What business insurance do Charleston companies usually need?
Most Charleston businesses build their protection from a handful of core policies. General liability responds to third-party injury and property damage claims, such as a customer who slips in your store.
Commercial property covers a building you own, improvements to a space you lease, and your equipment, furniture, and inventory. Workers’ compensation pays for employee injuries on the job, and commercial auto covers vehicles used for the business.
Many small companies combine general liability and property in a business owner’s policy (BOP), which can simplify coverage and may cost less than buying each policy separately.
How does coastal weather affect commercial property insurance in Charleston?
Wind and water drive most commercial property questions here. Coastal commercial policies may carry a percentage deductible for hurricane, named-storm, or wind/hail losses, and South Carolina requires insurers to disclose those deductibles on commercial property policies as well as personal ones. Flood damage is usually excluded from commercial property forms, so a business in a low-lying part of the peninsula, West Ashley, or James Island should review separate flood insurance.
Business income coverage deserves a careful read too. It generally pays lost income after direct physical damage from a covered cause, which means lost income tied to a flood is often excluded unless the policy says otherwise. Owners of older buildings downtown should also ask about ordinance or law coverage, since repairs may have to meet current codes and, for some properties, historic district review.
What should Charleston restaurants and hospitality businesses review?
Restaurants, bars, hotels, and event venues deal with a steady stream of customers, which raises liability exposure. Along with general liability and property, these businesses often need liquor liability if they serve alcohol, spoilage coverage for food lost to equipment breakdown or power outages, and employment practices liability for larger staffs. Seasonal hiring can change employee counts quickly, which affects workers’ compensation. Hurricane evacuations can close a business for days, so owners should ask how their business income and civil authority coverage would respond to an evacuation order.
What insurance do Charleston contractors and trade businesses need?
Contractors usually need general liability, commercial auto, workers’ compensation, and inland marine coverage for tools and equipment that travel between job sites. Many general contractors and property owners in the Charleston market ask for certificates of insurance before work begins, and some require additional insured endorsements. South Carolina law can hold a general contractor responsible for injuries to a subcontractor’s employees when the subcontractor has no workers’ compensation coverage, so collecting and checking subcontractor certificates is worth the effort.
Is workers’ compensation required for Charleston businesses?
In most cases, yes. South Carolina requires employers that regularly have four or more employees, full-time or part-time, to carry workers’ compensation insurance. Employers whose total payroll was less than $3,000 in the previous year are exempt, along with a few categories such as certain agricultural and casual employment. The South Carolina Workers’ Compensation Commission enforces the requirement and can penalize employers who operate without required coverage. Smaller employers can still choose to buy a policy to protect their staff and the business.
