BUSINESS INSURANCE FOR MILSPOUSE Before you begin: Students taking this course may also be interested in the training presentation titled “Manage your mailbox I: Find its size and trim it down.” [Note to trainer: For detailed help in customizing this template, see the last slide. Also, look for additional lesson text in the notes pane of some slides.] Understand your choices for business coverage.

Military Spouse Business Owners Military Spouses are often exceptionally talented entreprenuers and business owners. Owning a business is an ideal path for spouses as it allows you to set the rules, establish your own hours and be flexible when it comes to geographic location. With increased ability to work from home and run a business with employees from coast to coast, more and more spouses are not only establishing their own business, but hiring fellow military spouses, as well. And while being in charge of our own business can be lucrative and exciting pursuit, it also carries with it some risks. You need to know what those risks are and how to protect you and your business. Manage your mailbox II: Understand your choices for storing

Running the Numbers $35 BILLION: Annual out-of-pocket cost of lawsuits for small businesses $475,000: Average court costs for disputes over technology transactions 70%: Businesses that will raise prices or cut hiring when sued

Manage your mailbox II: Understand your choices for storing Overview Who needs business insurance coverage? What coverages does your business need? Why is business insurance coverage is important? Manage your mailbox II: Understand your choices for storing

Who needs business insurance coverage? Anyone who is offering a service or product needs business insurance coverage. Anyone who has commercial property such as rental property, commercial buildings or retail space needs business insurance coverage. Anyone who has an organization, such as VFW, American Legions, or other association needs business coverage. The personal folder is known as a Personal Folders file, or PST.

‘Here’s Why It Helps Me’ "Business insurance is important to the health of your business. It’s the single most important purchase you’ll make when you start your business. Because of the often close relationship between your business and personal assets, having adequate insurance can be the difference between going under and staying afloat. Do yourself a favor and get covered.” Lakesha Cole, Owner She Swank Too, 2014 Armed Forces Insurance Military Spouse of the Year. Manage your mailbox II: Understand your choices for storing

Why is business insurance so important? Personal insurance coverages exclude business property and activities. Protect your assets Legal Liabilities

The Basics: What coverages does your business need? General Liability Coverage Professional Liability Coverage Business Property Coverage Specialized Liability Insurance Business Property Coverage, Building and Business Property, desk, chairs, stock, shelves, computers tools

General Liability Coverage What does it cover? Bodily Injury or Property Damage Medical Payments Defense Costs Personal and advertising injury Electronic data liability Q&A: What are the exclusions on a general liability insurance policy? Manage your mailbox II: Understand your choices for storing

Professional Liability Coverage What does it cover? Negligence Service performed in the past Defense Costs Personal injury/slander Claims and punitive damages Professional Liability Coverage Business Property Coverage, Building and Business Property, desk, chairs, stock, shelves, computers tools

Business Property Coverage What does it cover? Building Property Coverage Business Equipment Stock and inventory Lost business income Coverage in and away from the office Professional Liability Coverage Business Property Coverage, Building and Business Property, desk, chairs, stock, shelves, computers tools

Specialized Liability Insurance Policies Errors and Omissions Insurance (E&O)/Professional Liability Insurance Employment Practices Liability Insurance (EPLI) Directors and Officers Liability Insurance (D&O) Business Identity Theft Insurance Terrorism Insurance Workers Compensation Insurance

Errors and Omissions Insurance (E&O)/Professional Liability Insurance Consider this insurance if your business involves services such as: giving advice making recommendations designing products providing physical care or representing the needs of others You could be sued by customers, clients or patients claiming your failure to perform your job properly had harmed them in some way. Manage your mailbox II: Understand your choices for storing

Employment Practices Liability Insurance (EPLI) What does it cover? pays, up to the policy limits, damages for which an employer is legally liable for violating an employee’s civil or other legal rights. provides for legal defense costs up to policy limit. Manage your mailbox II: Understand your choices for storing

Directors and Officers Liability Insurance (D&O) What does it cover? protects directors and officers of corporations or not-for-profit organizations if there is a lawsuit claiming they managed the business or organization without proper regard for the rights of others. provides for legal defense costs up to policy limit. Manage your mailbox II: Understand your choices for storing

Business Identity Theft Insurance What does it cover? provides legal liability coverage to businesses that are victims of data theft can also provide coverage to notify customers whose personal identification information may have been compromised and pay for services to provide identity theft recovery services for customers. Manage your mailbox II: Understand your choices for storing

Manage your mailbox II: Understand your choices for storing Terrorism Insurance Prior to the terrorist attacks of September 11, 2001, standard commercial insurance policies included terrorism coverage as part of the package. Insurance losses attributable to terrorist acts under these commercial policies are insured by private insurers and reinsured by the federal government pursuant to the Terrorism Risk and Insurance Act (TRIA). Under TRIA, owners of commercial property, such as office buildings, factories, shopping malls and apartment buildings, must be offered the opportunity to purchase terrorism coverage. Manage your mailbox II: Understand your choices for storing

Workers Compensation Insurance What does it cover? pays for medical care and replaces a portion of lost wages for an employee who is injured in the course of employment, regardless of fault. When a worker dies as a result of injuries sustained while working, the insurance provides compensation to the employee’s family.  Manage your mailbox II: Understand your choices for storing

Manage your mailbox II: Understand your choices for storing Umbrella Policies What does it cover? an umbrella liability policy provides coverage over and above your other liability coverages. protect against unusually high losses, when the policy limits of one of the underlying policies have been used up. Manage your mailbox II: Understand your choices for storing

Other Types of Policies You May Need Property and Casualty Insurance Commercial Auto Insurance/Business Vehicle Insurance Product Liability Insurance Business Interruption Insurance Manage your mailbox II: Understand your choices for storing

Our Mission The Armed Forces Insurance Foundation recognizes the value, security and shared benefit of insurance. To offer education opportunities to veterans and their families resulting to help them make informed decisions on their insurance needs and other financial choices. AFI Foundation does not endorse any commercial product or service. Armed Forces Insurance is the sponsor of the AFI Foundation.

Before you begin: Students taking this course may also be interested in the training presentation titled “Manage your mailbox I: Find its size and trim it down.” [Note to trainer: For detailed help in customizing this template, see the last slide. Also, look for additional lesson text in the notes pane of some slides.]