Category: Business Owners Policy

US Entry and the Custom Clearance Bond

custom clearance bond

As those dealing in freight forwarding and cargo contingency fully know, US customs reviews entries in a multi-step process. Generally, the freight is released to the importer before the process is complete. Customs therefore requires that a bond, which acts like an insurance policy, cover commercial entries. It acts as a guarantee that an importer will, once the freight is released, agree to pay duties in a timely manner (often within ten days if processed through a broker).

They must also agree to make or complete a proper entry, to produce documents and evidence when requested, redeliver the merchandise to customs custody, if necessary, and to rectify any noncompliance with the provisions of admission. Also, in order to receive a custom clearance bond they will need to agree to the examination of the merchandise and to use the freight in the manner dictated by a special-use provision entry, as well as comply with customs regulations, electronic entry requirements and advance cargo information filing requirements. They must also take responsibility for the consequences of any damages charged against the bond in the case of default.

Important information to know

The primary purpose of a customs bond is to guarantee the payment of import duties and taxes, as well as to assure compliance with all laws and regulations governing the entry of merchandise from foreign shipping points into the US. For restricted merchandise, including anything requiring a declaration to the FCC, FDA or other government agency, the bond is required to cover three times the commercial invoice value.

For items considered to be non-restricted merchandise, the bond must cover the commercial invoice value plus the duties and taxes applicable to the shipment. A Single-Entry bond needs to be filed in hard copy format to customs at the port in order to obtain a release. The documents are sent by courier to customs, reviewed by an inspector, subsequently released, and then returned to the broker’s office by courier. Remember, for time-sensitive cargo, that all of this traveling of the paperwork will often take some time.

Speak to an insurance agent knowledgeable about the custom clearance bond process, and also in surety and risk management solutions for supply chain and transportation intermediaries.

Top 5 Factors to Consider When Choosing an Insurance Company

insurance companies in Virginia

When choosing between insurance companies in Virginia, there are several important factors to consider before making a decision. Whether you own a home or business, one of the most essential things you need to do is protect your family or mitigate business risks with proper insurance coverage. Here are five factors to consider when selecting an insurance company:

1. Type of coverage. General liability is essential, but there are other coverage types available.
2. Budget. Be practical when it comes to how much you can afford for insurance expenses.
3. Comparing rates. Compare different rates and features that insurance companies in Virginia offer before making a commitment.
4. Read the fine print. Pay close attention to the fine print in your insurance policy before purchasing it so you do not end up overpaying in the end.
5. Quality rating. Compare the quality ratings of various insurance companies published by the main insurance rating agencies, such as Standard & Poors or Moodys.

Peace of mind and financial protection are just a few benefits of comparing insurance companies in Virginia before deciding on a policy to purchase. Understanding your priorities before you begin the search can help you locate the company that offers affordable, competitive prices and dependable coverage to meet your insurance needs.

Why Your Company May Need a Commercial Package Policy

commercial package policy

For many businesses there comes a time when a company grows past the point where its infrastructure, processes, and goals become obsolete. This is a concept all too familiar to many who understand that the commercial landscape is constantly changing, which also applies to a business insurance policy. Where a startup or a relatively new company may be well-served by adding several low-priced insurance coverage’s over time, an expanding and more mature company will likely require a more universal approach when it comes to protecting itself against unexpected perils. This is precisely the point where an insurance agency that deals primarily with small businesses can be of help by offering options related to a commercial package policy.

Comparing a business owners policy with a commercial package policy

Once individual insurance policies no longer do the trick, a small business owner has two choices of insurance packages available: a business owners policy and a commercial package policy. Both of them offer multiple types of policies that are bundled together, but there are some substantial differences between the two.

For example, a business owners policy is like that fast food combo meal that is perfectly suitable for people looking to save money and that only need a quick, pre-packaged insurance solution that will give them sufficient coverage. But due to the fact that a commercial package policy offers so many more options, its a much better choice in that it can be tailored to cover many important aspects of your business concerns.

When constructing your commercial package coverage’s, you can pick from several types of coverage, including product liability, general liability, and professional liability, as well as property, business income, business auto, and even employment practices or commercial umbrella, and there are other options available. Other policies that you may require, but not available within a CPP, can still be purchased as stand alone policies. So you get all the protection you need, and as your needs change you can restructure everything in a way that you need and will benefit you the most.

Speak to an agent today if you feel that you could benefit from some assistance in putting together a commercial package policy.

Restaurants and Making Hospitality Insurance Choices

hospitality insurance

Your hospitality business is focused on serving the needs of the thousands of customers that pick you to help whet their appetite. The insurance coverage that you select must be designed to help you continue to serve your customers in times when you experience a loss (and make sure that you’re back up and running as quickly as possible) in the event that a major issue develops.

You need a hospitality insurance policy that has coverage’s and support specifically designed for a company in this dynamic industry. As a restaurant owner, you’ve worked hard to create a successful business that serves the needs of your customers and provide a positive dining experience. Any risks or exposures can easily affect your reputation and bring your operations to its knees.

Choosing the right insurance agency with sound solutions

That’s why its important that you partner with an insurer that will cater to all of your insurance needs by helping you manage the protection of your business, staff and guests. That means someone that offers customized coverage’s that are specifically designed with a restaurant in mind. Many agencies operate within this area that specialize in helping restaurants with their insurance and risk management.

Being in the hospitality business is different than many other types of businesses, and you need someone who understands those differences. Insuring a restaurant requires in depth knowledge and experience about which types of coverage’s are critical and what coverage’s are considered just desirable to have. The objective should be to provide each restaurateur with a customized insurance program at the lowest possible price.

As an owner, you’re concerned with a slew of different issues, including loss control and how to proactively avoid claims from occurring. Loss prevention is one of the most effective claims management tools of all.

Whether you’re the owner of a fine dining establishment, cafe’, diner, sandwich shop, fast food place, or other so-called hospitality venue, you’ll want the option to choose from a number of programs, including packages that include business liability protection, property coverage and crime. It doesn’t matter if you have a single location or multiple locations, you can get a tailored hospitality insurance solution that is guaranteed to be the right fit for you.

How a Business Owners Policy Can Save You Money

How a Business Owners Policy Can Save You Money

When looking into buying insurance for your company the first thing you need to do is assess your risks. Through underwriting, insurance companies determine the level of risk they’ll accept when issuing policies. Theyll review your application and thereby determine whether they will provide all, or a portion of the coverage being requested.

Premiums that are paid for insurance vary among different insurance companies, and they also depend on a number of risk factors, including the location of your business, the type of building in use, availability of local fire protection services, along with the amount of insurance being purchased. Purchasing a business owner’s policy can also help you to reduce the price you pay for your separate insurance policies.

Why you should consider a Business Owner’s Policy (BOP)

Insurance can be purchased either separately or in a package called a BOP. Purchasing separate policies from different insurers will often result in higher total premiums. A BOP combines typical coverage options into a standard package, and is offered at a premium. Typically BOP’s consist of combining property, general liability, vehicles, business interruption and other types of coverage common to many similarly modeled types of companies (although companies doing a different sort of business altogether can also find the BOP useful).

BOP’s help to simplify the insurance buying process while saving you money. However, not every type of insurance is included in a BOP, so if your business has unique risks, you may require additional coverage. In other words, make sure you understand the extent of coverage in any BOP you may be considering.

Over time your company will grow and perhaps change, so assess your insurance coverage on an annual basis. Also, as your business grows, chances are your liabilities do as well. The last thing you want to happen is that you end up being underinsured at the worst possible time, and thats when a disaster strikes.

If you end up purchasing or replacing equipment or decide to expand your operations, it would be a good idea to contact your insurance broker to discuss these changes in your business and how they affect your current coverage on your business owner’s policy.