Your E&O Policy Pays Defense Costs From Inside the Limit. The Settlement Gets What...
A six-person Atlanta agency carried a $1 million E&O policy and assumed it had $1 million to settle a client lawsuit. The defense lawyers spent $380,000 of it first.
Your BOP Includes Cyber Coverage. The Sublimit Runs Out Before Notification Begins.
A 14-person accounting firm trusted the cyber endorsement bundled into their BOP. The $50,000 sublimit covered the forensics invoice in full and ran out before a single notification letter went out.
A Roofer Coded as a Carpenter Cuts the Workers Comp Bill in Half. The...
His broker booked his roofing crew under residential carpentry to keep the workers comp premium low. The carrier's year-end audit reclassified the entire payroll and sent a $42,300 bill.
Your Cyber Policy May Not Cover the Ransom Even When It Covers the Breach
You bought a $1 million cyber liability policy after the headlines. The fine print on ransom payments is where most small businesses learn their coverage isn't what they thought.
Why Your E-Commerce Business Insurance Does Not Cover Product Liability Claims
An Etsy candle seller faced a $87,400 lawsuit when her product caused a customer's kitchen fire. Her business owner policy denied the claim because product liability for online sales had been carved out at renewal, leaving her personally on the hook.
The Liquor Liability Gap That Cost a Detroit Bar Owner $312,000
A Detroit bar owner paid $312,000 out of pocket after a Sunday afternoon bar fight. The assault and battery exclusion in his liquor liability policy is the same one most independent bars carry without realizing it.
How a $50,000 Surety Bond Claim Becomes the Contractor’s $58,140 Personal Debt
David Park finished a $480,000 renovation expecting a $52,000 final draw. His surety company sent him a $58,140 demand letter instead, for a bond claim he never personally agreed to pay.
How a 60-Day Vacancy Clause Can Slash Your Commercial Property Claim by 85%
Marcus Thompson expected his commercial policy to cover the full $87,300 in water damage at his vacant warehouse. The carrier paid $14,200 and denied the rest, citing a clause most owners never read.
How a Claims-Made Policy Leaves You Exposed After You Switch Insurers
David switched professional liability insurers and saved $1,400 a year. Then a former client filed a $48,000 claim, and neither his new nor his old insurer would pay.
Why Sole Proprietors Pay $800 a Year for a Workers Comp Policy That Will...
Marcus Reed bought an $812-a-year ghost workers comp policy to win a $42,000 commercial job. He fell off a ladder, filed a claim, and learned the policy excluded him as the owner. Ghost policies satisfy the certificate of insurance, not the owner.
