How long does business interruption insurance coverage last?

The coverage lasts for a predetermined "restoration period," typically from the date of loss until the business resumes normal operations, up to the policy limit. Some policies offer extended coverage after reopening.

How does surrender value differ from maturity value?

Surrender value is the amount received before maturity if the policy is canceled, while maturity value is the full payout provided at the end of the policy term.

What happens if an E&S insurer goes bankrupt?

Since non-admitted insurers are not backed by state guaranty funds, policyholders bear more financial risk if an E&S insurer fails.

What is liability insurance, and who needs it?

Liability insurance protects individuals and businesses from financial losses if they are legally responsible for injury or property damage to others. Common types include general liability, professional liability (errors & omissions), and product liability. It is essential for businesses and professionals to reduce legal risks.

What is a total loss, and how is it determined?

A total loss occurs when the cost of repairs exceeds a percentage of the vehicle’s value. Insurers use market value assessments to determine this threshold.

What is third-party liability in employer liability insurance?

Third-party liability occurs when an employee sues a third party (e.g., a machine manufacturer) for an injury, and that third party then sues the employer. Employer liability insurance helps cover such claims.

What happens if I stop paying premiums on my Universal Life policy?

If you stop paying premiums, the cash value of the policy may cover the cost of insurance for a period, but eventually, the policy could lapse. Some policies allow for a grace period or the ability to pay reduced premiums.

What does liability insurance cover?

It covers legal defense costs, settlements, and judgments related to bodily injury, property damage, and personal injury claims filed against the insured.