Bonds
A bond is a financial guarantee that protects one party if another party fails to meet their obligations. In insurance, bonds don’t cover accidents or physical damage—they ensure that a business or individual keeps their promises. If the bonded party doesn’t follow the rules, complete the work, or meet legal requirements, the bond company may compensate the affected party.
Example (Food Trucks):
A food truck may be required to carry a Health Department Permit Bond before operating in certain cities. This bond guarantees the truck will follow local health and safety regulations. If they violate those rules and cause a financial loss, the city can make a claim against the bond.
Example (Trucking):
Many trucking companies must file a BMC–84 Freight Broker Bond to operate legally. This bond guarantees that the broker will pay carriers and shippers properly. If a broker fails to pay a carrier for completed work, the carrier can make a claim on the bond to recover what they're owed.
Builder’s Risk Insurance
Builder’s Risk Insurance is a specialized type of property coverage that protects buildings and construction projects while they’re being built or renovated. It covers damage to the structure, materials, and equipment caused by events like fire, theft, vandalism, or severe weather during the construction process. This coverage helps ensure that a project can continue even if unexpected damage occurs.
Example (Construction Project):
A contractor is building a new commercial storefront. Halfway through the project, a storm damages framing materials and partially completed walls. Builder’s Risk covers the cost to replace the damaged materials and repair the structure so the project can stay on schedule.
Example (Renovation / Remodel):
A property owner is renovating an older building to turn it into a restaurant. Before the renovations are complete, thieves steal copper wiring and tools from the job site. Builder’s Risk Insurance helps pay for the stolen materials and equipment, reducing out-of-pocket costs for the owner or contractor.
Cargo Insurance
Cargo Insurance protects goods while they’re being transported—whether by truck, trailer, van, or mixed freight. It covers losses such as theft, damage, fire, collisions, or other unexpected events that occur during transit. For trucking companies and independent drivers, Cargo Insurance ensures that both the load and the customer’s financial interests are protected from start to finish.
Example (Trucking – Theft):
A driver hauling electronics parks overnight at a rest stop. During the night, thieves break into the trailer and steal part of the shipment. Cargo Insurance helps cover the cost of the stolen goods so the driver or carrier isn’t stuck paying out of pocket for the loss.
Example (Food Distribution / Damage):
A refrigerated truck carrying produce experiences a reefer malfunction, causing the temperature to rise and spoil the load. Cargo Insurance can cover the value of the spoiled produce, protecting the carrier from having to reimburse the customer directly.
Commercial Auto Insurance
Commercial Auto Insurance covers vehicles used for business purposes, protecting your business if one of your vehicles is involved in an accident. It typically includes liability coverage (for injuries or damage you cause to others), physical damage coverage (for your own vehicle), medical payments, and optional add-ons like hired/non-owned auto, roadside assistance, or rental reimbursement. Whether you run a food truck, a delivery van, or a fleet of semis, Commercial Auto keeps your business moving when the unexpected happens.
Example (Trucking – At-Fault Accident):
A driver in a tractor-trailer misjudges a turn and clips a parked vehicle. Commercial Auto Insurance covers the damage to the other vehicle and provides liability protection for the business, preventing a costly out-of-pocket payout.
Example (Food Truck – Physical Damage):
A food truck is hit by another car while driving to an event. Even though the food truck owner isn’t at fault, repairs to the truck’s body and equipment can be expensive. Commercial Auto Insurance helps cover the repair costs so the business can get back on the road quickly.
Commercial Property Insurance
Commercial Property Insurance protects the physical assets your business relies on—including your building, equipment, inventory, furniture, and other business property. It covers losses caused by events like fire, theft, vandalism, storms, and certain types of water damage. Whether you own the building or rent a space, this coverage helps keep your business running after an unexpected loss by paying to repair or replace damaged property.
Example (Food Business – Kitchen Fire):
A small commercial kitchen experiences a grease fire that damages appliances, walls, and stored inventory. Commercial Property Insurance helps cover the cost of repairs and replacement equipment so the business can reopen without a major financial setback.
Example (Office or Warehouse – Theft):
A distribution company’s warehouse is broken into overnight, and several pieces of equipment and inventory are stolen. Commercial Property Insurance helps reimburse the business for the stolen items, preventing a significant hit to cash flow.
Commercial Umbrella Insurance
Commercial Umbrella Insurance provides an extra layer of liability protection on top of your existing business policies. If a claim exceeds the limits of your primary coverage—such as General Liability, Commercial Auto, or Employer’s Liability—the umbrella policy steps in to cover the remaining costs. This protects your business from large lawsuits, severe accidents, or high-dollar claims that could otherwise create a major financial burden.
Example (Trucking – Severe Accident):
A tractor-trailer is involved in a multi-vehicle accident that results in extensive property damage and serious injuries. The claim exceeds the limits of the company’s Commercial Auto policy. A Commercial Umbrella policy steps in to cover the additional costs, preventing the business from facing potentially devastating out-of-pocket expenses.
Example (Food Truck – Customer Injury):
A customer trips over a loose extension cord while a food truck is setting up, resulting in significant medical bills and a lawsuit. If the claim goes beyond the limits of the food truck’s General Liability policy, the Commercial Umbrella policy provides additional coverage to help protect the business financially.
Cyber Liability Insurance
Cyber Liability Insurance protects your business from financial losses caused by data breaches, cyberattacks, and other digital threats. It can cover the costs of notifying customers, recovering compromised data, restoring systems, hiring cybersecurity experts, and handling legal claims if sensitive information is exposed. Whether you store customer data, take online payments, or rely on digital tools, Cyber Liability helps safeguard your business from the growing risks of cybercrime.
Example (Trucking – Ransomware Attack):
A small trucking company’s dispatch system is hit with ransomware, locking the business out of its routes, customer files, and billing records. Cyber Liability Insurance can help pay for IT specialists to remove the malware, restore the data, and reimburse lost income from the downtime.
Example (Food Truck – Payment Data Breach):
A food truck uses a mobile card reader to accept payments. Hackers steal customer card information through a compromised device. Cyber Liability Insurance helps cover the costs of notifying affected customers, providing credit monitoring, and handling legal or regulatory fines.
Directors & Officers (D&O) Liability Insurance
D&O Liability Insurance protects the personal assets of a company’s leaders—such as directors, officers, and decision-makers—if they’re accused of mismanagement, negligence, or wrongdoing in the course of running the business. It covers legal defense costs, settlements, and judgments arising from claims like misuse of company funds, breach of fiduciary duty, failure to follow regulations, or poor business decisions. This coverage helps ensure that leadership can make critical decisions without risking their personal financial security.
Example (Small Business – Mismanagement Claim):
A company’s board approves an expansion plan that ends up losing money. Investors claim the leadership failed to conduct proper due diligence and sue the directors personally. D&O Liability Insurance helps cover defense costs and potential settlements, protecting the individuals involved.
Example (Nonprofit or Startup – Employment Decision):
A former employee sues leadership for wrongful termination, naming the organization’s CEO and board members in the lawsuit. Even though the claim is unrelated to physical work or property, D&O Liability Insurance can help pay legal fees and protect the personal assets of those accused.
Employment Practices Liability Insurance (EPLI)
EPLI protects businesses against claims made by employees related to workplace issues such as discrimination, harassment, wrongful termination, retaliation, or other employment-related disputes. It covers legal defense costs, settlements, and judgments, helping businesses manage potentially costly lawsuits while protecting their reputation and financial stability.
Example (Trucking – Harassment Claim):
An employee claims they were harassed by a supervisor and files a lawsuit against the trucking company. EPLI Insurance helps cover legal defense costs, settlement fees, or judgments, protecting the company from significant out-of-pocket expenses.
Example (Food Truck – Wrongful Termination):
A food truck employee is terminated, then claims they were fired unfairly due to age discrimination. EPLI Insurance can cover the cost of defending the business in court and paying any settlements or awards if the claim is valid.
General Liability Insurance
General Liability Insurance protects your business from common risks like bodily injury, property damage, and personal or advertising injury caused by your business operations. It covers legal fees, medical expenses, and settlements if your business is found responsible, helping you avoid costly out-of-pocket expenses. This coverage is essential for nearly all businesses, from food trucks to trucking companies, to safeguard against everyday accidents and claims.
Example (Food Truck – Customer Injury):
A customer slips on a wet spot near a food truck and breaks their arm. General Liability Insurance can help cover their medical expenses and legal costs if they file a claim.
Example (Trucking – Property Damage):
A delivery truck accidentally damages a customer’s garage door while backing up. General Liability Insurance helps pay for the repairs and covers legal fees if the customer sues.
Professional Liability Insurance
Professional Liability Insurance, also known as Errors & Omissions (E&O) insurance, protects your business against claims arising from mistakes, negligence, or failure to deliver professional services as promised. It covers legal defense costs, settlements, and judgments if a client alleges that your services caused them financial loss. This coverage is essential for businesses that provide advice, consulting, or specialized services, including logistics planning, business consulting, or any service where errors could have financial consequences.
Example (Trucking – Logistics Advice):
A trucking consultant provides routing advice that inadvertently causes a client to miss delivery deadlines, resulting in financial losses. Professional Liability Insurance helps cover legal fees and potential settlements from claims against the consultant.
Example (Food Truck – Business Consulting):
A food truck owner hires a consultant to advise on health and safety compliance. If the consultant gives incorrect guidance and the truck is fined for non-compliance, Professional Liability Insurance can help cover the costs of defending the consultant and any settlements.
Trucking Insurance
Trucking Insurance is a specialized set of coverages designed to protect trucking companies, owner-operators, and fleet owners from risks associated with transporting goods. It typically includes liability coverage, physical damage, cargo, and other optional protections like bobtail or trailer interchange coverage. Trucking Insurance ensures that your business, vehicles, cargo, and drivers are protected from accidents, theft, and other financial losses while on the road.
Example (Liability – Accident):
A semi-truck collides with another vehicle on the highway, causing property damage and injuries. Trucking Insurance provides liability coverage to pay for damages and legal costs, protecting the trucking company from out-of-pocket expenses.
Example (Cargo – Theft or Damage):
A truck carrying electronics is broken into during a rest stop, and part of the load is stolen. Trucking Insurance with cargo coverage can help reimburse the value of the lost goods, keeping the business financially secure.
Workers’ Compensation Insurance
Workers’ Compensation Insurance provides coverage for employees who are injured or become ill as a direct result of their job. It helps pay for medical expenses, rehabilitation costs, and a portion of lost wages, while also protecting employers from lawsuits related to workplace injuries. This coverage is essential for businesses of all sizes to ensure employees are cared for and the company is protected from financial liability.
Example (Food Truck – Kitchen Injury):
A food truck employee accidentally cuts their hand while prepping ingredients. Workers’ Compensation Insurance helps cover medical treatment and lost wages while the employee recovers.
Example (Trucking – On-the-Job Accident):
A truck driver slips while securing a load and breaks a leg. Workers’ Compensation Insurance covers the medical bills and a portion of the driver’s income during recovery, while also protecting the trucking company from legal claims.