Funeral homes are unique businesses that people turn to in times of deep grief. A funeral home may sell caskets, offer embalming, and even hold funeral services. Because of this, funeral home directors face unique challenges. They must protect their customers, their property, and their staff. That can be done with the proper business insurance package.
Insurance that Funeral Homes Need
Funeral home insurance coverage should include some—if not all—of these business insurance policies.
General Liability Insurance
Like any business, some basics need to be in place. The first is general liability insurance. General liability coverage protects your business if you are sued for claims of third-party bodily injury, personal and advertising injury, or third-party property damage. With the number of frivolous lawsuits on the rise, it is an important insurance to have in place.
Professional Liability Insurance
Another important business insurance is professional liability insurance. It is also called Errors and Omissions (E&O) insurance or morticians' professional liability insurance. Professional liability coverage protects your business if claims of professional negligence arise. If a family claims a funeral was botched and sues you, E&O insurance can help protect your business.
Commercial Auto Insurance
Commercial auto insurance (or business auto insurance) is written to cover any limos, hearses, and other vehicles used in the business. Commercial auto typically includes any non-owned or hired vehicles you or your employees may use in the operation of the business.
Commercial Property Insurance
Most funeral homes need to have a good property insurance policy in place. Commercial property insurance—also referred to as business property coverage—protects the physical assets of your funeral home. This includes coverage for the building, furniture, caskets, equipment, and other important items specified in your policy. Make sure to factor in office equipment, artwork, and antiques if needed.
Business Owners' Policy
A business owners' policy (BOP) can be an affordable way to get the coverage you need. A BOP includes general liability, property insurance, and business interruption insurance. Many insurance companies offer small businesses a BOP—let us help you see if you qualify.
Workers Compensation Insurance
Workers' compensation insurance is needed to protect your employees. If the employee is hurt on the job, workers' comp can cover some of their lost income and medical expenses. Back injury is a common injury for funeral home employees, which generally comes from lifting caskets. In the unforeseen circumstance of an employee's death, this policy can also help cover funeral expenses. It also protects the funeral home business from being sued by an injured employee.
Other Business Insurance Options to Consider
Some other types of insurance coverage you may need include:
- Equipment breakdown coverage: Funeral homes rely on their heating/air conditioning systems, refrigerators, computers, and other important equipment to be functioning properly. This insurance protects you when equipment breakdowns occur.
- Employment practices liability coverage: Funeral directors or any other person in a position of power may sometimes be accused of discrimination or sexual harassment. This liability coverage can help pay for any lawsuits or settlements.
- Commercial umbrella insurance: Another coverage you may need is umbrella insurance. If the limits of another policy are exhausted, an umbrella policy would kick in. It can often be more affordable to purchase this coverage instead of increasing the limits of other policies.
- Inland marine insurance: Also referred to as property in transit coverage, it can include coverage of any equipment transported, stored, or used off-site. This can include tables and chairs, tents, and other equipment used at burial sites and services.
How Much Does Funeral Home Insurance Coverage Cost?
The price of a funeral home insurance policy varies significantly depending on numerous factors, including the size of your property, the insurance policies and limits you choose, the services you offer, and more. Funeral home directors need to work with their licensed insurance agents to design a comprehensive package for their unique business needs.
Get a Free Funeral Home Business Insurance Quote
Let us help you find insurance protection for your business and keep your mind at ease. Our goal at CommercialInsurance.Net is to get you an affordable and competitive commercial insurance quote for coverage. Complete the form at the top of the page or call us at 877-907-5267! We will connect you with an insurance agent who can walk you through the process.