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Raul Said:

When office space decreases, should property insurance premium decrease?

We Answered:

If you're the tenant, then the rating basis isn't the square footage occupied - it's the PROPERTY LIMIT. If the limit of coverage stays the same, then the fact that you're occupying less coverage, is completely irrelevant. Also, like the E&O you just asked about, there's still a "minimum premium" that applies to the policy.

Square footage is one of four commonly used rating basis for GENERAL LIABILITY. Typically, you'd see it most often in warehouse risks. Not having any idea what kind of business you have, odds are, square footage isn't a rating basis for the GL either.

Bobby Said:

Can Someone Share Their Insurance Business Plan With Me?

We Answered:

Who are you going to sell to?

What are you going to sell them?

Why would they buy it?

How are you going to sell it?

What are your expectations for sales/income?

What are your anticipated expenses?

How are you going to pay the bills while you try to figure out all of the above?

Good luck.

Ramon Said:

About how much would it cost to start up a small office cleaning business?

We Answered:

I may be wrong but wouldn't you use about the same stuff that you would use in a home cleaning business. Of course the home owner my supply the vacuum but other than that it's about the same. I would also think that home cleaning would give you more customers and while doing that branch out to offices. Getting customers will be the hardest part but since you would have references, even if they are from home owners, concerning your skill and honesty. Best of luck....

Jesus Said:

what kind of insurance do i need for my business?

We Answered:

If you hire an independent contractor, they are no longer an independent contractor, but now an employee.

Many, many people try to "get away with" calling employees independent contractors and not withholding taxes, so they don't have to purchase workers comp. But, if YOU hire an uninsured independent contractor, YOU are automatically "on the hook" for workers comp and general liability.

So, what you REALLY need, depends on a WIDE variety of factors, including if your indies are really indie and carry their own GL and WC insurance; what exactly they're doing for you; what exactly your exposures are, etc.

In other words, it's like asking, if I walk into a store, what should I buy? WAY too general.

I WILL let you know that MOST homeowners insurance companies seriously balk and most kinds of businesses run out of the home.

And, here are a few little tidbit sites on independent contractors vs. employees - although they're state specific, the information is pretty much valid in EVERY state.

http://www.twc.state.tx.us/news/efte/app…

http://labor.vermont.gov/Default.aspx?ta…

http://www.peakconsultinginc.com/Article…

Margie Said:

When office space decreases, should property insurance premimum decrease?

We Answered:

I doubt that your liability decreases because you have a smaller space. Liability is the major thing that could cost an insurance carrier large sums of money. The only difference I can see is that you might have less personal property and business fixtures in a smaller space. That might lower your premium um a few dollars a year.

As a business owner you should keep your insurance company honest at least every other year by getting quotes form a different broker and different companies. A few years ago I had my insurance carrier increase my premium about 15% in one year and I had not had any claims within that time. I did a little shopping around and got better coverage for less money than before.

Roy Said:

What insurance do I need for a small business?

We Answered:

Make sure your liability policy extends to rental property such as your office, and also for any events that might take place in your client's homes (spilled paint, broken furniture, etc.). Your insurance agent can easily add riders to your liability insurance to cover these conditions.