Facing a lawsuit can be distressing. You could end up filing for bankruptcy or losing business if your reputation takes a hit. Thankfully, commercial insurance can help business owners in Port Jervis, NY, navigate these situations.
Legal Defense
Standard commercial policies typically include coverage for legal defense. Your insurance provider generally covers these costs, allowing you to secure high-quality legal representation without facing overwhelming litigation expenses on your own. An agent at Worthington Carroll Agency can help you learn more.
Settlement Payments
If a judgment is entered against you, your policy may help cover the settlement, though exclusions always apply. Coverage generally only extends to incidents that qualify as covered events. For example, most policies cover a slip-and-fall incident that results in a liability lawsuit, but a claim tied to clear negligence, such as failing to post a wet floor sign, may not be covered the same way. An agent at Worthington Carroll Agency can help clarify exactly what your policy covers.
Product Lawsuits
Product-related lawsuits are generally handled similarly to other liability claims. Your provider will likely help cover legal defense and settlement costs up to your policy limits, but this typically requires having product liability coverage specifically. Speak with an agent to confirm you have the right coverage in place before an issue arises.
Policy Limits
While commercial insurance can help you avoid bankruptcy, it only pays out up to your policy’s limits. That means if a settlement is awarded for $1.5 million but your policy only covers $1 million, you’d be responsible for the remaining balance out of pocket.
Agents at Worthington Carroll Agency will work with you to make sure you understand how your policy works, what it covers, and your specific coverage limits. Contact us today. We’re currently serving the Port Jervis, NY, area.
