What Insurance Do I Need to Run a Professional Office in CNY?

Running a professional office in Central New York has its headaches. Assembling the right insurance portfolio tops the list. Without proper coverage, your livelihood hinges on avoiding that one accident, mistake, or disaster. 

At Horan, we know the stakes because we work with local businesses like yours every day. Plus, we ourselves are a professional office!

This article maps out the policies that successful CNY offices rely on. With the right plans in place, you gain security to focus on clients and growing operations. 

We’ll explore the core business owners and liability packages you need. Plus potential add-ons as your business evolves. 

How We Define a Professional CNY Office

Professional offices can vary a lot depending on the type of service they provide. In this article, we’ll cover the basic insurance needs for most professional offices in Central New York. Then, we will discuss some specific factors that may affect your insurance choices depending on your profession.

We define a professional office as a service-related entity that does not sell a tangible item. If that describes you, then you’re in the right place. 

We also assume you have at least one employee, even if it’s just an assistant. If you’re a solo practitioner, some of the insurance requirements may not apply to you.

The Best Foundational Insurance for a Professional Office in CNY

The first type of insurance you need is a business owners policy (BOP) or a commercial package policy (CPP). These policies combine general liability and property coverage into one package. They protect you from lawsuits and damages related to your business operations and assets. 

A BOP or CPP is essential for any professional office, regardless of the size or nature of your business.

Business Personal Property Protection

Your BOP or CPP also covers your business personal property. This includes 

• furnishings, 
• computers, 
• point of sale equipment, and 
• anything else you use for your business. 

If you own the building, you need to cover that too. If you rent the space, you need to cover any alterations you’ve made. 

For example, you may have changed the walls, the flooring, the windows, or the lighting. These changes aren’t covered by the landlord’s insurance. They are part of your business personal property. 

Many people forget to add them to their policy. You want to make sure that you have enough coverage for all the equity and cost you’ve invested in the space. You don’t want to settle for less.

Workers Compensation and Employee Benefits

Another type of insurance that you need if you have employees is workers compensation insurance. This covers your employees if they get injured or ill because of their work. As the owner, you can choose to include or exclude yourself from this coverage. This is a common question for business owners.

If you exclude yourself, you pay less for the insurance. But you also lose the right to claim benefits if you get hurt or sick on the job. You have to weigh the pros and cons of this option.

If you include yourself, you pay more for the insurance. But you also get the protection of the policy if you need it. However, the amount of coverage isn’t based on your actual salary. It’s based on a minimum salary set by the insurance company. 

This minimum salary varies by profession. For example, if you’re an accountant and an owner, the insurance company may assume you make $88,000 a year. This is the basis for your workers compensation coverage.

And if you do have employees, you have to provide them with New York State short term disability and paid family leave. 

Workers compensation oversees them and makes sure you have them in place.

Tailoring Your Business Coverage with Endorsements

Another benefit of a business owners policy is that it can include endorsements for your specific type of business. Endorsements are additions or changes to your policy that cover certain risks or exposures. 

For example, you may need cyber liability insurance or professional liability insurance. These endorsements depend on the carrier and the profession. This type of insurance protects professionals from claims of negligence, mistakes, or misrepresentation in their services. 

Professional liability is also known as errors and omissions insurance. Some carriers offer this endorsement for various professions, such as real estate or IT. 

But some carriers may not offer them for certain professions. A Syracuse attorney, for instance, may face professional liability claims from dissatisfied clients, opposing parties, or third parties who allege that her actions caused them harm.

Because of the nature and complexity of legal work, the potential damages from such claims can be very high. Therefore, some insurance carriers may be reluctant to offer professional liability coverage to attorneys, or may charge higher premiums or impose stricter conditions. 

In such cases, attorneys must obtain special coverage, called legal malpractice insurance from a specialty carrier.

You need to check with your carrier and your agent to see what endorsements are available for your business owners policy.

Commercial Auto Insurance

Another thing to consider is how you use your vehicle for your business. If you’re a professional realtor, for example, you need a policy that covers the business use of your vehicle. 

You can either endorse your personal policy to include business use, or you can get a separate business auto policy. This depends on how your business operates and how you use your vehicles. 

Do you or your agents utilize cars to transport clients to listings or open houses? If so, existing personal auto policies need business endorsements. Or a standalone business auto policy works. 

Compare that to a firm where driving merely gets staffers between the office and meetings.

Most people just use their car to drive to and from work or appointments. They don’t need their car to do their work. But if you do, you need to protect yourself and your business from liability and damages in case of an accident.

Obtain Business Coverage That Adequately Protects Your Professional Services

We covered the essential business policies for operating a professional services firm in Central New York. With the right plans in place, you gain composure and security to focus on your clients and growth. 

Overlooking key coverage exposes your livelihood to a single lawsuit, accident, or disaster. Don’t take that chance and compromise all your hard work. 

Our independent agency offers no-obligation reviews of your current protection and risk exposures. We customize solutions so your business is covered as it evolves. And we’re here to answer all your insurance questions along the way. 

Click the Get a Quote button below and we’ll help equip your business with coverage that allows you to serve Central New York with confidence.