Commercial insurance in Lynnwood, WA, is designed to protect your business’s financial assets. Whether you are dealing with an injured employee or a theft incident, it can help cover losses. However, there are important factors to consider before filing a claim.
Coverage Limitations
Commercial insurance policies vary widely in their coverage. Property insurance often covers inventory, including the cost of replacing stolen items. However, some policies specifically exclude theft. It’s essential to consult with an agent at Sound Choice Insurance Agency Inc to confirm whether theft is a covered peril under your policy.
Many policies also exclude intentional acts committed by employers or employees. For example, if an employee steals from your business, your claim may be denied. While you can pursue legal action against the employee, the insurance policy may not provide coverage for such incidents.
Additionally, filing a claim for petty theft often requires a police report. Some insurance companies impose strict deadlines, such as requiring claims to be filed within 14 days of the incident.
Deductible Considerations
Most commercial insurance policies include a deductible, which is the amount you must pay before the insurance covers the remaining costs. For minor theft cases, filing a claim may not be financially worthwhile. For instance, if your deductible is $500 but the stolen merchandise is worth $250, filing a claim would result in a financial loss.
It’s also important to consider the potential impact on your monthly premium. Filing a claim may lead to an increase in your insurance rates. An agent at Sound Choice Insurance Agency Inc can help you evaluate the pros and cons of filing a claim, ensuring you make the best decision for your business.
Contact us today to discuss your commercial insurance needs. We proudly serve the Lynnwood, WA, area.