Homeowners / Dwelling / Renters

This kind of policy protects against the financial consequences of perils such as windstorms, fire and theft on a house, including the the garage and other structures on the property. It doesn't cover the effects of floods or earthquakes, unless the policy offers such protection for additional premium. Homeowners insurance protects personal property inside the house and loss of personal property anywhere in the world. It covers the expenses of loss of use and the cost of living elsewhere while the property is being restored. Homeowner's liability coverage protects against injuries sustained by guests, and it covers damage that you, your family members, or your pets cause to other people's property.

Insurers underwrite homeowners insurance through agents who visit a property, by responses from the homeowners, and increasingly with software that helps measure the value of buildings while quantifying risks in an area. The amount insurers will pay when a house is destroyed depends on the level of coverage the insured has chosen, from less than the cost of rebuilding to actual cost.

Anyone who owns their home needs homeowners insurance, especially all people who have borrrowed from lenders. The government doesn't require that you insure your home. Insurers, however, suggest that you buy enough insurance to rebuild your house at current construction costs, and to inventory personal property with significance and value.

Auto / ATVs

Auto insurance protects drivers from the financial consequences of damage to a vehicle or property, theft, vandalism, injury to the insured or other people, personal liability , or accidents with uninsured or underinsured drivers. If you're planning on driving, then you're planning to buy auto insurance, period.

Policies are carefully underwritten by insurers, who take into account your driving record, address, age and even your credit history. The kind of vehicle also matters; some vehicles are stolen more often than others, and some have better safety features. Among the coverages you can purchase are collision; comprehensive, which covers physical damage from fire, theft, vandalism or other non-collision damage; and liability, in cases when you're legally liable for bodily injury or property damage caused by an automobile.

All states require some form of financial responsibility, and the majority require a variety of coverages. Insureds have wide latitude in how much and what kind of coverage to buy. For example, high annual deductibles can greatly reduce premiums. Old vehicles may no longer warrant collision or comprehensive; usually you can't even purchase them if the auto has reached a certain age. Affluent drivers, who are smart and responsible, will maximize their liability coverage for lawsuits as deep as their own pockets. Lenders usually require collision and comprehensive coverages.

Recreational and all terrain vehicles work under the same philosophies. Liability protection is the most important coverage for these types of vehicles, especially when considering the inherent danger that consistently follows four wheeler and snowmobile use. Premium frequency and basis may be also different, w depending mostly on what kind of ATV you're trying to insure, and whether you need physical damage protection.

Commercial Auto

Commercial auto policies protect insureds against liability, no-fault medical payments, uninsured and underinsureded motorists, with collision or comprehensive physical damage too. In addition, commerical auto affords coverage on autos that are hired or borrowed for use in business. Employees of such businesses, or members of their household, may own vehicles with a commercial auto policy.

Liability coverage pays for injuries or damages due to an accident involving use of a covered auto. The insurer also pays for legal defense costs. Medical coverage pays for an insured's medical expenses. Uninsured and underinsured coverages pay for damages when the offending party is unable to pay. No fault medical coverage is another special feature, paying for medical expenses regardless of who's responsible.

Most states require auto liability coverage, uninsured and underinsured motorists coverage, and no fault auto coverage. In addition, lenders on auto loans require physical damage on the autos they finance. Even firms that own no autos usually desire hired or non-owned liability coverage for their employees whose jobs require a lot of business related driving.

BOPs / Commercial

Businessowners Polices protect insureds against a variety of property and liability risks, and their packaged protections are similar to that found in a Homeowners policy. They are usually an excellent choice for smaller businesses concerned about having broad protections and affordable premiums.

BOPs combine basic coverages needed by small or midsize companies into a single policy with a single premium. The combined coverages of a BOP are less expensive than purchasing the same kind of coverages separately. Covered perils for property coverage include those covered under regular commercial policies such as fire, windstorm, and explosion. Property coverages also cover loss of business income and extra expenses resulting from a covered property loss. Optional coverages may also be purchased and include: employee dishonesty, equipment breakdown, or money and securities.

Fully customizable commercial package policies come into play when the business in need of insurance has risks a BOP cannot offer adequate coverages for. Professional and product liability, medical malpractice, farmowners, environmental, and errors & ommissions coverages can all be found within a commercial policy, along with many other endorsements, all custom tailored for the business operations they cover. The complexity of CPPs can be daunting even for an insurance agent, and they require a large amount of research on both ends of the transaction, by the agent.

BOPs and CPPs are needed by anyone who owns a business or company. BOPs make more sense for small to mid-size businesses, who don't have extraordinary risks to worry about. Their inclusive packaging makes them a very appealing product, especially for business owners who need to save money too. CPPs are needed by all business owners that have heightened and specialized risks, which cannot be addressed by a BOP, or extremely large operations. Product manufacturers, intellectual proprietors, and unusual lines of business will have to look to a CPP to build a policy able to meet their needs..

Surety Bonding

Surety bonds are written agreements that facilitate competitive bidding on construction projects or other contractual obligations, and they boost economic development while securing competent performance. Bonding provides financial protection as does insurance, though on a different set of premises.

Surety bonds are three-party contracts, which includes the surety, the principal or obligor, and the obligee. The principal can be seen as the party who needs financial backing for their own performance. This principal, or obligor, uses the bond to guarantee certain conditions or performance requisites are completed as they've agreed to do. Last is the obligee, or the party who receives surety's protection. Obligees receive the benefit of the bond when the obligation isn't successfully met. Suretyship is different from traditional insurance in that the risk is not transferred to an insurance company, but rather remains with the principal. The bond protects the obligee only in cases where the principal cannot pay, usually because they can't be found or bankrupcy. The principal thus pays a fee to a surety company so they can provide proof of financial responsibility to the state and whom they're dealing with. Surety companies pay out their bonds whenever performances aren't met, with the contractual understanding that the principal repay them, even if the obligor has to liquidate his personal assets to do so. This is why surety companies conduct thorough applicant reviews, which consider an applicant's ability to perform the obligation, along with personal character and financial assets. Surety companies may also request some form of collateral, from the principal, before issuing the bond.

Nearly every business owner needs fidelity bonding, and certain sureties are required by law for any public projects. Contractors are another major group in need of bonds, and usually must have a bond in order to land a project, not to mention their state license. Public officials, judiciary actions, and persons with fiduciary responsibilities are often required by statutes, courts, or wills to be bonded as well. All in all, any person in charge of a business, which has consistent contact with anything publicly related, needs or should have a certain type of bond.