Small Business Commercial Insurance Overview: Understanding Basic Business Insurance Needs

It’s a given that all types of businesses require – at the very least – basic liability insurance. It’s always wise to safeguard your business against as much as possible. All industries are vulnerable to lawsuits for one reason or another these days. Even if you do most of your work from the home, there are still some risks you need to be aware of, such as copyright infringement. Luckily, there are custom small business commercial insurance policies are available, so you can look for quotes tailored towards your type of company and size of business.

You should take the time to educate yourself about the four primary coverage types general liability, commercial property, commercial auto, and workers compensation. If you don’t do any deliveries or use your car for anything relating to your business then you probably won’t need that coverage in your policy. If you don’t have any employees, then you won’t need workers compensation.

Even if you do have a few employees, you might or might not have to have workers compensation, depending on your state’s laws and the amount of risk involved with the employees. There is professional liability insurance for individuals such as attorneys, accountants, consultants, real estate agents, and so forth. General liability and professional liability are not the same thing.

There are some risks that are excluded under small business commercial insurance, despite the fact that they might involve large losses. For instance, floods and tornadoes require “specialized policies” This is because the insurance companies don’t like to have to pay out such a large amount of money to all of the businesses damaged within a small geographical area.

Small Business Commercial Insurance Coverage

Here are a few things from which a small business commercial insurance, in general, will protect your company:

• If someone gets hurt in any way while on physical property associated with your business

• If a customer has any property damaged by you or your employees

• If your products cause harm to someone or their property

• If you use a customer’s photo in your advertising and they try and sue you for copyright

• If your company is named in a lawsuit for medical expenses and property damages

What about your OWN injuries? What would become of your business if something were to happen to you? These are also things to consider when adding specialized coverage to your policy.

Just use the internet to help find the right small business commercial insurance for you, starting with Hiscox Business Insurance. Review your insurance each and every year to make sure it still lines up with your needs.

Where Has International Commercial Arbitration Come From?

If we are to understand fully the present role of international commercial arbitration, and what shape it is likely to take in the future, it is important to look at past developments that are the basis for our current system of arbitration. In short, to understand the future you need to understand the past.

Arbitration is a system of justice, born of merchants. In one form or another, it has been in existence for thousands of years.

The earliest law dedicated to arbitration in England was in 1697. In France, the French Revolution considered arbitration as a droit naturel and the Constitution of 1791 proclaimed the constitutional right of citizens to resort to arbitration. It was also included in the Code of Civil Procedure in 1806. The origins of the concept of arbitration in France go back to the ancient courts of Pie Poudre (from the French pied poudreux, meaning vagabond), set up by boroughs to settle disputes between merchants on market days.. The origins of arbitration go back to dispute settlement usages in ancient times, in Europe, in Greece and Rome, including Roman law, and in Asia.

Up until the 20th century, the national courts lagged behind in recognising the decisions of arbitrators. This may be because the courts saw arbitration as a rival, as well as being suspicious about the standards being applied in arbitrations at the time. Even in England, for long a centre for international commercial arbitration due to its pivotal position as the centre for shipping, insurance, commodity and financing businesses, arbitration was initially closely controlled by the English courts.

In 1883 the Court of Common Council of the City of London set up a committee to consider the establishment of a tribunal for the arbitration of trans-national commercial disputes arising within the ambit of the City. The initiative came from the London business community, which was becoming increasingly dissatisfied with the slow and expensive process of litigating in the English courts. As The Law Quarterly Review was to report at the inauguration of the tribunal a few years later:

“This Chamber is to have all the virtues which the law lacks. It is to be expeditious where the law is slow, cheap where the law is costly, simple where the law is technical, a peacemaker instead of a stirrer-up of strife”

In 1919 the world’s business community established the International Chamber of Commerce (“the ICC”). The ICC has been the voice of the international business community and has been a major driving force in the promotion of both arbitration as a mechanism for the resolution of international commercial disputes and the need for international regulations to uphold and support the arbitration process.

As world trade expanded, the need to create a mechanism for international recognition and enforcement of both arbitration agreements and awards in relation to international commercial agreements was regarded as essential.

In 1958 the New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards (“the NYC”) was adopted. The NYC provides for international recognition and enforcement of arbitration agreements and awards by national courts. Since it was adopted, the NYC has been the cornerstone of international commercial arbitration and has represented a quantum leap forward for international arbitration. Lord Mustill described the NYC as a convention which: “perhaps could lay claim to be the most effective instance of international legislation in the entire history of commercial law”. The success of the NYC is illustrated by 3 factors:

  1. 144 countries are signatories to the NYC;
  2. A body of international case law has developed in applying the NYC which has had a direct influence on international arbitration practice and law;
  3. It is accepted that agreements to arbitrate and arbitration awards will be enforced by the courts of the countries that are party to the NYC.;

As international arbitration increased and the influence and benefits of the NYC became apparent new arbitration institutions began to be created as a supplement to ad hoc arbitrations. Each institution has its own arbitration rules and procedures and offers arbitration services that were initially influenced considerably by its own national environment. Whilst there are a large number of arbitral institutions, the major institutions are:

  1. London Court of International Arbitration (“LCIA”), based in London (established in 1892);
  2. Stockholm Chamber of Commerce (“SCC”), based in Stockholm (established in 1917);
  3. International Chamber of Commerce (“ICC”), based in Paris (established in 1919);
  4. American Arbitration Association, based in New York (established in 1926);
  5. China International Economic and Trade Arbitration Commission (“CIETAC”), based in Beijing (established in 1956);
  6. Hong Kong International Arbitration Centre (“HKIAC”), based in Hong Kong (established in 1985);
  7. Singapore International Arbitration Centre (“SIAC”), based in Singapore (established in 1991).

In the early 1970s there was an increasing need for a neutral set of arbitration rules suitable for use in ad hoc arbitration. Under the auspices of the United Nations, arbitration rules were prepared by the United Nations Commission on International Trade Law (“UNICTRAL”). The UNCITRAL Rules cover all aspects of the arbitral process, providing a model arbitration clause, setting out procedural rules regarding the appointment of arbitrators and establishing rules in relation to the form, effect and interpretation of the award.

The UNICTRAL Rules were intended to be acceptable in both capitalist and socialist countries, in developed and developing countries, and in common law as well as civil law jurisdictions. The UNICTRAL Rules have achieved international recognition and are now widely used. Since 2006, UNCITRAL has engaged its Working Group II in the revision of the Rules which is now in a late stage of completion. The revised Rules are expected to be adopted by UNCITRAL in the summer of 2010.

A further historical landmark came in 1985 with the UNCITRAL Model Law on Arbitration, which is accepted by an increasing number of countries throughout the world; and many other countries (where they have not adopted it outright) have based their arbitration laws upon it. As the authors of Redfern and Hunter on International Arbitration (5th Edition) state at p. 76:

“If the New York Convention propelled international arbitration onto the world stage, the Model Law made it a star, with appearances in States across the world.”

Whilst accepting the significant advance brought by the Model Law, it soon fell behind the pace of the fast-moving world of international arbitration in at least two respects. Firstly, the requirement for an arbitration agreement to be in writing, if it is to be enforceable; and secondly, the provisions of Article 17 governing the power of an arbitral tribunal to order interim measures of relief. This resulted in the Revised Model Law, which was approved by the United Nations in December 2006. The Revised Model Law allows for the “writing requirement” to be defined in very wide terms, and recommends that an arbitral tribunal should have the power to issue interim measures.

In the last 25 or so years there has been an increase in the number of institutions providing arbitration services. In particular, in 1985 the Hong Kong International Arbitration Centre (“HKIAC”) was established; and in 1991 the Singapore International Arbitration Centre (“SIAC”) was established. More recently, in 2008 the ICC set up a branch of its Secretariat in Hong Kong and in Singapore. Also, in 2008, the LCIA established (together with the Dubai International Financial Centre) a centre in Dubai, known as DIFC-LCIA. And, in April 2009, the LCIA set up a satellite branch in India, known as LCIA India.

This brief summary of the history of international commercial arbitration shows that, throughout history, international trade has led to the creation of arbitration machineries and legal frameworks. In looking to the future of arbitration, one similarly has to look at the current and future needs of international business practice to consider what future developments will occur in the field of international commercial arbitration.

Key Success Factors For Starting Your Own Commercial Cleaning Franchise

Having your own commercial cleaning franchise may seem like a very promising idea, but it involves careful and strategic planning and decision-making in order to maximize your business’ growth potential.

And the first key decision you have to make is choosing the right commercial cleaning franchise.

Some franchises promise high return on investment, while others promise full advertising support. While these factors are definitely very important they are not so powerful in isolation. You have to look for a franchise that offers you ‘the full package’ before you can make your decision.

Here are the key success factors you need to pay attention to that will help you make a success of any commercial cleaning franchise.

1. The Overall Reputation of the Cleaning Business.

This makes a lot of common sense. If the franchise has a good reputation with its existing customers, you will have a much easier time getting clients of your own in your area.

You can use client testimonials and referrals to help you get started, then form your own loyal client base to keep bringing in new clients.

2. Business Development Support.

It’s important that the franchise owner gives you 100% support to ensure that your business will have long-term success. Business development support includes: training and seminars, giving advice on which locations are best for you to set up your business in, and comprehensive market research statistics.

3. Marketing Support – Expertise and Materials.

Successful franchise owners provide adequate advertising support to franchisees. You should look to be getting pre-defined marketing materials for all necessary mediums – online and offline. These marketing materials should have been tried and tested ready for you to just customise and use straight away.

This minimizes your risk of spending a lot of money on working out what marketing works in your area and what doesn’t.

4. Detailed and Tested Business Processes.

This is critical! If you are looking to buy a commercial cleanining franchise, you must make sure you are getting good usable processes with the business package. These are the things that will enable you to “hit the ground running”.

Processes create a fail-safe environment, and allow you to get on with the more important things in your new business – like getting clients – as opposed to having to worry about teaching your employees the correct way to clean a kitchen…

5. Business Goals Alignment.

You and the franchise owner should work towards achieving a common business goal. Remember, it’s ultimately a joint venture – both of you have high stakes on it.

Look for a franchise owner who immediately conveys his long-term plans with you. This means that the franchise owner is not looking for a ‘quick buck’, but is rather confident about the long-term success of the business.

6. Customer Support.

Although customer support is often overlooked, it is one of the critical elements in choosing the best commercial cleaning franchise.

Does the customer support immediately respond to your queries? Does the customer support attend to your needs? Since customer support is essential to this type of business, the franchiser should set an example.

Having your own commercial cleaning franchise requires hard work, motivation and determination. In return though, you’ll get financial freedom and the opportunity to create your own future, as opposed to working for someone and relying on their ‘good grace’.

If you spend good time preparing and researching the different aspects of owning a business, you should increase your chances of success.

Beneficial Choices Commercial Insurance Clovis Gives an Individual

Commercial insurance is important for business entrepreneurs irrespective of the size of their business. Apart from comprehensiveness, the Commercial Insurance Clovis gives must also have enough flexibility. You can have an overwhelming number of options when you consider insurance for your business. Before starting a business, the entrepreneur writes a business plan. The policy is to help protect the business owner from unseen, unwanted events such as theft, fire, property damage, and employee injuries.

Different Options of Commercial

When one buys insurance, everyone expects the best protection with competitive pricing. The Commercial Insurance Clovis gives covers all these:

â— Professional liability.

â— Worker compensation.

â— Commercial property.

â— Business insurance.

â— Commercial auto liability.

â— Commercial umbrella.

â— Product liability insurance.

A company might not need all the insurances listed above. One can check the features of each and select the insurance that suits their need.

Professional Liability

The most important Commercial Insurance Clovis gives is liability insurance. This protects your company when it causes damage to another individual or company. This protection also includes defective products and the damage to a person on your business premises. You remain protected from property damages and personal injury. A lawsuit against your company can lead to bankruptcy but the liability insurance will protect you from that.

Worker Compensation

The employees in the company need protection under state law. This is to provide compensation if they get injured while working for the company. But, there is a stipulation that this is applicable only if you have a specific number of employees.

Commercial Property

Your bank will ask for this type of insurance when they hold your mortgage. Also, if you have rented commercial space from your landlord, then he might ask for this kind of insurance. The commercial property insurance protects the owner from damages to the property such as fire damage, weather damage, and theft.

Business Insurance

This covers various aspects of the business and depends on the size of the business. When you have a warehouse containing inflammable material, you must consider the insurance that covers fire damage. A Business Owners Policy (BOP) helps a business with more than 100 employees.

If your company uses vehicles, you might consider including commercial vehicles also. When many customers visit your business premises, liability insurance is also a must.

Commercial Auto Liability

This Commercial Insurance Clovis covers the business that uses commercial vehicles. The insurance protects you from any kind of damage the vehicle suffers, accidents, fire, and theft. You can also have an extended cover for covering delays in transporting passengers and goods.

Commercial Umbrella

This is also called the Excess Liability. If you work for a vendor, they might need this insurance from you. You might have insurance policy cover for many things but at times this might not be enough. In this case, the Commercial Umbrella insurance will cover it for you.

It is vital to keep your insurance up to date all the time. If you don’t, you will remain disadvantaged when you find out your policy has expired and you need the insurance cover.

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