Alarm-linked Businesses Confronts Considerable Risks
Alarm-linked businesses made up of alarm monitoring stations, and closed circuit television (CCTV) cameras, and this type of business handles a lot of considerable damages on a daily basis. Harm to property, workers even lawsuit can truly influence the operations of an alarm contractor business and ultimate outcome.
Your security alarm business sells, installs, repairs, and monitors robbery and fire alarms in homes and companies to protect your customer’s properties, but the question is, who protects you? What if your alarm did not work or wasn’t that fast? What will you do when a staff is injured doing the job for you? What if your products are stolen from you? You could lose much if you do not protect your business.
What are the dangers that Security Alarm Firms encounter?
When your company tries to protect other people, it can endanger your firm. Regardless if you sell, install, or monitor the alarm systems or be the contractor, you just have to deliver to the customer what you agreed upon. Because of this, you may encounter possible damages to your client’s property, and thus, incur loss on your end. There could also be theft or damage on your side.
These are only a handful of risks that security alarm firms encounter:
- Carelessness, mistakes, or failure in fulfilling the quotes and contracts
- Physical or property damage while installing the alarm system
- Complains of falsely advertising your product, defamation, or slander
- Theft or crime done by an employee/s
- Information breach or other cyber events
- Sickness or damage to employee
- Storms, robbery, fire, or even vandalism
It is absolutely important that security alarm firms have a Liability Insurance because you are helping others to protect themselves from any danger. Therefore, you spend a lot of time working in your customer’s place while doing so. Because you also offer monitoring service, you take care of reacting to alarms and letting the authorities know. There could be injuries, major property damage or even death.
When you get a Liability Insurance just make sure that it has the following:
- Commercial general liability Insurance or CGL: This gives coverage for expensive claims and lawsuits. Should your company is accused of incurring third-party physical injury or damage to property, the CGL takes care of what you should pay if you do not have this policy. It likewise covers claim for libel, slander, and advertising injury.
- Cyber liability insurance: For data breach that involves you. It pays the afflicted customers, P.R. and investigation expenses and even more.
- Commercial umbrella insurance, or excess liability coverage: Provides complementary liability protection is an extra protection in case of a major judgment against your firm that could ruin everything. It is could be your life saver.
- Employment practices liability insurance: This will protect you should an employee sue you for prejudicial employment practices.
Businesses that install burglar alarms and security systems has to have professional liability insurance also known as errors and omissions insurance. This is for failure in fulfilling services that you initial agreed upon that caused the customer to lose financially. It provide coverage for:
- Smearing ones character
- Defamation and maligning
- Emotional distress
- Failure to provide the products or services that were agreed upon
- Mistakes and failures that resulted to financial loss of the client.
- Professional carelessness
You might also want to get an Employee Insurance since you have employees who installs and repairs and surely they use vehicles that are owned by the company. But whether you have a truck or not, you need to have insurance for your alarm installers. Commercial vehicle insurance can provide protection for any vehicle you utilize for your company. It covers physical harm and property damage coverage, and so on.
You also need a workers compensation insurance not just for alarm installers but other staffs who were hurt on the job. This will take care of the medical expenses and the salary they lost due to the damage.
Here are the Property Insurance available for Alarm Companies:
Business property insurance secures buildings and whatever are in it from smoke, theft, fire, vandalised or other disaster and that is whether or not you own or rent the space. This likewise protects from damages like relocation or briefly closed. It reimburses the expenses you need to operate as well as lost income during the duration.
There are additional insurance coverage like flood, fire, or hurricane insurance. Also, computers and media coverage or electronic data processing (EDP) insurance are added. So, do not delay; purchase a Security Alarm Liability Insurance now!
Our agency is always glad to analyze your business and give you sound advice for the right policies. Fill out the form below and be assured that our risk advisor will discuss important choices that your company needs to know.
