Most business owners in Huntsville, AL think they should file a commercial insurance claim as soon as there’s an accident, but it’s not always that simple. Several factors should be considered before initiating the claims process.
Type of Accident
Typically, you only file a claim with your insurance if you experience a loss, such as property damage. For example, if someone who is not an employee slips and falls on your property, they will likely file a lawsuit. However, if there’s a car accident that doesn’t involve your property, it generally has no connection to your insurance policy.
Cost of Damage
Assessing the damage before contacting your insurance company is important. Determine the extent of the damage and estimate the cost of repairs. Then, reach out to an insurance company, such as Larry Burkman Agency, to check your deductible. If the deductible is higher than the repair cost, it’s often more cost-effective to pay for the repairs yourself rather than filing a claim.
Covered Peril
Commercial policies only cover specific events, often referred to as covered perils. Understanding your coverage is essential so you know which accidents you can file a claim for. This also depends on the type of insurance you have, as there are several types of commercial insurance, each covering different aspects.
For instance, property insurance covers damage to the property, while general liability insurance covers lawsuits resulting from liability. If the accident involves an employee, it’s typically handled as a workers’ compensation case.
Agents at Larry Burkman Agency can help you better understand your policy, including what’s covered. Contact us today to learn more. We proudly serve the Huntsville, AL area.
