Coverage Definitions

These insurance descriptions are brief working examples of coverage definitions. This list includes the most common insurance coverages and does not include all possible insurance options. For more detailed insurance coverage information, please visit https://www.irmi.com/ or reach out to us at info@rbninsurance.com.

Business Interruption: This coverage replaces income lost if your business is paused due to a covered direct physical loss or damage.

Cargo: This coverage replaces income lost if your business is paused due to a covered direct physical loss or damage.

Commercial Automobile: Provides financial assistance in the event of automobile accidents, collisions, vandalism, theft, and some types of storm damage. Can pay for vehicle replacement and repair, medical expenses, and any legal costs associated with a covered event.

Commercial Property: Protects your company’s physical assets from covered exposures. Generally, earthquakes and floods typically aren’t covered unless they are added to the policy.

Contractors’ Equipment: Covers equipment and tools typically used by contractors to complete a job/project. This type of coverage is important for any business that owns valuable machinery and equipment that moves around.

Crime: Typical coverage includes employee dishonesty coverage; forgery or alteration coverage; computer fraud coverage; funds transfer fraud coverage; kidnap, ransom, or extortion coverage; money and securities coverage; and money orders and counterfeit money coverage.

Cyber: Covers liability for a data breach involving sensitive customer information, such as Social Security Numbers, credit card numbers, account numbers, and driver's license numbers.

Employment Practices Liability (EPLI): Provides insurance covering wrongful acts arising from the employment process.

Equipment Breakdown: Provides coverage for loss due to mechanical or electrical. Coverage includes the cost of repairing/replacing the equipment and any other property damaged by the equipment breakdown.

Errors & Omissions (E&O): Covers service-oriented businesses from errors and/or omissions made by the business owners, employees, or contractors working on behalf of the company.

Excess/Umbrella: Provides an extra layer of liability protection by covering costs beyond your other liability coverage limits.

General Liability: Helps protect businesses and their employees from the risk of lawsuits involving claims of bodily injury, property damage, libel, and slander.

Franchisor Liability: Covers a franchisor for alleged errors, omissions, or negligence from the professional services provided to the franchisees.

Pollution: Manages the costs associated with pollution clean-up and claims for pollution-related injuries, illnesses, or deaths.

Product Contamination/Recall: Provides coverage for recall costs, announcement costs, third-party recall expenses, loss of gross profits, the value of contaminated products, crisis response and consulting expenses, increased cost of operations, and extortion costs.

Spoilage: Provides coverage for the loss of perishable goods stored at the premises of the insured property.

Workers’ Compensation: Provides medical and wage payments to employees who are injured or become ill at work. Wage and medical benefits vary by state.

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