Frequently Asked Questions About Business Insurance

Frequently Asked Questions About Business Insurance

Get straight and simple answers to all your business insurance frequently asked questions.
These FAQs were gathered from Canadian business owners like you.

One of my employees stole cash from my coffee shop. Will my insurance provide this coverage?

When an employee is involved in stealing company property, you need additional coverage called commercial crime insurance. Commercial crime coverage protects your business by offering financial protection against claims of employee dishonesty, forgery, fraud, and internal theft.

Does my cafe insurance cover additional catering services?

Yes, if you offer a catering service also, you may require additional coverage based on the size and locations of the events you’re catering. Within your quote, you should disclose additional services offered, such as catering, to ensure you have enough coverage.

If I sell alcohol at my cafe, will I need extra coverage?

Yes, if you serve alcohol in your cafe, you should add liquor liability to your policy. Liquor liability can cover you financially for alcohol-related accidents, such as being accused of overserving a customer, who injures themselves due to their intoxication. Liquor liability can cover legal fees and other related costs (such as medical fees)

Do part-time practitioners working in a medical clinic require insurance?

Yes. If you hire a health and wellness practitioner to work part-time or temporarily at your facility, you need to ensure they carry professional liability insurance.

Are counsellors or practitioners who work from home covered by their respective home insurance policies?

No. If a counsellor or health and wellness practitioner works from home virtually or welcomes patients to their dwelling, they will require commercial general liability, commercial property, and professional liability insurance. Your residential home insurance policy is not designed to cover you for incidents or accidents related to running a business or managing a health and wellness practice.

Is there a difference between the type of insurance a counsellor and therapist need?

The terms counsellor and therapist are interchangeable and may refer to the same health and wellness practitioner type. Generally, a counsellor is a practitioner who treats a patient over a short period, and a therapist treats patients for an extended period. Both practitioners face similar professional liability risks and may require similar policies.

Does dog walking insurance provide coverage for the care of dogs?

Dog walking insurance can cover other services, such as grooming or the boarding of dogs. However, you may need more coverage and higher limits. While filling out an online application, you’ll be asked about the specific services your business offers to help build an accurate policy for your needs.

Is there a limit of how many dogs I can walk at a time?

There may be limits depending on where you live. For instance, in the City of Toronto, you need a dog walking permit to walk four to six dogs at one time (less than that is fine) – walking more than six dogs is never allowed. Always ensure you’re following the local dog walking bylaws – that way, you’re likely to be covered in the event of a liability claim.

If one of the dogs gets sick from a treat I gave them, will I be covered?

Yes, if a dog becomes sick or injured while in your care – even if, by accident, you caused their sickness – your CGL policy may cover their veterinary bills and any related legal defence costs.

My company was granted a commercial window cleaning contract. Do I need to increase my coverage limit?

It’s recommended to have at least $2 million of coverage at a minimum. However, some contracts may require you to have a limit greater than $2 million. In those cases, it is wise to adhere to the contract’s terms and ensure you are covered adequately. Speak to a licensed broker if you need to increase your coverage limit.

If I have a door-to-door sales team, are they covered by my policy in case of accidental property damage?

If the members of your sales team are also full-time employees, yes, your policy will provide them with coverage. If they are part-time employees, it will depend on your insurance carrier. However, most insurers consider part-time employees and subcontractors as one and the same, meaning they will need to get their own insurance policies.

Will my insurance policy cover me if my window cleaning business uses specific chemicals such as chlorine and ammonia to clean exterior windows?

Provided you include pollution liability coverage as part of your overall policy, and your insurer is aware of the types of chemicals you use, yes, your business will be covered for environmental and property damages or physical injuries to people that occur as result of the materials your business uses.

One of my customers accused me of theft. Will my handyman insurance policy cover me if they sue me?

If a customer accuses you of theft and decides to pursue civil action against you in court, your commercial general liability insurance coverage may pay for your legal defence expenses as well as any court-ordered settlement.

Am I liable for any subcontractors I hire for a specific project?

If you hire a subcontractor to provide services for a job you have been hired to do, and that subcontractor causes damage to the property and they are not insured, you could be held liable by your customer for third-party property damage. To avoid this situation, ensure any subcontractors you hire carry a valid certificate of insurance, or contact your broker to include them on your policy as an additional insured.

Is there a difference between handyman insurance and contractor insurance?

In general, no, both handyman insurance and contractor insurance are designed to provide self-employed and independent professionals who identify as handymen or contractors similar types of coverage. Where there are differences comes down to the types of coverages you choose, the limits of those coverages, and the deductibles.

How can a startup insurance policy support my company as I hire employees?

Once you begin to hire permanent or temporary employees, it may be necessary to enhance your existing coverage. For instance, you may wish to add commercial crime insurance to your policy, which safeguards your company from internal theft, fraud, or forgery. Or if your startup has one or more vehicles you use for business purposes, you may require commercial auto coverage. Talk to a licensed Zensurance broker to determine how you can up your coverage as you grow.

What are some steps I can take to lower the annual cost of my policy?

Conducting an annual risk assessment of your company and taking action to mitigate your risks when items are identified can help keep the cost of your policy as low as possible. Additionally, it’s wise to engage with a licensed broker and get an insurance checkup each year to ensure your coverage is sufficient as your business grows and changes. Your broker can also shop the market for you when your existing policy comes due for renewal to see if switching to a different insurer can increase your protection while decreasing the amount you pay.

How does startup insurance factor into my strategic business plan?

Startup insurance is a critical component of your strategic business plan and the backbone of your company’s risk management strategy. In essence, it helps you manage the risk of damage and loss to your startup. Assessing what your startup’s operational risks and liabilities are, is the first step toward getting the adequate protection you need and identifying any gaps in your policy. Your Zensurance licensed broker can help you do that.

How can I reduce the cost of a hotel insurance premium?

Taking proactive steps and preventative measures to mitigate your hotel’s risks is the best way to keep your annual insurance bill low. It’s important to note that an insurance contract is not a maintenance contract. Therefore, it’s incumbent upon you to ensure necessary repairs and maintenance to the property are conducted regularly. Furthermore, installing 24/7 monitored security surveillance cameras and burglar alarms, automated fire detection and water sprinkling systems, and having established safety programs and trained employees can help keep your annual premium as low as possible.

Can I include both properties on one insurance policy if I own two or more motels or hotels in different locations?

Yes. If you own multiple motels or hotel properties, they can be included in one policy with the same insurer. Doing so may also net you a modest discount for insuring more than one property with the same insurance company.

My hotel does not have a bar, but each room has a small refrigerator that contains alcohol guests may purchase. Is it necessary to include liquor liability insurance in my overall policy?

Yes. Any hospitality business that serves its guests or customers alcohol should buy liquor liability insurance. Whether you serve alcohol in a bar or eatery, or in guest rooms, you could be held liable for injuries or damages caused by a guest if intoxication is deemed a contributing factor.

Do I need specific coverage if I serve alcohol during catering events?

If you serve alcohol at your catering events, you should consider adding liquor liability to your insurance policy. Catering staff are also required to be Smart Serve certified to have an understanding that they’re not serving alcohol to guests beyond the point of intoxication. This can be a challenge, as everyone reacts to alcohol differently – however, you may be held liable if you serve alcohol to a customer who causes an accident, and alcohol is considered a contributing factor in the incident.

Am I restricted to the types of dishes I can cater?

Your business can prepare and serve any dish or cuisine except for any food that has cannabis ingredients.

My catering company operates through a third-party commercial kitchen, do I need to include them into my policy?

Yes, if you run your catering through another business’s kitchen (say a recreational centre, convention centre or banquet hall), most will ask to be included as an additional insured on your policy. This will ensure their equipment/premises are protected in the event of a claim made on your behalf.

Does my commercial auto insurance provide coverage for my tools and equipment while in transit?

No. A commercial auto policy does not cover the cost to repair or replace tools and equipment if they are damaged in a collision or stolen from a business vehicle. To protect those assets, you need to include tools and equipment insurance in your overall policy.

Are renovation contractors required by law to have insurance?

In most provinces, renovation contractors must carry commercial general liability insurance. Your customers may also insist you are insured and ask you to provide them with a certificate of insurance or proof of insurance before hiring you. Check with the authorities in your jurisdiction and speak to a Zensurance licensed broker to ensure you are adequately protected.

Are any subcontractors I hire for a renovation project covered by my commercial general liability insurance policy?

It depends on the terms and exclusions of your policy. It may be necessary to include any subcontractors you hire for a project as an ‘additional insured’ to your policy. Additionally, it is advisable to encourage any subcontractors you hire or work with to get their insurance coverage. A Zensurance licensed broker can help them if they are not insured.

Can a former client launch a lawsuit against me alleging I caused them physical, psychological, or financial harm years ago?

Yes. It is possible for a former client to sue you for bodily injury, negligence, or misconduct after they ceased using your services. For example, you can be sued for third-party bodily injury up to two years after someone initially reports the injury.

What are the most common restrictions or exclusions in a fitness instructor insurance policy?

Some common exclusions in a fitness instructor insurance policy may include training professional athletes, student athletes or anyone under the age of 18, and certain types of exercises that involve aerial or aquatic components.

Do I need to purchase product liability insurance to sell nutritional supplements to my customers that I buy from a supplier?

Yes. Any small business or self-employed professional who sells, distributes, or manufactures a product (including food and nutritional supplements) should have product liability coverage as part of their overall policy. Product liability coverage is usually included in commercial general liability insurance, but check your policy details or speak to one of our licensed brokers if you are not sure.

When would commercial crime insurance get triggered?

Your commercial crime insurance kicks in after filing a claim. It can be claimed on either a discovery basis (when you realize there is a loss while your policy is active or up to 60 days after the policy has been terminated) or loss-sustained basis (covers incidents during the policy period as well as losses that occurred under a prior crime policy).

Does commercial crime insurance cover social engineering fraud?

No. Commercial crime insurance is not designed to protect you from social engineering fraud. For protection against social engineering, that is an optional type of coverage you can include in your policy when purchasing cyber liability insurance.

Does commercial crime insurance include coverage for acts of violence?

No. Commercial crime insurance is not designed to cover acts of violence in a workplace. However, some insurers may include coverage for things such as kidnapping and ransom.

If I subcontract some of my health care services, will they be covered?

Subcontractors aren’t covered by your insurance policy – generally, only full-time employees can be covered. Subcontractors should carry their own liability insurance.

Are there any specific health care services that are excluded from my policy?

Your insurance policy will cover you for unintentional actions you’re liable for, within the scope of your business activities. Therefore, you wouldn’t be covered for acts outside of the scope of the business (say, you decide to start selling pre-cooked dinners to patients without informing your insurance company) or intentional acts (such as deliberately mistreating a patient). For more detail on this subject, speak to a broker to ensure you’re sufficiently covered.

What risks do home health care providers face?

Home health care providers can run into a variety of risks, from the common “slip-and-fall” liabilities, through to costly allegations of medical malpractice. It’s important to protect your business financially with a comprehensive policy package that covers these potential claims.

Does a temporary staffing agency’s insurance policy cover the employees they hire to work at a client’s jobsite?

It depends. Because a temporary staffing agency hires and pays the candidate and not the agency’s business client, they are considered an employee of the agency. However, it’s your policy’s details that will clarify this situation. Ask your licensed broker if your policy extends to cover your employees.

Does professional liability insurance include protection against allegations of defamation and libel?

Yes. Professional liability insurance, or errors and omissions insurance, includes coverage for your media and advertising as well as any accusations of defamation, libel, or slander. Your commercial general liability insurance may also cover you in such situations, depending on the policy’s terms. Speak to your licensed broker to be sure.

I am a recruiter who works for a staffing agency. My employer has insurance. Do I need my own policy?

It is advisable to consider purchasing your own professional liability insurance policy to ensure you are not exposed by any gaps in your employer’s policy. Speak to one of our licensed brokers about your concerns and what your options are.

If I use my personal vehicle to transport equipment, tools, and colleagues to and from a jobsite each day, will my existing private-passenger car insurance cover me if I get into a collision with another vehicle?

In general, a private-passenger car insurance policy is not designed to provide coverage for any vehicle that is used for business purposes. You may need a commercial auto insurance policy to ensure you are protected.

In the unfortunate event that a passerby is severely injured or killed by a falling object from a high-rise condo development that’s under construction, will contractors’ insurance cover that accident?

Your commercial general liability insurance policy is designed to cover third-party bodily injuries to anyone including passersby, whether it involves covering the cost of their medical expenses or a death.

The company that hired me as a contractor to work on a construction project is insured. Do I still need an insurance policy?

Yes. Even though you have been hired (permanently or temporarily) by a construction firm to work on one or more projects, your employer’s insurance policy may not provide you with complete coverage. It is wise to purchase a policy to protect yourself and ensure there are no gaps in the coverage your employer’s policy offers. Speak to one of our licensed brokers to learn more.

What are the common risks that nail technicians face?

Here are some of the risks that can occur in a nail salon that can be covered by nail technician insurance:

  • Allergic reaction/adverse reaction to a treatment
  • Slip-and-fall incident
  • Property damage due to fire, theft or vandalism
  • Allegations of professional negligence
How much insurance coverage should a nail technician have?

Typically, nail technicians should have at least $2 million coverage for liability claims. It may seem like a lot, but claims can be very costly – such as medical bills and legal fees that can add up quickly.

Do I need additional coverage if I provide mobile nail services?

Yes. Our liability insurance adapts to your mobile nail business and can cover your content while in transit services across Canada at no additional cost.

Does my insurance cover bike rentals?

Product liability coverage within a commercial general liability insurance policy covers you for any injuries or property damage to a customer who rents a bike from your shop provided it is stated in your policy.

Do I need additional coverage if my bike shop organizes and hosts a community cycling event?

Yes. If your bike shop hosts and runs cycling events outside of your store, you may require additional insurance coverage for them. Speak to one of our licensed insurance brokers about the types of events you plan to host and what your coverage options are for them.

What is the most common risk bike shop owners face?

While theft is undoubtedly a common problem independent bike dealers face, so too are the risks associated with building and repairing customers’ cycles. If one of your bike repair technicians should make a mistake working on a customer’s bike, and a customer suffers an injury because of that error, you could be sued for third-party bodily injury.

Why do microblading professionals need insurance?

Every business has risks. For example, a client could simply slip and fall in your salon, leaving you liable for their costly medical bills, or a fire in the adjoining unit could break out overnight, destroying your expensive equipment. Regardless of the precautions taken, things can happen beyond your control. Protect your business from serious financial debt with coverage that’s right for you.

Do I need my own insurance if I rent space at a spa?

Yes, oftentimes commercial insurance policies only cover the liability of full-time employees. If you’re a freelancing microblading professional, or you rent a chair in a salon, check with the business owner to determine whether you’re covered – chances are you’ll need to carry your own insurance.

Are there any requirements in order to obtain a microblading insurance policy?

Yes, we require accredited certification and a minimum of 40 hours of practical experience in order to provide a microblading insurance quote.

Why do bookkeepers need insurance?

Even the best bookkeeper may make a mistake or miscalculation. If an error, omission, or miscalculation is made and results in your client suffering a financial loss, your client could sue you for damages. Even a frivolous claim of wrongdoing by one of your clients may result in legal expenses that run into thousands of dollars.

If I provide online bookkeeping services, do I still need insurance?

Yes. Even though the bookkeeping services you provide are online exclusively, you still need to purchase E&O insurance at a minimum to protect yourself against allegations of errors, omissions, misconduct, negligence, and failure to deliver a service as promised. Additionally, as a digital bookkeeping business, you should also consider adding cyber liability protection to your overall policy.

Do bookkeepers and accountants need different insurance coverages?

Not necessarily. As a bookkeeper, the types of coverages you need may be similar to those required by an accountant. For example, both professions must have E&O insurance (also known as professional liability insurance). Speak with one of our licensed brokers to ensure you have the right types of coverage for your business.

Will my insurance cover my camp if I rent it out during the winter season?

Many insurance companies will allow you to choose the duration of your policy. For example, at Zensurance we’ll ask you if you’re looking for annual coverage, seasonal coverage (minimum three months), or less than three months coverage. If your business is active in the winter months, ensure you have annual coverage in place, or speak to a broker about extending your coverage.

Do I need insurance if I require camp participants to sign a liability waiver?

Getting parents and guardians to sign waivers can protect your business against certain liabilities to a degree. However, there are aspects – such as the wording of the waiver and the details of the incident – that can determine whether a waiver is upheld in court. To ensure you’re sufficiently protected, it’s always advisable to hold insurance that covers you for a wide range of liable events. Additionally, a summer camp insurance policy may protect you from frivolous lawsuits brought against you.

What is not covered in a summer camp insurance policy?

Your summer camp insurance is a group of combined policies, all of which are optional. Besides coverages you choose to exclude, summer camp insurance won’t cover your business for deliberate liable actions that cause property damage or third-party bodily injury, such as if an employee was to vandalize the property. The majority of risks you could face will be included as optional coverage, and you can speak to a broker for more details.

I’m a travelling freelance writer. Will my insurance provide coverage outside of Canada?

Yes. A freelance writers’ and authors’ insurance policy can be customized to provide you with coverage when you are working outside of Canada temporarily. Speak to a licensed broker about your specific business needs to ensure your policy includes coverage for when you are working in another country.

What’s the difference between media liability and professional liability?

Yes, media liability would include coverage specifically designed for the media industry. Professional liability provides coverage for writers working in industries other than media.

Does writers insurance provide coverage for content published on my own blog?

Yes. A freelance writers and authors insurance policy includes coverage for any digital content you produce, including content you publish on a personal or professional blog that you own.

Why doesn’t my home insurance cover if I work from home?

Personal home insurance is not designed to provide coverage for a home-based business. Although some home insurance policies may offer a limited amount of coverage if you are working from home during the pandemic, if you are running a business out of your home, you require a commercial policy to insure your operations and premises.

If I’m a freelancing graphic designer working outside of Canada. Will my insurance cover me?

Yes. Your professional liability insurance policy will cover you while working outside of Canada provided it is part of your coverage terms. Speak to a licensed broker about your coverage needs to ensure you are fully protected.

What are the common risks that graphic designers face?

Graphic designers face a wide variety of risks including copyright infringement, contract disputes, failure to meet deadlines or deliver a service as promised, and negligence. A professional liability insurance is designed to provide you with financial support if you are subject to an allegation of wrongdoing or a lawsuit.

How can you reduce the cost of your annual car insurance policy?

The best way to keep your annual car insurance premium as low as possible is to maintain a clean driving record and remain claim-free. In other words, avoid racking up major traffic violations such as speeding or being involved in a collision.

Some insurance companies will offer what’s known as a claim-free discount for drivers who have not filed any claims. Insurers may also provide a modest conviction-free discount if you have no convictions on your record like excessive speeding, dangerous driving, or impaired driving.

However, even if you have a clean driving record, your annual premium may rise if your province’s car insurance regulator permits insurers to hike their rates. For instance, in Ontario, the Financial Services Regulatory Authority determines whether an insurer can raise its basic premium rate.

Does car insurance follow the driver?

No. Your car insurance policy follows your vehicle, not the driver. Therefore, if you loan your vehicle to a friend and they get into a collision, your insurance policy is affected. Your policy will cover other drivers listed on it and anyone that you grant permission to drive your vehicle.

Keep in mind that a personal auto insurance policy is not designed to cover incidents your vehicle is in if used for business purposes. If you use your vehicle for work or a side hustle, you may need a commercial auto insurance policy to be adequately protected.

What do I need to obtain car insurance in Canada?

To obtain a car insurance policy in Canada, you will need the following:

  • Canadian residency
  • A valid driver’s licence
  • A vehicle for personal use
  • You cannot have been convicted of auto insurance fraud in the last 10 years
Do I need homeowners insurance in Canada?

Homeowners insurance is not a legal requirement in Canada, however, it is usually required by all mortgage lenders. Although you may not need or want a mortgage, home insurance is still highly recommended. It is meant to protect you from the unexpected. Homeowners insurance protects you in the event that your home or personal belongings are damaged, someone is injured on your property, or to repair or replace your belongings following an insured event.

What is a homeowner insurance endorsement?

A homeowner insurance endorsement or rider is optional coverage you can add to your policy to up the protection you need for your personal belongings and parts of your home that are not covered in a standard policy. Adding endorsements can increase coverage for your home business, protect you from damage caused by water back up, and coverage for personal items such as fine jewellry and art.

How can I determine the cost to replace the personal belongings within my home?

Personal belongings can be insured two different ways: replacement cost coverage and actual cash value. The replacement cost coverage may be limited to a dollar amount, however, you can be paid the dollar amount needed to replace an item without deduction for depreciation. Unless specified in your homeowner policy, coverage for personal belongings is for actual cash value. This coverage will pay you the amount equal to the replacement minus depreciation.

What is not covered by homeowners insurance?

Although homeowners insurance provides coverage for the structure of your home and personal belongings, there are several things that may not be covered. For example, typical home insurance policies do not cover collectables, valuable jewellery and artwork, damages caused by earthquakes or floods, or identity theft protection. However, these types of coverages may need to be added to your policy.

What is covered by homeowners insurance?

With many different options of homeowner insurance, the typical policy will cover the following:

  • The actual structure of your home and any structures permanently attached.
  • Detached structures such as sheds and garages.
  • Your family’s personal belongings.
  • Additional living expenses in the event that you cannot stay in your home and need to either stay at a hotel or rent another home for some time due to loss or repairs.
  • Your personal liability.
Do I need additional coverage if I work on commercial tree removal?

Your arborist or tree removal insurance policy must reflect the type of work you do. If you frequently provide tree removal services on commercial properties, speak to a licensed broker about the amount of coverage your small business requires.

Do I need tree removal insurance if my clients have home insurance?

Yes. Even though your clients may have homeowner insurance policies, they are designed to protect their properties and possessions, but not your work, crew, or equipment.

A customer is asking for my certificate of insurance. How do I get it?

Your licensed insurance broker can provide you with a certificate of insurance if you need it. It is a one-page document that proves you are insured should you need to provide it to a partner, customer, or financial institution.

Is there a difference between malpractice insurance and professional liability insurance?

Malpractice insurance for a spa typically focuses on bodily injury due to professional negligence, while professional liability is focused on financial harm. A comprehensive spa insurance policy from Zensurance is customizable to provide you with both coverages.

Does my spa insurance policy cover any independent professionals who rent a space in my spa?

No. Your spa insurance policy is designed to cover you, the business owner, and your employees. If you have independent professionals working in your facility who are not your employees, they need their own liability insurance policy.

I have my customers sign a liability waiver. Do I still need a spa insurance policy?

Yes. A liability waiver may not protect you in court if you are sued. A spa insurance policy will provide you with financial support in the event one of our customers is injured on your property, by one of your services, or a product they purchase from you.

Are there other types of coverages my construction business requires?

Depending on what your construction business does, the work it performs, and projects it has, there may be additional types of insurance you need to form a comprehensive policy. For example, if you provide advice or consulting services as part of your business, you may need to add professional liability coverage to your overall policy. Speak to a Zensurance licensed broker about your business’s needs and get their advice on what you need to be adequately protected.

Do all members of my construction crew need to be licensed and insured?

Yes. It is advisable for every member of your construction crew to be fully licensed, and they should each carry their own liability policy to protect them from expenses related to accidents, mishaps, or third-party lawsuits.

What is wrap-up liability and what benefits does a wrap-up liability policy provide?

A wrap-up liability policy is a one-time, project-specific liability policy that is designed to cover everyone involved in a construction project and who work at the project site. Although all contractors and subcontractors involved in your project should carry their own liability insurance, wrap-up liability coverage is a time-saving way to guarantee every professional involved in your project is insured against the risk of third-party bodily injury or property damage claims.

Is there a difference between a vacant property and unoccupied property?

Insurers consider a business property vacant if it is empty (no furniture or equipment inside) after a predetermined number of days. Typically, an insurer will restrict or deny coverage for a property that is vacant after more than 30 days. An unoccupied property is one insurers will consider habitable and maintained and still has the equipment, merchandise, furniture, and other items inside.

Is there a maximum amount of time a business property that is vacant can be insured?

No. However, the coverage limits of your policy may be restricted to a degree depending on the amount of time the property is unoccupied. Speak to a licensed broker about your property’s specific needs.

What kinds of properties are ineligible for vacant property insurance?

If a commercial property is abandoned or uninhabitable because of an insured loss, it may be difficult to find an insurer willing to issue a vacant property insurance policy for it. Have a conversation with a Zensurance licensed broker and let them advise you on how to obtain a policy to protect your unoccupied property.

If I hired an engineer or architect for a project, will they be covered?

Contractors such as engineers or architects can be covered under your policy, but may need to raise your coverage limits or ask them to have their own liability insurance coverage. If you’re including professional services in your projects that go beyond the scope of interior design, it’s always best to check your policy limits with a broker to ensure you’re covered adequately.

How does different design project types affect my insurance premium?

Insurers calculate your premium based on the project size and the likelihood of a risk occurring. Generally, the bigger the project, the greater the potential risk, which can lead to higher premiums. While project size is one aspect of a quote, the likelihood of a risk occurring considers other things about your business such as your claims history and years of experience. For a tenured interior designer with no previous claims, a premium can be lower than average even for larger projects.

What are the common liabilities of an interior designer?

Due to managing complex and sometimes highly costly projects, interior designers are most likely to run into accusations of negligence or erroneous work. If a third-party files a lawsuit against your business, professional liability insurance may provide financial protection, regardless of whether the claim is found to be valid or not.

Are faith-based organizations eligible for insurance discounts?

It’s unlikely. Insurers consider churches and other faith-based institutions the same as any other commercial property. However, some insurance companies may offer discounts on certain types of policies if the institution has up-to-date electrical and plumbing infrastructure and a 24/7 security and fire-monitoring surveillance system. Talk to a Zensurance licensed broker to find out if your organization qualifies for any discounts.

Does commercial property insurance provide coverage for places of worship while they are vacant?

It depends. A non-residential property such as a church may be considered vacant after a prolonged period by your insurance company (typically a period of more than 30 days). If that happens, your insurer may remove some of your policy’s coverages. Be sure to speak to a licensed broker about the restrictions and limitations of your policy to understand how they apply to you.

Are there additional coverages I should add to a church insurance policy?

Yes. You may wish to add additional or optional coverages to your overall insurance policy. For instance, if your church has a passenger van it uses to attend community events or provide some of your followers with transportation to and from your location, you may need to include commercial auto coverage in your policy. Or if your organization runs a children’s daycare, you may need to add abuse and molestation coverage.

Do I need additional coverage if I provide mobile barber services?

Yes, if you travel for business purposes, you’ll require commercial auto insurance as part of a policy. This policy will cover you for liable incidents and the loss or damage to your business property while it’s in the vehicle.

Does my barber shop insurance cover hair products that I sell?

Yes, product liability insurance is a part of your CGL coverage. If you sell a faulty or mislabelled product (such as shampoo or hair gel) and it’s alleged that product caused property damage or bodily injury due to a defect, your commercial liability insurance could cover you for the claim and related costs.

If I rent out my chairs, does my insurance cover the contract barbers?

Generally speaking, your insurance will only cover your full-time employees. For self-employed or freelancing barbers working in your business, you should let them know they’ll likely need their own insurance policy to be covered for risks or losses.

Will I be liable for injury-related claims after months of providing tattoo service?

If a customer is blaming you for a tattoo-related injury months after your service, external factors will be considered. It would need to be proven your service directly caused the injury, and external factors (such as the level of care from the customer) weren’t the true cause. Depending on the outcome, general liability coverage could cover the costs of medical fees and legal fees.

Will my insurance cover customer injuries sustained during the tattooing process?

If you have general liability coverage, chances are you’ll be covered for causing an injury due to an accident during the tattooing process. Should a customer sue, general liability insurance may provide financial coverage for legal fees and medical fees.

Do I need additional tattoo insurance coverage if I provide services to minors?

To get a tattoo, many provinces have mandated a minimum age that’s below the age of the minority. You may require higher coverage limits if you offer tattoos to minors. Check with a broker, or include this detail in your quote to ensure you’re adequately covered.

What is excluded from a garage liability insurance policy?

A garage liability insurance policy does not provide coverage for the contents in a customer’s vehicle such as clothing, money, or other items.

Can a mechanic or auto repair technician be held liable because of a car accident involving a customer’s vehicle during a test drive?

Yes. A mechanic or auto repair technician can be held liable for damages to a customer’s vehicle resulting from a car accident they were driving to ensure it is in good condition after repairing it.

What is the difference between garage liability and garage keepers’ liability insurance?

Garage liability insurance protects you from third-party bodily injury or property damage claims. Garage keepers’ insurance provides financial support if a customer’s vehicle that is in your care and control is damaged while on your premises due to a natural disaster, severe weather, theft, and vandalism.

Can a former client sue me for an alleged error made on a tax return filed years ago?

Yes. Both your former and current clients could sue you for real or alleged errors. Whenever a mistake or negligent act harms one of your clients financially, there are often consequences. For example, if you missed an allowable tax deduction or your work results in a client underpaying their tax bill and they are subject to penalties and interest on the outstanding debt, that client may sue you to recover their losses.

Is errors and omissions insurance mandatory for tax preparers?

It depends. The province you live in or any professional association you are a member of may require you to carry a specific amount of errors and omissions insurance. For instance, any registered firms or professionals who are members of the Chartered Professional Accountants of Ontario are required to carry an E&O policy.

Are tax preparers liable for their work?

As a professional tax preparer, you help your clients understand their tax obligations. However, your profession can expose you to a third-party lawsuit over the handling of highly sensitive information. If one of your clients gets in trouble with the Canada Revenue Agency for the way they’re managing their taxes, you may be subject to litigation.

If I’m hired as a sub-contractor for another company, do I need my own insurance?

Yes, you’ll need your own insurance. Typically, insurance coverage only applies to a company’s full-time employees. If you work for yourself, or another company, you should ensure you have your own insurance coverage to protect your work.

If I supply the fixtures or materials, do I need to get specific coverage for this?

Product liability insurance may be included in your CGL policy – speak to a broker to understand how you’re covered. Product liability insurance can cover third-party property damage or bodily injury caused by a faulty product you use in your projects.

Does carpenter insurance cover poor craft quality?

Depending on the size of the claim, poor workmanship may be covered under faulty workmanship coverage within your carpenter’s general liability policy.

Who pays for builder’s risk insurance?

Purchasing builder’s risk insurance to cover a construction project is typically the property owner’s responsibility. When finalizing the details of a construction project, be sure to identify who will be responsible for purchasing the policy and ensure all involved parties are covered.

Can a project manager get sued?

Yes. A project manager can face a third-party lawsuit from a customer or business partner for any number of reasons. For example, if you are responsible for overseeing and executing a new software project for a customer that uses their entire budget but produces an unsatisfactory or unusable solution for its end users, you could be named in a lawsuit that could cost you thousands of dollars.

If I’m required to travel out of the country for project-related work, will my policy cover me?

Most policies offer worldwide coverage, but some may impose restrictions in certain countries. Therefore, it is best to consult and confirm with your broker if the policy presented offers coverage outside Canada and any territories excluded.

Does my project manager insurance include contract bonds?

Also known as contract surety bond, this coverage is separate from professional liability. They are primarily purchased in the construction industry. These bonds protect the owner from financial loss if the contractor fails to fulfill their contract’s terms and conditions.

Does my professional liability insurance cover me if I work outside of my home province?

It depends. During your insurance application, it needs to be determined in which provinces you are licensed to practice. If you are working from a location outside of Canada, such as in the United States, talk to one of our licensed brokers to ensure your policy includes coverage for working in another country.

The law firm I work at has an insurance policy. As an employed paralegal, do I need my own insurance?

Yes. Even though the law firm where you work is insured, that policy may not cover you from allegations of wrongdoing or a third-party lawsuit. It is advisable to speak to a licensed broker to ensure there are no gaps in your coverage and ensure you are protected from allegations of negligence or errors with a professional liability policy.

What is the difference between a “claims-made” policy and an “occurrence” policy?

A claims-made policy is one that protects you from allegations or claims made while your policy is active, regardless of when the insurable incident occurred. An occurrence policy provides coverage as long as you were insured when the incident occurred.

Will my home insurance cover my training classes at my home-based gym?

No. A personal home insurance policy is not a business insurance policy. It is not designed to cover the cost of a third-party bodily injury or professional liability lawsuit due to your services. Speak to a licensed broker about getting a business insurance policy that includes commercial general liability and professional liability coverages.

My clients sign consent forms. Do I still need insurance?

Yes. Even though your clients sign consent forms acknowledging the possible risks they face by participating in your workout classes, you still require business insurance to protect yourself from third-party allegations and lawsuits of wrongdoing, negligence, or misconduct, or if they are injured by your exercise routine. Although a waiver or consent form can be helpful, they cannot prevent one of your clients from suing you. If they do, and you do not have business insurance, you are still responsible to pay for your legal defence costs.

If I provide nutritional advice to my clients, will my personal trainer insurance cover me?

It depends. If you have professional liability coverage (also known as errors and omissions insurance) as part of your overall policy, you are covered for claims of negligence, third-party bodily injuries, or accusations of wrongdoing related to the advice you provided. If you do not have that type of coverage in your policy, you are leaving yourself exposed to the risk of having to pay thousands of dollars in damages if you are successfully sued by one of your clients. Zensurance can provide you with a policy that covers both nutritional advice based on the Canada Food Guide, as well as coverage for certified nutritionists and dieticians.

Will a cannabis insurance policy protect me from theft of my products in my store or facility?

If you operate a retail store or dispensary, and a visitor or customer steals products from your location, a commercial property insurance policy may cover you for the loss. However, if the theft is attributed to one of your employees, whether in a dispensary, warehouse, or production facility, you need commercial crime insurance coverage to safeguard your inventory from theft, forgery, or fraud committed by a dishonest employee.

Are government cannabis insurance requirements across Canada standardized for each province?

No. Each province determines the required amount of coverage a cannabis business owner must have in their respective jurisdictions. Also, producers, suppliers, and retailers in any province may be required to hold different amounts of liability coverage. Check with your provincial authorities to find out how much insurance you are legally required to have for your location and speak with one of our licensed brokers to get their experienced recommendation on what your business should have in place.

Does a standard cannabis insurance policy protect my business from data breaches or cyber-attacks?

You need to have cyber liability insurance coverage included in your overall policy for protection and support from losses or damages resulting from an accidental or intentional data breach or if your business is the victim of an outside cyber-attack by an unknown hacker.

If I plan to start teaching reiki as a course, do I need to change my policy?

Yes, any changes to your business’s services – such as teaching a course based on your specialization – should be mentioned to your broker to ensure you have the right coverages and limits.

Will reiki liability insurance cover other services that I provide?

Reiki liability insurance is designed to protect your specific reiki services. However, if you also provide similar services (e.g. Yoga), they can often be covered under the same policy so long as you disclose them to your broker.

Can I still get reiki insurance if I’m only a level 1 practitioner?

Yes, reiki practitioners of any level can hold a reiki insurance policy, however, years of experience is considered as one of the pricing factors that determine your premium.

If I rent out my mini excavator, will my insurance provide equipment coverage?

Some insurance companies are okay with insuring your mini excavator if you rent it to another party. However, you should ensure you are added to the individual’s or company’s policy you are renting the mini excavator to as an additional insured. That way, if a claim arises, it is that party’s insurance that will cover the cost for the loss or damage.

If my excavation project requires removing trees, am I covered?

It may be necessary to include tree removal insurance to your policy for this type of operation if it’s included in the excavation process. That will ensure you are accurately covered. Speak to a licensed broker about your policy and inquire if you need to add tree removal coverage to your overall policy.

Will my commercial general liability cover grading of land as an additional service?

As part of your company’s services, the grading of land must be stated to your insurance company. It’s not an unusual request since grading operations correlate with excavation work, but it’s always vital to let your broker know in advance what type of work you are doing to ensure maximum protection.

If I’m leasing a commercial space for my flower shop and it is broken into overnight and ransacked by an unknown burglar, am I covered?

Yes. For damages to your contents such as your inventory or if your computer or laptop is stolen, your tenant legal liability insurance may pay to repair or replace your damaged or stolen contents including your inventory. It may also pay for any damages to the property caused by the burglar.

Does florist insurance cover accidents that occur at another location such as a banquet hall?

Yes. For example, suppose you’re creating a flower wall for a wedding that’s to be held at a banquet hall. While you’re working on it, a ladder you use tips over and lands on a nearby table with champagne glasses, smashing the glasses to pieces. If you are sued by the banquet hall owner for damages, your policy may pay for the third-party property damages.

If a fire damages my flower shop and I am forced to close, will my policy cover my losses?

Yes. Your commercial property insurance may pay for the damages caused by the fire to both the building and your contents and inventory. If you have business interruption coverage as part of your policy, it may pay for any income you lose while your shop is closed and under repair.

Is student housing insurance for a rental property a legal requirement?

No. A student housing insurance policy is not a legal requirement in Canada. However, if you don’t have coverage, you are taking a big gamble. After all, without an insurance policy, you are on your own to pay for any repair costs to your property should one of your tenants or their guests damage any part of it. Moreover, you are leaving yourself exposed to significant financial risk if you don’t have a policy if you are sued by anyone for bodily injuries if they are hurt while staying on our property. A third-party lawsuit could end up costing you hundreds of thousands of dollars.

Does a student housing insurance policy also provide coverage for my tenants’ personal possessions?

No. Each of your student tenants requires a personal tenant insurance policy to protect their contents, such as clothing and electronics, and provide them with some liability coverage. From a risk management perspective, it is highly recommended that you insist your student tenants carry a personal renter’s insurance policy and ensure they provide you with proof of coverage. Typically, the student’s parents’ homeowner policy provides a student housing property coverage. Ask your student tenants to check with their parents if their existing homeowner policy provides coverage for student housing.

Does a student housing insurance policy cover damages caused intentionally by a tenant?

It depends. If one of your student tenants intentionally damages your property, such as spray painting a wall, your policy may not reimburse you for paying for that repair. However, if you have vandalism buy-back coverage, you may be covered. To try to avoid this scenario, prepare a rental unit condition form for your student tenants to sign. Do a walk-through of the property with them to confirm everything in the building is in good condition, and then have the student sign the form before handing over the keys. Speak to a licensed broker about what your options are.

What are the common risks for pilates instructors?

Any guided fitness activities tend to see liability claims relating to third-party bodily injury. These claims can occur due to general or professional risks. Ensure you have CGL and professional liability coverage to ensure you’re protected.

What additional insurance coverages does a pilates studio owner need?

Depending on your business, you may require increased policy limits to fully cover your risk. If your business offers activities beyond pilates, check with a broker to see if you require any other coverages.

Does pilates insurance cover online classes?

Yes. Whether you teach your class in person or virtually, you can be covered from claims for which you’re professionally liable.

I am employed as an occupational therapist assistant at a practice. My employer has insurance in place. Do I need to get my own policy?

It depends. The insurance coverage your employer provides may have gaps that can leave you exposed to liability risks. Ensure you are covered against allegations of malpractice or neglect by speaking to a licensed broker.

Does occupational therapy insurance provide coverage for virtual services?

Yes. Whether you provide your services in-person or virtually through a video conference call, your insurance policy is valid in both circumstances.

Is occupational therapy insurance portable?

Yes. If you move to another province or territory to practice or decide to change jobs and work for a different practice, your insurance policy stays with you for the duration of the annual policy until it needs to be renewed.

Is cyber liability insurance important for security service companies?

Yes, it is. A cyber liability insurance policy protects your company from the cost of claims or third-party lawsuits related to a data breach or cyber-attack. It covers costs associated with losses or theft of your customers’ confidential information that is in your care, custody, and control. That could be confidential data stored on your computer systems, failure to comply with a privacy policy that prohibits the disclosure or sharing of personally identifiable information or taking necessary actions to prevent customer identity theft.

Do security companies need professional liability insurance?

Yes. Professional liability, or errors and omissions (E&O) insurance, is a must-have for security service firms. Regardless of how meticulous and cautious your security team is executing their duties, mistakes or accidents can happen at any time to anyone.

What kind of insurance do individual security guards need?

Security guards are responsible for protecting their customers’ properties from the risk of vandalism, burglary, and theft, or keeping people safe from harm. The nature of their jobs can put them in dangerous situations. At a minimum, security guards need commercial general liability and professional liability insurance.

Is there coverage available for protection from breach of contract?

Yes. If you miss a client deadline and fail to deliver a project on time, which causes your client to delay the public release of the project that results in a financial loss, E&O coverage can protect you from any lawsuits or damages the client suffers.

If I hire contract dance instructors, are they covered in my insurance policy?

No, your policy will only cover full-time employees or volunteers. Any contracted or freelance dance instructors will need to obtain individual liability insurance policies.

Does my dance liability insurance cover online dance classes?

Yes, regardless of how you conduct your dance class, you’re responsible for the guidance you provide to your students. Liability insurance will cover you whether you teach your class in person or virtually.

Is there a difference in coverage for dance instructors versus dance studios?

Yes, if you’re a freelance dance instructor, you’ll likely need professional liability and CGL. However, if you own a dance studio, you’ll need to have more comprehensive coverage that covers your location along with liability. That ensures you’re protecting your business-related assets should they be damaged during an insured event.

Is landlord insurance for a rental property a legal requirement?

No. A landlord insurance policy is not mandatory for rental properties in Canada. However, it is highly recommended to purchase a policy to protect yourself and the property from unexpected damages or third-party lawsuits. You are leaving yourself exposed to significant financial risk if you don’t have a policy to protect your property.

Does a landlord insurance policy cover damages caused by a tenant?

It depends. Most landlord insurance policies will cover a rental property from named perils, like damages from severe weather. If a tenant accidentally causes damage, such as a kitchen fire that destroys appliances, it may pay for the cost to repair or replace the appliances, any structural damages, and the rental income you lose while repairs are being made. However, if a tenant intentionally damages your property, such as punching a hole in a wall, the policy may not reimburse you for paying for that repair. Likewise, a landlord insurance policy does not cover the cost of maintenance-related issues. You are responsible for the upkeep and maintenance of the property. Also, it does not include coverage for household equipment breakdowns such as a malfunctioning furnace, dishwasher, or stove.

Are there additional coverages I should add to a general landlord insurance policy?

Yes. There are additional or optional coverages you can include in a general landlord insurance policy. For example, you may wish to add sewer backup coverage to the policy to protect your property to cover any damages to the sewer line that runs from your building to the municipal sewer drainage system. Should the sewer malfunction and wastewater from the sewer or a septic tank seep into your building, there could be significant damages to the building’s floors, walls, and other structures.

You may also want to consider adding what’s known as overland water coverage, which safeguards the property from damages resulting from a flood, excessive rain, snow melt, or overflowing lakes or rivers. Not all insurance companies will provide you with overland water protection, so speak to a licensed broker about finding an insurer that will provide this type of coverage for your property.

What do insurance companies need to know about my professional cleaning business?

To better understand the type of policy you need and the potential risks your business faces, insurance companies need an accurate description of the type of work you do. The professional cleaning and janitorial industry is diverse and has much variance. That’s why it’s vital to ensure you provide detailed information on your company, such as the services it provides, the types of customers you cater to, and how many employees you have.

How can I reduce the risks of my cleaning business to get a lower premium?

Any business that takes proactive steps to mitigate its risks from potential losses, damages, or lawsuits will typically receive a lower annual premium than one that does not. It’s worthwhile to have a safety program in place for your employees to adhere to including directions on how to properly handle and dispose of chemicals safely. It’s also recommended to provide them with the safety-related items they need to protect themselves while on the job, such as rubber or latex gloves, safety goggles, and respiratory masks.

Does the equipment or cleaning chemicals I use affect my annual insurance premium?

Your insurer will want to know what equipment you use as well as the types of cleaning agents and chemicals you require to do your job effectively. While the type of equipment your business has may influence the cost of a policy, the cleaning chemicals and agents you use typically does not.

How can I prevent my business fleet insurance premium from rising upon renewal?

Beyond ensuring your drivers obey the rules of the road, avoid getting into collisions or racking up serious traffic violations, talk to your broker about adding an accident forgiveness endorsement or rider to your policy. Some insurance companies will provide you with accident forgiveness, which is an endorsement whereby the insurer will “forgive” you if you are at fault for a collision if it’s the first accident you’ve been in over the previous six years. If you get into an accident and are deemed to be at fault, your accident forgiveness endorsement (which can only be used once) will ensure your premium doesn’t increase come renewal time because of that accident. 

How can I reduce the cost of a motor fleet vehicle insurance policy?

There are many things you can do to help lower your commercial fleet insurance costs. For example, be selective with who you allow to drive your vehicles and vet each driver’s driving record thoroughly. Also, provide your drivers with advanced driving training, ensure regular maintenance of your fleet, use winter tires from November to May, and install anti-theft and tracking devices on all your vehicles. It’s also wise to ensure your vehicles are parked in a secured lot or garage, select higher deductibles for your coverages, and if you can, avoid filing unnecessary claims for minor damages you can fix yourself.

What is the difference between a commercial auto policy and a fleet vehicle insurance policy?

A commercial auto policy is designed to cover one vehicle that is used for business purposes. A fleet insurance policy is designed to cover five or more company vehicles used for business purposes. Though each policy contains similar types of coverages, a fleet insurance policy also covers any employee with a valid driver’s licence and can consist of a variety of vehicles including passenger cars, SUVs, vans, trucks, and trailers. Thus, any business with no designated drivers but with employees who may need to switch vehicles can benefit from fleet insurance, such as hotel shuttles, delivery services, taxi companies, moving companies, and car rental businesses.

Do you offer insurance for seasonal work or per project?

No, but if your business offers different seasonal services, we can provide you with an annual policy. For example, a landscaping company that switches over to offering snow removal services in the wintertime.

Are contractors in Ontario required to have an insurance policy?

Yes. At a minimum, Ontario contractors are required to have general liability insurance, which provides protection in case of bodily injury or property damage to a third party at a worksite. Some projects may require you to provide a certificate of insurance. Ontario contractors who employ one or more employees are also required to have workers compensation insurance to protect their employees.

How are claims made by independent contractors and tradespeople handled?

Whenever an insured (that’s you) submits a claim to Zensurance’s claims team, we move immediately to report the claim to your insurance company and represent you by ensuring you get a fast response. Although we do not decide what the payout will be or if your claim will be honoured (that’s up to the insurance company), we do go to bat for our customers by ensuring they are informed every step of the way.

One of the biggest problems with ensuring your claim is settled to your satisfaction is having the right amount of coverage. Talk to one of our licensed brokers when you’re setting up your policy or renewing it. They can guide you through the process, answer your questions, and ensure you have the adequate coverage you need, so you don’t have to worry if something goes wrong and you need to file a claim.

Does photographer insurance include coverage for video gear?

You may need a customized policy to insure film equipment such as video cameras. Speak to a licensed broker about your needs and outline what type of equipment it is. They can guide you on what your coverage options are and get you a customized policy to protect your video equipment.

Is professional liability insurance important for a photographer?

Yes, it is. Think of professional liability as a type of malpractice insurance for shutterbugs. Suppose you’re hired to do a wedding photo shoot. Your camera could break, or a memory card may fail. Or maybe, despite your best effort, the shots you take don’t turn out the way you planned, and your customer is angry about it and sues you. That’s why you need professional liability coverage. It also protects you from allegations of negligence if a customer claims you failed to do your job.

Do I need photography insurance even if I’m not a professional photographer?

Yes. Both professional and amateur photographers should purchase a policy to protect their equipment and themselves from third-party liability lawsuits. If you’re taking photos of people, and those people get injured because of your work, you could be held legally liable for their injuries.

How does the type of pool being installed affect my insurance premium?

In-ground pools are considered to be a greater risk than above-ground pools and hot tubs. That’s because in-ground pools involve excavation, tile installation, as well as possible plumbing- and HVAC-related work.

Could I be held liable for pool damages after the completion of services?

Yes, you could be held liable for damages if they are in correlation with the work you did for your customer.

What is excluded from a swimming pool contractor insurance policy?

Although every insurance policy is unique and based upon your situation and needs, some common exclusions from a swimming pool contractors’ liability policy may include: 

  • Coverage for poor or faulty workmanship
  • Events or items that give rise to pollution
  • Coverage for subcontractors. All subcontractors need to have their own liability insurance before being hired for the job

Speak to a licensed insurance broker about getting a policy and ask what is covered and excluded from the type of policy you require. Your broker can advise you on the types of coverages you should have for the type of work you do.

What is excluded from a sports instructor insurance policy?

Coverage for virtual training sessions or training materials that are accessible to the general public is not typically included in a sports instructor insurance policy. In addition, a standard sports instructor insurance policy may not provide coverage for instructors under the age of 18, or for instruction related to certain activities such as canoeing, rowing, diving, kayaking, equestrian, martial arts, scuba diving, skiing, and surfing. Also, coverage for training a semi-professional or professional athlete is not included in a sports instructor policy. Speak to a licensed broker about what coverages are available as well as their terms, limits, and exclusions.

Is participant injury covered in a sports insurance policy?

If someone who is participating in a game or tournament your organization is hosting or as a member of your organization’s team participating in a game or tournament is injured on the field of play, your policy may cover the cost of their medical fees. However, you may need to purchase this type of coverage separately to add to your policy. Speak to your licensed broker if you want to include this coverage in your policy.

Does my sports team insurance include coverage for international tournaments?

No. Your existing sports team insurance coverage is only valid for tournaments occurring in Canada. However, we do not restrict you from travelling abroad, and can work with you to accommodate your insurance needs for participating in tournaments and events outside of Canada.

Do I need to let my insurance broker know if I change ingredients to my food items?

Yes. Any material changes to your products or business needs to be approved by the insurance company through your broker to ensure those aspects of the business are still covered under the policy. If a change is made to your business and the coverage does not apply, then it is likely that a potential claim will not be covered.

Will I be liable for lawsuits if I sell my baked goods from a third-party delivery app?

Yes. The liability falls back onto the owner of the business for any products sold through any platform. You will need to look over the agreement you have with the third-party delivery provider, as there might be terms and agreements that remove your liability once the product enters the delivery vehicle.

What is an ‘additional insured’ endorsement on a bakery business insurance policy?

If your bakery hosts an event at another location other than your shop, the event organizer and property owner may require you to add them as ‘additional insureds’ to your policy. By doing so, you are extending your insurance coverage to them if your bakery or employees cause or are involved in an accident at that event. Speak to a licensed broker about additional insureds if you need it. Oftentimes, you can include additional insureds to your policy at no cost to you.

How much insurance do I need for my auto repair shop?

How much coverage your auto repair shop needs depends on several factors, including where your shop is located, the types of services you offer, how many employees you have, and what your annual and projected revenues are. It also depends on how many customers’ vehicles you have on your premises and the average value of each vehicle. Speak to a licensed broker to determine what level of coverage your auto repair shop needs.

Do I need additional coverage if my auto repair shop also sells used cars?

Provided your auto repair shop has a used car dealer licence as per your province’s regulations, you may require additional ‘used car dealer’ coverage to your commercial general liability policy to adequately protect the new or used vehicles in your possession. Whereas garage keepers liability insurance protects customer vehicles in your care, used car dealer coverage is designed to protect you against damages or loss such as theft and vandalism to vehicles you are selling. 

Does my insurance policy cover my mechanics in training?

A comprehensive package featuring commercial general liability and E&O (errors and omissions) insurance may cover the costs associated with any errors your auto mechanics or technicians make to a customer’s vehicle that lead to a car accident. Your auto mechanics and technicians, whether they are being trained or are experienced employees, are covered by a commercial general liability policy.

What is the difference between Airbnb host protection insurance and a personal tenant insurance policy?

Airbnb’s host protection insurance is automatically applied to all Airbnb hosts. It may cover your legal responsibility for bodily injury to guests or others and damage to property belonging to your guests. It may provide up to US$1 million in liability coverage for a host’s legal responsibility for third-party bodily injuries, subject to policy terms, conditions, and exclusions.

A personal tenant insurance policy is a policy designed to protect tenants or renters of a home, condo, or apartment. Like a homeowner’s personal policy, it is not designed to cover short-term rentals through home-sharing services like Airbnb. Therefore, it is not a suitable replacement for or enhancement to Airbnb’s host protection insurance program.

Will a personal homeowner insurance policy cover my Airbnb rental?

No. It is unlikely that your existing home insurance company will cover the cost of third-party bodily injuries or property damages. You should inform your current insurer of your intention to list your property on Airbnb and any other home-sharing website, or your insurer may void your home insurance policy entirely for breach of contract. If your home insurance policy is cancelled by an insurance company, getting home insurance from another insurer could prove to be difficult as well as expensive.

How are claims made by Airbnb hosts handled?

Whenever an insured (that’s you) submits a claim to Zensurance’s claims team, we move immediately to report the claim to your insurance company and represent you by ensuring you get a fast response. Although we do not decide what the payout will be or if your claim will be honoured (that’s up to the insurance company), we do go to bat for our customers by ensuring they are informed every step of the way. One of the biggest problems with ensuring your claim is settled to your satisfaction is having the right customized coverages protecting your property at the get-go.

Talk to one of our licensed brokers when you’re setting up your policy or renewing it. They can guide you through the process, answer your questions, and ensure you have the right coverages in place, so you don’t have to worry if something goes wrong and you need to file a claim.

What’s the difference between a product recall and product liability insurance?

A product recall can be expensive, logistically complex, and it can severely damage your company’s reputation. Whereas product liability insurance covers the cost of third-party bodily injuries or property damage from the use of your product, product recall insurance may pay for the operational costs of a product recall, including advertising the recall, shipping and disposal costs, as well as product replacement, repair, and distribution costs.

Will my product liability insurance cover me for products sold to other countries?

Yes, unless stated otherwise in the policy. Product liability coverage is designed to cover a company that exports its products to another country, however, you may need to increase the coverage limit to adequately cover the risks inherent in those products. If a product liability suit is filed against your company in a foreign country, your company is responsible for paying legal fees, court costs, and whatever the rendered judgment is against your business. If your company is doing business overseas and lacks adequate product liability coverage, any legal judgments against you in those countries

How do my products get evaluated in terms of risk?

The products your facility uses and manufacturers are evaluated according to several criteria. For instance, if you use hazardous materials, importing materials or products from other countries, what the environmental impacts are for using or producing those materials, and the safety procedures you have in place during the manufacturing process. 

Does my home insurance cover my freelance business?

It’s a common assumption that home-based small businesses are automatically covered by a homeowners policy, but that isn’t the case necessarily. Many homeowner’s policies exclude business-related claims or they’ll have a low monetary limit that can’t provide adequate coverage in the case of a claim.

If I’m travelling while working, am I still covered?

Typically, freelancer insurance policies will cover you for business-related activities within Canada. Some coverages, such as liability-based coverages can provide you with protection worldwide. To ensure your business is adequately covered whilst travelling, talk to one of our licensed brokers.

Does freelancer insurance cover my services on third-party marketplaces?

Yes. Freelancer insurance covers your work on websites that you don’t own (for example, if you’re a freelance writer whose work is published on a third-party site, or you’re advertising your services on a marketplace website).

Will acupuncture malpractice insurance cover my home-based clinic?

Yes. Acupuncture malpractice insurance provides protection for home-based clinics.

Does acupuncture insurance cover other services that I provide?

Yes, with acupuncture insurance you can extend your coverage for other services that you also provide, such as massage therapy or other traditional Chinese healing. When you make a quote, you’ll likely be asked to disclose other services you offer so you’re provided with the right policy for your business. If you’re unsure whether a specific service will be covered, it’s always best to check with a broker.

How much acupuncture liability coverage should I get?

Liability and malpractice claims can cost thousands of dollars – sometimes even more than that, therefore it’s extremely important to have a sufficient monetary limit should a claim be made against your business. The exact dollar amount depends on factors such as the size of your business and the types of services you provide. When you make a quote with Zensurance, we determine a suggested amount of liability coverage, but you have the option to raise or lower that limit based on your comfort level.

Is a pickup truck considered a commercial vehicle?

In general, most provinces consider pickup trucks to be commercial motor vehicles if they are used for commercial or business purposes. However, check with your provincial transportation ministry to determine if your pickup truck is classified as a commercial vehicle.

Are my tools covered under my commercial auto policy?

You may require an enhancement to your policy to protect your tools and equipment. Tools and equipment coverage is designed to replace, or repair lost or damaged equipment and tools, accessories. Anything valued at less than $1,500 is considered a tool, whereas anything above is considered equipment.

If I use my personal vehicle for work and get into an accident, will my personal car insurance policy pay for damages?

Not necessarily. If the insurer for your existing personal auto policy is unaware you are using your private vehicle for business purposes, they could deny any claim you file. That means you will be on your own to cover the cost of repairing or replacing your vehicle. Furthermore, your personal auto policy could be cancelled by the insurer for not notifying them you use your vehicle for work. If an insurer cancels your personal auto policy, it will cause your premium to rise significantly.

Is equipment breakdown insurance necessary for campgrounds and RV parks?

If your campground or RV park has a restaurant, bar, or general store on the premises, and any commercial appliances like a refrigerator breaks down because of a mechanical or electrical issue, equipment breakdown insurance may cover the costs to repair or replace it, as well as any food and drink spoilage up to a specified limit.

Is liquor liability coverage necessary for campgrounds and RV parks?

If your campground or RV park has a bar or restaurant that serves alcohol on the premises, liquor liability coverage is a must-have. Any establishment or its employees involved with serving alcoholic beverages may be held liable for damages or injuries that occur if it is determined alcohol consumption is a contributing factor in any incident. Your employees must be licensed to serve alcohol by provincial liquor service and sales programs such as Smart Serve in Ontario or ProServe in Alberta. 

Does campground and RV park insurance cover damages to boats or other equipment visitors rent?

If one of your guests accidentally damages a boat or other item they rented from you, your commercial property coverage may cover the costs of repairing or replacing it.

Is equipment breakdown coverage necessary for bars and pubs?

Yes. Including equipment breakdown coverage in your bar and pub insurance policy helps protect you against expenses associated with malfunctioning or broken refrigerators, freezers, air conditioners and other major appliances or equipment. In addition, this type of coverage may pay for repairing or replacing the equipment, as well as any food and drink spoilage up to a specified limit.

Does a bar and pub insurance policy provide coverage for theft by an employee or customer?

Commercial property coverage protects you from theft by a customer or unknown person by forcible means such as a break-and-enter. Meanwhile, commercial crime insurance protects against theft by employees, including any losses resulting from forgery or computer fraud.

Is liquor liability insurance required for bars and pubs?

Yes. Any establishment that serves alcoholic beverages is required to have liquor liability insurance. You can be held liable if you serve alcohol to a customer who causes an accident or is injured, and alcohol is deemed to be a contributing factor. Your employees are also required to ensure that they do not serve alcohol to patrons who are beyond the point of intoxication, which can be challenging to monitor

Is additional coverage required for some film productions?

Yes, for specific projects, filmmakers may require equipment or enter into scenarios that aren’t covered by a standard policy. These typically come with additional risks that not all brokers can cover. Be sure to let your broker know the details of your film projects so that you have sufficient coverage.

Here are some examples that would require additional coverage: 

  • Pyrotechnics (such as the use of explosions or fire)
  • Aerial filming using helicopters, balloons or gliders
  • Animals on set
  • Weaponry used onset (such as live ammunition)
  • Water and underwater scenes
What’s the difference between short-term and long-term film insurance?

Short-term film insurance generally covers you on a per-project basis. This type of insurance is helpful if you’re creating a one-off production or occasionally filming rather than consistently. Meanwhile, long-term film insurance is better if you shoot films frequently at multiple locations and require coverage on an annual basis rather than by the project.

Will film production insurance provide coverage on different sets or locations?

Yes. Film production insurance includes liability and property coverage wherever you are working in Canada. Therefore, it’s vital to tell your broker where the film locations are to ensure you’re adequately covered.

Does my insurance cover soap products sold on third-party marketplaces?

Yes, absolutely. Your Soap Maker Insurance can cover your business should you sell soaps in-person, on your own website, or on third-party websites (e.g. Amazon, Etsy).

Will Soap Makers Insurance cover other products that I sell?

Yes, other products may be covered under your Soap Maker Insurance policy. Soap-related products could include lotions, cleansers, lip balms or everyday skin-care products. To ensure you are adequately covered, be sure to mention your entire product to your broker.

Do I still need insurance if I just teach soap making?

Yes, you will still require insurance, but some of the insurance policies will differ from those listed above (as Product Liability coverage is for selling/producing soap products). As for soap-making instructors, we recommend including Errors and Omissions Insurance as your business provides a service.

Will Amazon Sellers Insurance protect all the products I sell?

Yes. A customized Amazon sellers insurance package from Zensurance is designed to cover the products you sell, design, manufacture, or distribute to consumers, whether a private label seller or a professional seller. Amazon sellers insurance protects you and your business from unforeseen circumstances, including legal fees and settlements and third-party property damage and bodily injury claims.

How much insurance coverage do I need to sell products on Amazon?

Every business is unique. Different Amazon sellers face different kinds of risks or liabilities. For example, if you have a warehouse where your inventory is stored, you may face more risks than a small, home-based business. Have a conversation with one of our licensed insurance brokers to assess your risk profile and determine the type of coverage your business needs.

What is a ‘Certificate of Insurance’ for vendors?

A Certificate of Insurance is a document that provides evidence of active insurance coverages and the limits. These certificates help event organizers quickly confirm that a vendor is compliant with the event’s insurance requirements.

Does my Vendor Insurance policy cover multiple locations and venues?

Yes. Vendor Insurance will cover your business wherever you operate in Canada.

How much Vendor Liability Insurance do I need?

Most venues require vendors to hold Liability Insurance, but the minimum coverage limits vary. You need to protect your business against the risks that you wouldn’t be able to afford out of pocket, so it’s strongly recommended to focus on the coverage you need rather than the amount of coverage that’s mandatory.

Is Contractor Tool Cover Insurance worth it?

Yes – Chances are, all of your projects rely on specific tools and equipment to get the job done. There’s always a risk that an item could be damaged, lost, or stolen even with every precaution taken. It’s necessary to safeguard essential equipment with tool cover insurance to prevent a costly replacement and a delayed project.

Can I purchase a standalone Tools and Equipment Insurance policy?

Yes, you can, but typically, Tools and Equipment Insurance is part of a policy package to ensure your business is covered for other business risks. Other coverages frequently purchased with  Tools and Equipment Insurance are; Commercial General Liability, Professional Liability Insurance, and Professional Liability. 

What is the difference between Commercial Property Insurance and Tool Insurance?

Commercial Property Insurance covers commercial property (owned or leased), and the physical contents within that property should it be damaged or lost due to an event such as fire, theft, or vandalism.

Tool and Equipment insurance offers similar property coverage, but it’s explicitly intended for construction and trade contractors looking to protect their tools and equipment often used in different locations.

Do I have to get liability insurance from a physiotherapy association?

No, it’s not mandatory to purchase insurance through an association. Organizations such as the Canadian Physiotherapy Association offer support for physiotherapists and often include some insurance as part of their membership package. It’s a good idea to shop around for insurance and see if other coverage is more suitable for your business.

What is the required insurance coverage limit for physiotherapists?

Each Canadian province requires a different amount of coverage, with many provinces requiring a minimum of $5,000,000 in Liability Insurance (also known as Medical Malpractice Insurance). As a minimum limit, this amount may not be sufficient, depending on the size of your business. To ensure you’re adequately covered, work with an insurance broker on determining the right amount of coverage.

Does Physiotherapy Insurance cover my clinic?

Yes, whether you own your clinic or rent, your clinic and employees can be covered by Physiotherapy Insurance. There are two coverages to consider. Firstly, Commercial General Liability Insurance can protect your clinic from third-party risks during day-to-day business operations, such as accidental injury. Secondly, Commercial Property Insurance can protect your physiotherapy clinic and the contents you own should an insured event occur, such as a fire, theft, flood or vandalism.

What types of drones can you cover?

We can provide coverage for commercial drones used for things like photography, video or inspection purposes. Unfortunately, we can not cover personal or recreational drones or drones used for delivery or cargo.

Does my drone liability insurance cover all of the areas that I fly?

Your drone liability insurance coverage will not cover all locations due to the risks involved. Be sure to specify the areas you’ll require coverage with your broker to ensure you’re covered adequately.

Do I need separate liability insurance for my drone?

Yes, most Commercial General Liability policies exclude aircraft/unmanned aerial vehicles (UAVs) like drones, so that you will need Drone Liability Insurance as additional coverage for your business.

Are insurance coverages the same for home office vs. commercial office?

In short, yes – you’d be covered for third-party liability and business-owned property – but you may require less coverage for certain aspects. Some home-based business owners assume their home insurance can protect their business activities. In reality, many homeowner’s policies exclude business-related claims or do not have adequate coverage, so it’s crucial to have business-specific coverage for your home office.

Does my office insurance cover employee injuries?

No, your Office Insurance policy would only cover you for bodily injury to a third party such as a customer. If you run a business in Canada, chances are you’ll need to register your business with your provincial Workers’ Compensation Board (WCB) and pay compensation insurance. WCB should cover an employee should they experience a work-related injury or illness.

If I’m renting an office, do I need tenant office insurance?

Yes, it’s essential to have insurance coverage even if you’re renting or leasing an office. In many cases, landlords require tenant office insurance before leasing commercial space to them.

Do Psychology Intern/Students need to carry insurance?

Yes, it’s strongly advised that students and intern psychologists carry Professional Liability Insurance. Interns are still learning, and it’s more likely to make mistakes during those developmental years. Having insurance will protect against alleged negligence and professional errors, similar to licensed psychologists.

Do I have to get insurance from a psychology association?

No, though some associations (e.g. CPA) may offer insurance policies as part of a benefit of their membership. It is advised to do your research and speak to an expert insurance broker to ensure that your specific business needs are met.

What is the minimum amount of professional liability insurance coverage psychologists need to have?

There isn’t a minimum requirement; however, it is recommended to carry at least $1 million in Professional Liability coverage. What’s important is that you’re covered for the risks that you couldn’t afford to pay out of pocket, should a lawsuit be brought against your practice.

Are Life Insurance Agents required to carry E&O insurance?

Yes, in Canada, E&O Insurance is mandatory for Life Insurance Agents. You’ll need to get E&O insurance before you can apply for your licence to sell life insurance.

What is the minimum E&O coverage requirement for Life Insurance Agents?

Provinces have different minimums for E&O coverage, so check with your broker if you need confirmation on the coverage requirements. In Ontario, for example, you must have a minimum of $1,000,000 coverage per occurrence, with extended coverage for fraudulent acts.

What are the consequences of not having the required E&O insurance coverage?

If you fail to hold an active E&O insurance policy, it can result in consequences such as an administrative monetary penalty or a revocation or suspension of your licence to sell life insurance.

What are the insurance requirements for home inspectors?

Some provinces in Canada (e.g. Ontario) require home inspectors by law to carry both Errors and Omissions and Commercial General Liability Insurance. There are minimum monetary limits for both coverages, though it may be likely you’ll need higher amounts to be adequately covered. Even in provinces where it’s not mandatory to carry insurance, the risks that come with being a home inspector aren’t eliminated. Therefore, Home Inspection Insurance should be part of your risk assessment strategy wherever you live in Canada.

If I operate a home inspection company, does my policy cover my employees?

Yes, employees may be covered by your home inspection insurance policy. However, your policy limit typically applies to all employees under your policy rather than individual employees. In addition, you will have the option to increase your limit to ensure your team is adequately covered. For more information, speak with a broker about the size of your business, and they’ll help to educate you on how much insurance you’ll need.

Can a home inspector be sued?

Yes – home inspectors have a duty to perform their job to industry standards. Prospective buyers rely on the accuracy of an inspection report when putting in an offer or deciding to walk away from a purchase. If a home inspector makes errors or causes property damage, they can be found liable.

Are subcontractors covered in my Oil and Gas Insurance policy?

No, subcontractors aren’t covered, but all employees are. However, your policy limit typically applies to all employees under your policy rather than individual employees. You have the option to increase your limit to accommodate your entire staff, or, alternatively, you can ask them to carry their own Liability Insurance.

Does my insurance policy cover multiple oil and gas job sites?

Yes, your insurance policy will cover the various oil and gas sites that you are contracted to work. If you’re providing services at multiple locations, let your broker know to ensure your coverage limits are adequate.

Does Oil and Gas Consultant Insurance provide coverage for oil transportation?

Unfortunately, we do not provide insurance for any upstream production or downstream transportation of oil.  We are only able to provide insurance for Oil and Gas consultants who provide consultancy services.

Will sole proprietorship insurance cover if I get injured?

No – Sole Proprietorship Insurance only covers claims alleging third-party bodily injuries or property damages. If you or your employees get injured from a business-related incident, this will not be covered under this policy.

Does my business have to be registered to get liability insurance?

Yes – to qualify to get liability insurance, most businesses will need to be registered. However, some companies in specific industries may not need to have a license in advance. Speak with a broker to find out if your business is required to be registered.

Do I need insurance as a sole proprietorship business?

Yes – even the smallest, one-person businesses should obtain liability insurance. There are risks that all businesses face that can threaten the survival of their operations if legal matters are pursued. Therefore, insurance is essential as part of your risk management strategy.

Does my Life Coach Insurance extend coverage if I work in different provinces?

Yes, your Life Coach Insurance (i.e. Professional Liability Insurance) will cover your business activities throughout Canada.

Will Life Coach Insurance cover all different types of coaching?

Yes, Life Coach Insurance can provide coverage for all different types of personal development coaching, including, but not limited to, business coach, holistic life coach, executive coach, health coach and nutrition coach.

Does Life Coach Insurance cover employees while in training?

Yes, insurance may cover the liability of full-time employees, including apprentices in training. However, your policy limit will apply to all employees rather than each individual. To make sure you’re sufficiently covered, you have the option to increase your limit. Alternatively, you can ask employees to carry their own insurance.

Will my malpractice insurance cover me for other services that I provide?

Yes, malpractice insurance could provide coverage beyond your chiropractic services if you offer other related services. Some examples of additional services are acupuncture, massage therapy and physiotherapy. To ensure you have adequate coverage, make sure you disclose these additional services to your insurance broker.

How much malpractice insurance should a chiropractor have?

Each province requires a different minimum limit within Canada, starting about $1,000,000 in coverage limit and up to $3,000,000 for larger businesses. However, as this is a minimum limit, this amount may not be sufficient, depending on the size of your business. Work with an insurance broker to ensure your business is adequately covered.

Do I have to get chiropractor malpractice insurance from a regulatory association (e.g. CCPA)?

No, it’s not mandatory to purchase insurance through a regulatory association. Organizations such as CCPA (Canadian Chiropractic Protective Association) support chiropractic health care professionals and may include some insurance coverage as part of their membership package.

If I sell candles as a part-time business at home, will my home insurance cover it?

To be fully protected, you’ll likely need commercial property and product liability insurance. Your home insurance won’t cover you for product-based risks, which is a core liability when selling candles. Also, your home insurance may cover some business property stored at your home, but this may not extend to specialized equipment or merchandise.

Will my insurance premium rise if I sell candles with wicks?

Selling candles with wicks or any other ignitible candle-related product can increase the likelihood of specific risks such as a fire. There is a chance you may have a higher premium than someone who solely sells flameless candles (e.g. wax melts). That said, many other factors are taken into consideration when calculating the total cost of your Candle Maker Insurance policy.

Should I still get insurance if I sell candles online on third-party marketplaces? (e.g, Etsy, Amazon)

Yes – regardless of whether you have a store full of candles or sell candles through an online marketplace, you’re liable for the same risks as if you sold directly to customers without a third party. Our insurance policies consider your specific business requirements, so you’ll be covered for what you need and nothing you don’t.



Will my insurance policy cover all phases of the engineering project?

Yes. While you (or one of your employees) are working on the project, you will be covered by your insurance policy.  However, it is best to discuss with your broker the specific details of the different phases of your engineering project.

Does my policy cover engineers in training?

Yes.  Engineers-in-training would also be covered under your policy. Please note, your policy limit typically applies to all employees under your policy rather than each individual employee. You can increase your limit, or ask employees to hold their own coverage.

Does Engineering Insurance cover all types of engineers?

Yes.  Engineering Insurance combines several insurance policies to provide comprehensive coverage that’s right for your business. Our brokers will work with you to understand your unique risks. This will ensure you’re covered for what you need and you’re not paying for policies that don’t apply to your business. 

If I sell roof shingles to my clients, will this be covered in my roofing insurance policy?

If you sell any products as an extension to your general roofing services, then adding a Product Liability Insurance policy is recommended. Product Liability Insurance provides financial coverage for third-party property damages or injury resulting from the product you sold.

Is roofing insurance legally required by law?

No, roofing contractors are not legally obligated to carry insurance to operate their business in Canada. However, most property owners will expect contractors to have a general liability insurance policy before hiring for the project.

Does my insurance policy cover multiple properties that I manage?

Yes, your insurance policy will typically extend coverage to multiple properties managed by your business. However, you will need to disclose this information to your insurance broker, as it will be factored into your insurance premium. 

Does my insurance policy cover sub-contractors?

Most insurance policies only cover full-time employees of the business and typically exclude subcontractors. Coverage extensions for subcontractors can be added to your existing policy if needed.

For subcontractors, it is recommended you purchase your own liability insurance to protect yourself across multiple work sites.

Can I purchase a standalone Legal Expense policy?

Legal Expense Insurance is a standalone policy designed to help business owners navigate legal situations. When used in conjunction with Directors & Officers Insurance, Errors & Omissions Insurance, and Commercial General Liability Insurance provides comprehensive legal support should your business be named in a lawsuit.

Who do I call to obtain legal advice?

Legal expense policyholders will have a phone number listed within the insurance documents that will direct them to the proper legal team for assistance.

Is Legal Expense Insurance mandatory?

Legal Expense Insurance is not mandatory to operate your business, but as a busy business owner, it could save you a tremendous amount of time and financial resources in the event that you require legal assistance.

What is the difference between property Insurance and builder’s risk insurance?

Builder’s Risk Insurance is a special type of Property Insurance covering you for the duration of your new build or renovation project. It may protect buildings under construction, materials on-site, and liability in the event of loss or damage due to external causes such as fire, wind, vandalism, explosion, and slip and falls.

Does Commercial Property Insurance cover vacant properties?

Non-residential property is considered vacant after 30 days and seen as high-risk. When your property is vacant or unoccupied for a prolonged period, it is more susceptible to property damages, such as theft and vandalism, which may affect how your insurer would handle a claim. As a result, your insurer may remove some key coverages from your policy (e.g., vandalism-related property damages) after 30 days of being vacant.  Please speak to our brokers to better understand the restrictions around commercial property vacancy.

What is the difference between All-Risk and Named Peril insurance coverage?

As the name suggests, All-Risk insurance coverage covers all losses unless otherwise specified. Named Peril policies only cover risks listed explicitly in the policy, with all others assumed to be excluded. You can add additional coverage to your policy as a rider in both cases.

Who is considered third-party?

As a business owner, if you come into contact with any third parties, including clients, vendors, and other businesses, who may be involved in an accident or claim your business caused them loss or damage. This definition of a third party does not include your employees or sub-contractors for coverage purposes. 

What is Errors and Omissions Insurance?

Errors and Omissions Insurance (E&O), also referred to as Professional Liability Insurance, provides financial protection for professionals against claims and lawsuits alleging negligence or failure to deliver a service or product as promised.

How is a business interruption claim calculated?

Different types of Business Interruption coverage will determine how payout is calculated. Most policies cover reimbursement for profits your business would have earned based on the prior month’s performance, in addition to extra expenses beyond fixed costs. Employee wages, taxes, and loan payments may also be taken into account.

Can you get Business Interruption Insurance as a standalone policy?

Business Interruption Insurance is typically included in a commercial property insurance policy or business owner’s policy (BOP). You can add it to an existing policy as a rider.

Does Business Interruption Insurance cover pandemic (e.g., COVID-19) related closures?

Standard business interruption insurance provides coverage for damages sustained due to direct physical loss or damage, such as a fire. Unfortunately, it will not cover income lost or barriers to trade and travel due to a pandemic, infectious disease, or government-mandated closure.

What type of insurance coverage does an on-site private tutor need?

Tutors providing services in a client’s home or a learning pod environment require additional coverage to protect themselves against claims or lawsuits alleging negligence or property damage. The most common coverages for tutors working on-site are:


Does tutor insurance cover learning pods?

Yes, tutor insurance provides coverage for tutors offering private/semi-private education in learning pods and micro-schools.


Do non-profit Directors and Officers have the same responsibilities as corporate board members?

Yes, both corporate and non-profit board and advisory members are required to exercise their fiduciary duties in the best interest of the business or organization. Board members have a responsibility to uphold the three levels of fiduciary duty: duty of care, duty of loyalty, and duty of obedience. While a shield law may protect a board or advisory group, individual members can be held personally liable for breach of these duties in both corporate and nonprofit settings.

What is the difference between Public Liability Insurance and Commercial General Liability Insurance?

The primary difference between Public Liability Insurance and Commercial General Liability (CGL) insurance is the risks they cover. Public Liability Insurance provides financial coverage against the public’s claims against your business for personal injury or property damage. CGL is a more accessible form of insurance that provides a more extensive range, covering personal and advertising injuries and everything public liability covers.

Does Non-Profit Insurance cover volunteers?

Not all non-profit insurance policies automatically include coverage for volunteers. The level of risk varies across roles (i.e. administrative vs. frontline) and may require different coverage levels. Review your policy with a broker to understand whether or not your coverage extends to those donating their time to your organization.

What is the cancellation policy?

Many policies can be canceled with a small early cancellation fee. Though some policies (typically those under $500) are non-refundable. Your policy document will have full details. Note that once you cancel your policy, you may no longer have coverage against any potential claims.

There are a few things to pay attention to regarding early cancellations of your policy.

1. Minimum retained. This is the minimum amount you owe, regardless of when you cancel. This is usually 20-40% of the total policy premium, which represents something like 3-4 months out of the year. So if you have a $1,000 policy, and the minimum retained is 25%, you owe $250 even if you cancel 1 day after the policy was issued. Check your policy document for your minimum retained amount.

2. Fees. Any fees charged along with your policy are almost always non-refundable. So you don’t get any of this back if you cancel early.

3. Short rate calculation. This is fee is charged by the insurance company in case you cancel your policy before the end of the term. This is usually 5-10% of your premium, depending on the type of policy and the insurance company you are with.

If you would like to cancel your policy, please email us at and include the following information:

  • Your full company name
  • The date on which you wish to cancel your policy
  • The reason you need to cancel your policy

Your dedicated Account Representative will quickly determine the amount of any refund owing, and get back to you within 1-2 days. You can then decide whether you want to go ahead with the change.

Where do I go if I have a complaint?

Our goal is to provide excellent service, but we recognize that there may be occasions when you feel we could do better.

We have developed a formal complaint* handling protocol in accordance with the Insurance Companies Act of Canada to ensure your concerns are addressed expeditiously by us.

If you wish to file a complaint, please visit our Complaints Procedure page, which outlines the full process and requirements.

Which online platforms are covered by Telehealth Insurance?

Telehealth Insurance provides coverage for healthcare practitioners using any platform allowing for private online video, voice calls, or online chat, such as Skype, Zoom, Google Hangouts, VSee, etc.

Does my current insurance cover interruption due to COVID-19?

Standard business interruption insurance will not cover income lost or barriers to trade and/or travel due to COVID-19.

Is there any insurance I can purchase to cover potential loss due to COVID-19?

Unfortunately, there are no available insurance policies that could provide protection against COVID-19. Insurance is designed to protect you against unknown causes, unfortunately, COVID-19 is something that is known to exist and is the cause of many disruptions.

Does business insurance cover personal use?

Generally speaking, business insurance does not cover personal use, meaning you cannot replace home insurance with business insurance. However, there are exceptions. If you operate your business from home, you can protect this space with business property insurance. If you use your vehicle for business purposes, it may be covered under your commercial auto insurance policy. However, home insurance does not typically cover the physical assets associated with your business, such as stock or inventory, or liability issues that occur in your homes, such as a slip and fall injury. It can be confusing, which is why we recommend speaking with a broker to understand the limitations and restrictions of your business insurance policy.

To protect both your home and business, consider keeping business separate from your personal life by protecting your assets with a business insurance policy and home insurance policy.

What are the most common coverage that I should opt to include by business insurance policy?
Coverage requirements may differ for different industries. The most basic insurance policy that is applicable to almost all businesses is commercial general liability, which provides protection from third-party related risks. If you provide a service or advice, consider adding professional liability insurance to your policy. If you own expensive equipment and assets, consider contents coverage and equipment breakdown coverage. Legal expenses coverage may also come in handy if you require legal counsel or defense.
Does my homeowner’s policy cover disasters that occur due to business equipment failure?
Most homeowner’s policies do not cover any damages to your home that result from business-related activity and property, but go over your policy to ensure that it’s the case for you. For example, if you run a catering business and one of your equipment caused a fire to start at your property, any resulting damages may not be covered by your home insurance policy.
What is the difference between General Liability Insurance and Home Based Business Insurance?
General liability insurance is a specific insurance policy that covers injury and damage to third-parties, while home-based business insurance is an umbrella term that may include several different insurance policies such as general liability, professional liability, legal expense, contents coverage, etc, bundled into a package specially curated for businesses that operate out of the owner’s home.
Do I need a builders risk policy if I already have contractors insurance?

Yes. A typical contractor’s insurance policy does not cover buildings under construction. It is essential to cover your building and liability while the project is in process.

Is Product Liability Insurance legally mandatory for retail and e-commerce stores?
In most industries, product liability insurance is not mandatory, however, it is strongly recommended, especially if you sell items that could easily result in claims. For example, food items may lead to food poisoning. Clothing items may also lead to skin reactions.
Does Product Liability Coverage cover damages to my stock and inventory?
No. All forms of liability insurance only cover damages to a third-party. Injuries to you and your employees, and damages to your assets, including stock and inventory, are not covered under Product Liability Insurance.
What is the difference between Product Liability Insurance and General Liability Insurance?
General Liability Insurance provides protection in a wide range of cases where a third-party suffers injury or property damage either on your premises, or you or your employees cause damages on the third-party’s premises. Product liability only extends as far as such damages being caused by a product that you sold or manufactured. For example, if a customer were to be injured due to a slip n’ fall at your store, any subsequent insurance claim may be covered by general liability but not product liability.
What sort of equipment requires equipment breakdown insurance?

Equipment breakdown insurance applies to a broad range of machinery and equipment crucial to your business operations. It provides financial support for your equipment that malfunctions because of electrical or mechanical damage. That may include machinery such as air conditioning and refrigeration, boiler and pressure vessels, computers, production systems, and renewable and alternative energy equipment.

Do I need equipment breakdown coverage if I already have warranty on my equipment?

Review your warranty policy carefully. Whether your equipment came with a warranty when you purchased it or if you had to buy the warranty protection as an add-on, there are specific conditions under which a warranty will apply. For example, warranties often do not cover operator error, so if any damage to your equipment were caused due to the mistakes of an inexperienced employee, it would probably not be covered by your warranty.

Is there a difference between equipment breakdown coverage and contents coverage?

Yes. Content coverage will protect your property, including premises, equipment, machinery, and computers in cases of damage due to external factors such as fire, flood, water damage or weather-related events. Unfortunately, any spontaneous electrical or mechanical breakdowns or those caused by operator error will not be protected by your content coverage. An equipment breakdown policy, however, may protect you in such cases.

Do I need malpractice insurance in addition to professional indemnity insurance?

Malpractice insurance and professional indemnity insurance provide the same coverage. In some industries, such as law and medical services, malpractice insurance is a more common term than professional indemnity coverage. Regardless of what you call it, professional indemnity/malpractice insurance is essential for any business that provides a service or advice.

Does professional indemnity insurance also provide coverage for professional tools I use for work?

No. Professional Indemnity only covers losses to third parties caused by errors or omissions in your advice or service. Professional Indemnity Insurance will not cover tools or equipment you use for work. If your business utilizes expensive tools and equipment, consider adding Tools and Equipment Coverage to your business insurance policy.

What is the difference between professional indemnity insurance and professional liability insurance?
There is no difference between the two in Canada; however, Professional Indemnity Insurance is a term that is more popular overseas. In Canada, the same coverage is provided by professional liability, also often referred to as errors and omissions insurance or E&O. In some industries, such as medical services and law, it is also referred to as Malpractice Insurance.
Does Public Liability provide coverage for damage to my business’s property?

No, Public Liability Insurance is designed to protect you in claims from third-party injuries or property damage. Your property is not covered under this policy. If you own expensive property and equipment and require coverage, discuss with your broker to get Contents Coverage or Equipment Breakdown Coverage.

Does Public Liability provide coverage for errors and omissions?

No, Public Liability Insurance only provides coverage for accidental injuries and property damage to third parties. Errors and omissions in service are covered under a separate policy called Professional Liability Insurance, often referred to as Errors and Omissions Insurance. If a client were to be injured due to a service you provided, you would require Professional Liability Insurance to cover you in such a scenario.

What is the difference between Public liability and Commercial General Liability?

There is no difference between the two in Canada. Public Liability Insurance is a term that is more popular in other countries, especially in the UK and US. In Canada, the same coverage is provided by Commercial General Liability, often simply referred to as General Liability Insurance, CGL, or Liability Insurance.

Do I need salon booth rental insurance if I am renting a chair?

You may need it because it’s possible that the salon where you are renting your chair doesn’t cover independent contractors under its policy. Check in with the salon owner to understand what coverages you are provided under their insurance policy. You can also discuss with your broker what amendments should be made to your policy to fit your specific insurance needs.

What is the difference between hair salon liability insurance and professional liability insurance?

Professional liability insurance is a type of insurance policy designed to protect professionals who provide a service, in the event of errors or omissions in their service that harm their clients. Hair salon liability insurance (hairdresser insurance in short) is an insurance package designed to protect hair salons and hair stylists against common risks they face, and bundled in that package will be professional liability coverage, general liability coverage, contents coverage, if these are all requested by the salon owner/hair stylist. Amendments can be made if required by simply contacting your assigned broker.

How much does hair stylist insurance cost?

The cost of your hairstylist insurance policy will depend on a few different factors, such as whether you own a hair salon or only rent a chair, whether you travel to clients’ houses, how much revenue you made in the previous year, how much revenue you expect to make this year, security measures in place, and a few other simple questions related to your business.

Am I legally required to obtain Tenant Liability Insurance?

Although you are not legally required to obtain Tenant Liability Insurance, it is common practice for landlords to require their tenants to have insurance coverage before leasing to them. In most cases, tenants are asked to get insured before signing a lease.

Does my Commercial Tenant Insurance policy cover my company’s property and equipment (computers, furniture, etc)?

Coverage for your company’s assets and equipment is not provided under a Commercial Tenant Insurance policy. The policy is designed to cover a tenant’s legal liability towards the landlord or other third party. To protect your property and equipment, make sure you add Commercial Property Insurance to your policy.

Is Commercial Tenant Liability Insurance the same as Commercial General Liability Insurance?

Commercial General Liability Insurance is a general policy that applies to all sorts of businesses (not just companies in leased spaces). It provides coverage for bodily injuries or property damage to third parties for which the business can be held liable. Commercial Tenant Liability Insurance provides similar coverage, but it is specifically designed to cover a tenant’s legal liability towards the landlord in injury or property damage cases.

What is the difference between Technology Insurance and Tech E&O Insurance?

Technology and Startup Insurance is a specialized policy for technology companies (e.g. Software Developers, IT Staffing, SaaS providers, E-commerce) that includes coverages specially curated to protect technology companies from the unique risks they face. Tech E&O is a coverage that’s usually included within Technology and Startup Insurance.

Are Legal Expenses covered under my Technology Insurance policy?

You may choose to add Legal Expense coverage to your Technology Insurance policy (and we recommend that you do). Legal Expense coverage provides access to a lawyer for immediate legal advice on any business-related matter and coverage for legal expenses for the following: Contract Disputes, Employment Disputes, Criminal Defence, Property Disputes, Personal Injury, and Tax Disputes.

Is Technology Insurance the same as Cyber Liability Insurance?

Technology Insurance could broadly include several different insurance policies, including Cyber Insurance. Cyber Liability insurance provides coverage for damages due to electronic incidents. It is usually included in a Technology Insurance policy alongside additional coverages such as general liability, professional liability, legal expense insurance, etc.

Is Architect Insurance mandatory for architects before signing contracts?

Architect Insurance is not required by law, but it is difficult to land any sizeable project without having an insurance policy in place. If there is an error in a project designed by you, it can become extremely costly if the error is discovered once construction is underway. For this reason, project managers and builders are usually very careful about only working with architects who already have Architect Insurance.

Can an architect be liable for projects completed in the past?

Yes. Design errors in a project can be discovered years after the project is completed, and if you are the architect who designed the project, approved the design, or agreed to the substitution of products that turned out to be faulty, you will be held liable for damages, even if you have retired or changed professions.

What coverages should architects have in their insurance policy?

The most basic policy recommended for any business is General Liability. It protects a business from claims of bodily injury or property damage to a third-party. For Architects, it is also recommended to add Errors and Omissions coverage to their insurance policy. Errors and Omissions Insurance, also known as Professional Liability Insurance, covers errors and omissions in your services to clients that lead to financial losses for them. If you own a lot of expensive property, also add Commercial Property Insurance to your policy to protect your contents and assets.

Does General Liability Insurance protect my inventory and stock?

No, General Liability Insurance is a coverage designed to protect you from the consequences that result from bodily injuries and property damages to third-parties. Damage to your own property is not covered by General Liability Insurance. If you wish to protect your own stock and inventory from damages, add commercial property coverage to your insurance policy.

Is employee theft covered under Crime Insurance?

Yes, Crime Insurance is a coverage that may protect your business from employee theft including stolen cash and credit card forgery as well as loss of money and securities inside and outside of the premises. Regular theft is included under the property portion of a policy.

Can I have my landlord listed as additional insured?

Yes, this is a very standard requirement. Please provide us with the legal name and mailing address and we can have this added to your formal policy documents.

Do I need equipment breakdown coverage?

Yes. This is an extremely important coverage for restaurant owners. It protects your business from cases of mechanical and electrical breakdown of major pieces of equipment (e.g., boilers, coolers, refrigerators, air conditioners). The policy covers the repair or replacement of the equipment, and there is also a limit associated with food/drink spoilage. Note that equipment breakdown is not included under property coverage.

Are employee theft and regular theft covered under Crime Insurance?

Crime Insurance protects your business from employee theft including stolen cash and credit card forgery as well as loss of money and securities inside and outside of the premises. Regular theft, however, is included under the property portion of a policy. Ensure that you have both added to your Restaurant Insurance policy.

Is liquor liability an important coverage for my restaurant?

If you serve alcohol at your restaurant, you may consider adding liquor liability to your insurance policy. You may be held liable if you serve alcohol to a customer who causes an accident, and alcohol is deemed to be a contributing factor in the incident. Restaurant employees are also required to ensure that they do not serve alcohol beyond the point of intoxication, which is a challenging requirement to manage.

Is legal expense insurance included in a standard media and marketing insurance policy?

No, but you can add legal expense coverage to create a comprehensive media and marketing insurance policy. Legal expense coverage provides you with financial support to consult a lawyer for advice related to your business. Standalone legal expense policies may start at $200 a year, but you may be able to get a discount if you bundle it with other policies, such as commercial general liability and E&O insurance.

What are the most common risks that media and marketing professionals face?

The most common risks that professionals in the media and marketing industry face are lawsuits that arise from copyright infringement, plagiarism, defamation, and invasion of privacy.

Is Cyber Liability Insurance necessary for a hotel?

Cyber liability may not necessarily apply to all hotels, but many hotels and lodging establishments do utilize electronic data that makes them susceptible to cyber attacks. For example, a hotel may have a website where clients make reservations online. The website may also accept electronic payments from customers, and customers’ financial and personal data may be stored in the hotel’s systems. A cybersecurity breach for such an establishment could lead to severe problems if the establishment is not protected by Cyber Liability Insurance.

Is liquor liability an important coverage for my hotel?

If you serve alcohol, you should consider protecting your business with liquor liability coverage. According to the Insurance Bureau of Canada, if you serve alcohol you could be held liable for injuries or damages to third parties if alcohol is deemed as a contributing factor in the incidents. Any business that serves alcohol is also responsible for ensuring that customers are not served past the point of intoxication, which is extremely difficult to keep track of, especially in a busy environment.

Do hotels require Property Insurance in addition to General Liability Insurance?

Yes, hotels may require Property Insurance. General liability insurance covers injuries and property damage to third parties. General liability will protect you in incidents such as slips and falls and damage to guests’ property by your employees, but damage to your own property is not covered. Hotels have a high residential property value and own many expensive contents. If you wish to protect your assets, you may consider adding Commercial Property Insurance to your insurance policy.

Do I need to carry insurance on my stock if I am operating by dropshipping?

Confirm with your supplier if they are responsible for insuring inventory. However, it never hurts to carry this coverage in the event that you get dragged into a claims scenario. If you have multiple suppliers, it can be difficult to keep track of which suppliers have insurance and which don’t. It is highly recommended that you add Property Insurance to your insurance policy to manage your risks.

Do I need Cyber Liability Insurance if I am operating online?

It is recommended that you protect your business operations with Cyber Liability Insurance if you are selling products online as online transactions usually require an exchange of financial information over the internet. Many online retailers also store customer data to complete and ship out orders. If any third party data on your systems are stolen or damaged in a cyber attack, you may need Cyber Liability Insurance to cover the damages. Cyber attacks are becoming increasingly common. According to StatCan, one-fifth of all Canadian small businesses were targets of cyber attacks in 2017, and the number has only gone up since.

Can my online business be held liable for selling a product that caused injury to a customer, despite the product being manufactured by a different company?

Yes, it is possible that you can be held liable for products you have sold even if you did not manufacture the products. Make sure that products liability coverage is present in your insurance policy. Take a thorough look at your inventory to determine if you sell products that are highly likely to cause injuries, such as products for babies and toddlers. Whenever possible, do business with manufacturers that already carry an insurance policy.

Does commercial property insurance cover employee theft?

No, employee theft is covered under crime insurance coverage. Although commercial property insurance may protect businesses from property damage by third parties, it does not cover stolen money or securities. About one in three Canadian companies are concerned about employee theft. To protect your business from theft of money and securities, forgery, and computer fraud, by a third party, add crime insurance to your policy.

What are the most common risks for which an entertainment business requires insurance?

Third-party bodily injury and business-owned property damage are likely the most common risks. That means it’s important to have CGL (Commercial General Liability) insurance and commercial property damage insurance.  Entertainment businesses (bowling alleys, billiards clubs, arcades) own a lot of expensive machines and equipment that are central to business operations. These assets are often used directly by customers, and they can be damaged through use and misuse. Additionally, the activities mean there’s a risk of injury to third parties on the entertainment business’ premises.

Is general liability insurance enough for my entertainment business?

General liability insurance on its own is insufficient to cover your business for many common claims. General liability insurance provides coverage for third-party injuries and property damage, so your entertainment business may be protected when injuries happen on your premises, or third-party property is damaged at your place of business. However, your property will not be covered. To protect your contents and equipment, you must add commercial property insurance to your insurance policy as well.

Are counsellors who work from home protected by their Home Insurance policy?

A counsellor or therapist is not protected by her Home Insurance if she conducts counselling or therapy sessions at home. At the minimum, counsellors and therapists may consider purchasing General Liability Insurance to protect themselves from being held liable for bodily injuries and property damage to third parties, and Commercial Property Insurance to protect the space and contents of their home being used for commercial purposes.

What is the difference between a counsellor and a therapist and do these professions have different insurance needs?

The terms are broadly interchangeable and may refer to the same practitioner. Generally, counsellor refers to a practitioner who is treating a client over a short period of time (for e.g. to treat negative behavior patterns). Therapist, on the other hand, can be used to refer to the same practitioner when she is treating a client over a long time period (for e.g. therapy sessions for deep-seated or complex psychological issues). Regardless of what the professional designation is, Counsellor Insurance is important to protect the practice.

Do counsellors need both malpractice coverage and professional liability coverage?

Malpractice coverage is a type of Professional Liability coverage that applies to counsellors and therapists. Medical health practitioners such as therapists and counsellors deal with patients that may have a complex history of mental health. As with other medical services, mental health treatment and consultation are highly susceptible to negative outcomes due to negligence. Your Counsellor Insurance policy will usually include malpractice coverage in addition to other important coverages.

Does Home Insurance cover instructors who conducts health and fitness lessons at their home?

No, if you conduct fitness lessons or treatment sessions at your home, your home insurance will not cover any damages resulting from your commercial activities. It is highly recommended that you purchase general liability insurance at the least to cover the most common risks in your profession, which are damages to a third-party (mostly your clients). If you want to protect your own property from damages, talk to your broker about adding commercial property insurance to your policy.



Do Health and Wellness practitioners need Malpractice Insurance or Professional Liability Insurance?

Malpractice insurance is a type of professional liability insurance that applies to health practitioners. Due to the nature of your work, your treatment or advice to a client may lead to bodily injuries, in which case, the client will usually file a malpractice lawsuit against you, accusing you of negligence in your professional service. Malpractice-related legal claims are more common in the health and wellness industry than in most service-based industries.

Are fitness instructors covered by the insurance policy of the gym or studio?

Your insurance policy provides coverage for employees of a business, but independent instructors who are simply renting space are not covered by the facility’s insurance policy. If you are an independent instructor, you may consider purchasing general liability insurance to protect yourself from being held liable for injuries or property damage that may happen during your lessons.

Is Consultant Insurance mandatory for consultants and independent contractors?

Although Consultant Insurance is not mandatory by law, it may be important to protect your business with a consultant insurance policy because clients have the legal right to file claims for mistakes caused by the negligence of consultants and independent contractors. Most clients will require you to have Consultant Insurance before hiring you because small mistakes on your part could lead to huge financial losses for them.

Does my Errors and Omissions (Professional Liability) Insurance policy also cover Cyber Liability damages?

Errors and Omissions policies don’t cover damages to third parties from cybersecurity breaches. If you store electronic data related to clients, whether personal or financial, it may be a good idea to ensure that your Consultant Insurance policy includes coverage for cyber liability because you may be held liable for third-party damages caused by cyber attacks on your servers.

Do consultants need both Professional Liability Insurance and Errors & Omissions Insurance?

Errors & Omissions (E&O) Insurance is a popular alternative name for Professional Liability Insurance, but the latter is the official name in the insurance industry. Regardless of what you call the policy, it is recommended for protecting any consulting practice because It provides protection from errors and missed deadlines (due to negligence) that lead to a financial loss for clients.

Are subcontractors covered by the contractor’s liability insurance?

Contractor Insurance provides coverage for full-time employees of a business. This policy does not typically include subcontractors; however, if needed, they can be added. Regardless, it is important to ensure you are meeting all insurance requirements in a contract.

Important note for contractors, your policy coverage limit applies to all employees of your business, not each employee. One option to accommodate all of your employees is to increase your limit. However, hiring subcontractors that carry their own liability insurance ensures all parties have adequate coverage.

For subcontractors, consider purchasing liability insurance to ensure you always have coverage, even when an employer can’t cover you. Having liability insurance will also allow you to work on multiple sites.

Do contractors need professional liability coverage in their insurance policy?

Contractors do not require Professional Liability Insurance. However, if you offer advice as part of your service, consider adding it to your policy to protect against claims alleging you gave incorrect information or failed to deliver a service as promised.

If you’re still not sure if Professional Liability Insurance is something you need, ask your broker about what types of coverage make the most sense for your business.

Is contractor insurance mandatory for contractors and subcontractors before signing project contracts?

No, having Contractors Insurance is not mandatory, but here are some reasons why you should:

  • There are many risks involved in a contracting project, e.g., on-site injury, equipment, and property damage, any of which could lead to financial loss if a client files a claim against you.
  • For risk-management purposes, project managers and planners will often ask for proof of insurance before making a hiring decision. Having Contractor Insurance can be the difference between whether or not you secure a contract.


What are the minimum Professional Liability limits that accountants must have in their policy?

As determined by Chartered Professional Accountants (CPA) Canada, the minimum coverage amount per claim depends on the number of accountants in a firm. For one-member firms, the minimum limit is $1 million. For firms with two or three members, the minimum limit is $1.5 million. For firms with four members or more, the minimum limit is $2 million.

Is Professional Liability Insurance mandatory for accountants?

According to Chartered Professional Accountants (CPA) Canada, all accounting firms (whether a one-person operation or a group operation) that provide accounting services to the public should insure their business with Professional Liability Insurance. Check the CPA branch website of your province to find out about other mandatory laws that apply to accountants and bookkeepers in your province.

Is Cyber Liability coverage included in my Errors and Omissions policy?

No, Errors and Omissions (E&O) Insurance for accountants may only cover mistakes and missed deadlines due to negligence in the accountant’s services that lead to financial loss for clients. If the accountant’s computer network is hacked, E&O will not cover the cost of damages that result from the personal and financial information of clients being compromised. To cover third-party damages due to a breach of cybersecurity, accountants may consider adding Cyber Liability coverage to their policy.

What is the difference between personal injury and medical negligence (medical malpractice)?

Medical negligence (injuries from medical malpractice) is a form of personal injury. Personal injury claims deal with a wide variety of areas where the claimant suffers an injury through no fault of their own, for example, dog bites and slip and falls. Medical negligence (or malpractice) claims only concern mistakes or carelessness carried out by medical professionals. Medical malpractice claims tend to be a lot more complex and thoroughly analyzed too.

What is classified as medical malpractice (or medical negligence)?

Medical negligence refers to a breach of duty by a health professional that results in harm and loss to a client or patient. Negligence can take several different forms, including but not limited to misdiagnosis, incorrect treatment, delay in providing treatment, mistakes in surgery, etc.

Why do I need professional liability coverage in addition to commercial general liability coverage?

Insurance policies are created with the intent of covering a large number of business segments. Every business is unique as to what they offer and how they are operated, due to these individual complexities it is almost impossible for one single insurance policy to cover everything a business may offer. Your basic insurance policy, Commercial General Liability covers any claims of your business causing injury or loss whether it be to a customer, tenant, or landlord. These policies do not, however, cover your professional advice and services, management decisions, physical property, computer systems, data and other potential loss exposures that might exist within your business model.

What is the difference between malpractice insurance and professional liability insurance?

Malpractice insurance is a type of professional liability insurance that protects medical practitioners from errors caused by negligence in their service. Most medical practitioners are sued at one point or another in their career. Malpractice insurance is curated to cover the common risks that most doctors and other medical practitioners are likely to face.

How do different types of liability insurance apply to me?

There are two main types of beauty liability insurance that apply to your profession and it important to have both. Professional liability insurance for the beauty space refers to lawsuits stemming from your actual services. Beauty commercial general liability insurance refers to accidents like a slip and fall. However, it is paramount to have both for a beauty practitioner because sometimes clients can get hurt during a treatment accidentally, like slipping during a pedicure or getting burned during a wax.

How much beauty insurance should I buy?

The rule here is as much as you can afford. You will feel much more confident in your practice knowing you have millions of dollars in coverage. Also if you experience a claim early in the year you may not have enough beauty insurance leftover to continue working because your insurance policy has been depleted!

Will my beauty insurance policy cover beauticians renting chairs?

No. Unfortunately, beauty insurance only covers your employees. Beauticians who rent a chair in your salon are considered to be contractors and are not covered by your insurance policy, they would have to get their own insurance policies.

Do mobile beauticians need beauty insurance?

Yes, beauty insurance is not just for beauticians who work at a salon, spa or any spot. Even if you travel to your clients, there is a risk that something may go wrong while you complete your beauty procedure. Insurance claims are very common in the beauty industry and that applies to mobile beauticians too.

Do I really need beauty insurance?

Yes, beauty insurance claims are very frequent in the beauty space. From clients who do not follow post care procedures and experience bodily damage to instagram influencers who feel that your treatment caused them to lose sponsors. Whoever feels that your services caused bodily injury or damage to their exterior image can file a lawsuit with cause. That is why we offer broad beauty insurance.

Does D&O insurance cover former directors?

Yes, D&O insurance policies usually protect former and present directors and officers. As long as the company continues to purchase D&O insurance, former directors and officers will be covered against future lawsuits that relate to their past board service.

Does my non-profit need Directors and Officers (D&O) liability insurance?

Yes, D&O insurance protects the board of directors of nonprofits by covering defense costs, settlements, judgments arising from lawsuits and wrongful allegations. Nonprofit board members are not fully exempt from liability just by virtue of being volunteers.

Can a sole trader or partnership have Directors and Officers Insurance?

Directors and Officers Insurance usually does not apply to sole traders or partnerships because they don’t employ the executive level staff that a Directors and Officers Insurance policy is designed to cover. However, any corporate business whose structure includes executive level staff should consider getting D&O Insurance.

Is Directors and Officers (D&O) liability insurance the same as professional liability insurance?

D&O liability insurance is a type of professional liability insurance that is specifically designed to protect the liability of directors and officers and also the liability of the corporation to indemnify its directors and officers for expenses incurred from their alleged acts of harm or negligence.

Do hackers even target small businesses (do small businesses need cyber liability insurance)?

Yes. According to StatCan, one-fifth of all Canadian businesses were targeted by hackers in 2017. Hackers especially prefer small businesses because they are considered ‘low-hanging fruits’. Cyber security measures are expensive, and small businesses usually don’t have the infrastructure and trained personnel in place to prevent these attacks.

Does my E&O policy already cover cybersecurity?

No, it is a common misconception that Technology Errors and Omissions (Tech E&O) coverage provides protection against cybercrimes. Tech E&O covers losses resulting from technology services and technology products but it will not protect you in case of loss of private third party information.    

What are the most common types of cyber attacks covered by cyber liability insurance?

Malware: malicious software that usually make their way through with link clicks and attachment downloads.
Phishing: fraudulent emails to steal information or encourage malware downloads.
DDoS (Distributed Denial of Service): bombarding a business’s server with multiple simultaneous requests to stop it from fulfilling legitimate requests.

Does cyber insurance cover cyber extortion (ransomware)?

Cyber extortion coverage is not included by default in all our cyber liability insurance packages. If you require cyber extortion coverage, discuss it with your assigned broker. It provides coverage for extortion related expenses such as hiring a consultant or negotiator and repair costs if the recovered data is locked or damaged.

Do I need E&O insurance if I work from home?

Yes, as long as you provide a service to a client, regardless of your location, you can be sued for errors and omissions arising out of negligence. It is best practice to protect yourself with insurance as legal costs and settlement fees are devastating for small businesses and freelance professionals.

Does professional liability insurance cover errors and omissions?

Yes. professional liability insurance covers errors and omissions in the service or advice provided by professionals. In fact, the terms ‘professional liability insurance’ and ‘errors and omissions insurance’ actually refer to the same type of policy.

What is the difference between D&O and E&O insurance?

The difference is that D&O (Directors and Officers) Insurance only applies to directors and officers of a company and E&O (Errors & Omissions) Insurance applies to any professional who provides a service. Both policies provide coverage for errors and omissions borne out of negligence.

Who needs professional liability insurance?

It’s recommended for professionals who provide a service or advice, whether they work within a group of professionals or as solo entrepreneurs. For example: doctors, lawyers, accountants, management consultants, marketers, financial planners, engineers etc.


What does Errors & Omissions Insurance (E&O) cover?

Errors and omissions (E&O) insurance covers legal costs and settlements that arise from claims of errors, omissions, negligence or inadequate service provided by professionals such as doctors, consultants, engineers, accountants, etc. It does not cover any damage done intentionally. 

How much professional liability coverage do I need?

The most common professional liability coverage that business owners, consultants or practitioners opt for is the $1M/$2M coverage ($1M max pay out for a single claim during a year, $2M max pay out for all claims throughout a year). If you believe risks are higher in your industry or for your specific business, you should consult with your broker about getting a policy with higher limits.

What does professional liability insurance cover?

Professional liability insurance covers financial loss or bodily injury caused to a third party due to a service you provided. It covers legal costs and settlements, usually hefty fees that can cripple a small business or individual practitioner if they had to pay it out of their own pocket.

What is the difference between Errors and Omissions (E&O) Insurance and professional liability insurance?

Errors and omissions is a popular name for professional liability, they both refer to the same policy and provide coverage to professionals or consultants for errors and omissions in their services. In some industries, it’s also commonly known as malpractice insurance. Regardless of what you refer to it as, it may be important to protect your business practice with this policy.

Do I need business insurance if I work from home?

The short answer is YES. While some personal home insurance policies could cover some personal items you use for work such as a laptop, a printer, a monitor or some tools, many times there are exclusions in your home policy that don’t cover home business items. In case of damage to your home or loss of equipment that prevents you from working, the loss of income will not be covered by your home insurance.

How much business insurance do I need?

Canadian entrepreneurs often ask how much business coverage they should get. 1 million or 2 million? The answer as with many things insurance is: It depends. As your business coverage goes up so does your premium. If you can absorb the cost, the general advice is to get as much coverage as you can afford. Many business owners who have to file a claim and went for the cheapest option often wish they had gotten broader coverage. Evaluate the potential risks your business is exposed to and your budget.

How much liability insurance do I need?

Most small businesses opt for a $2M policy, but every business faces different risks so definitely work with your insurance provider to find the right policy for your business. Also, consider your budget and how much you can afford to pay in premiums as policies with more coverage usually cost more.

How do I get general liability insurance for my business?

Get in touch with one of our insurance brokers or request an online quote from our application form.

Our digital brokerage model has several benefits over local brokers, including speed, ease of use and lower costs. All insurance brokers, digital and traditional, have a fiduciary responsibility to protect your best interests and should help you find the right policy for your business.

What does a general liability insurance policy cover?

A general liability policy covers legal expenses and settlements related to bodily injury or property damage to a third party. The most common scenarios usually involve accidents and injuries: trip-and-falls are Canada’s leading cause of injury hospitalization.

How is general liability insurance calculated?

General Liability Insurance costs are calculated based on a few different factors such as industry, projected revenues, and years in operation. Insurance companies have collected decades’ worth of data to predict the risk associated with various industries, business sizes, and many other factors to help them calculate your yearly premium cost.

Can I increase or decrease the limits of my business insurance?

Yes, we are able to customize our insurance packages so that you get only the coverage you need.

Can I pay my business insurance monthly?

Yes. While most customers prefer to pay up front to avoid any additional financing charges, we do offer flexible payment options including monthly payment solutions for policies that cost more than $500.

How much business insurance do I require?

Every business is unique. At Zensurance, we have curated several solutions that include comprehensive coverages and we are confident you will get the coverage you need through one of these packages.  If not, we’re happy to look at alternative options.

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