Furthermore, it doesn't account for inflation or the growth of your company. The kind of Colorado Springs business liability insurance you should purchase depends the specific long-term risks of your company.

Another option is to purchase claims made insurance and then add tail coverage at the end. That way, you'll be protected from future liability claims. However, tail coverage can be pretty expensive, and you may need to carry it for a long time depending on your work. As you may have gathered, Colorado Springs business liability insurance can be somewhat complicated.

Luckily, a Colorado Springs business liability insurance agent can help you sort out the specific risks of your Colorado company. A good agent can also help you find a trustworthy insurance company to cover your liability risks. It's best to choose an agent who specializes in your industry, as he or she will be able to estimate your liability risks more accurately.

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