Oil and gas general liability insurance exists to protect a business from the fallout of an increasingly litigious world. Accidents and unfortunate instances are bound to happen—the key is to be prepared when they do.
What Is Oil and Gas General Liability Insurance?
General liability insurance policies protect your business from legal liability you may be held responsible for due to perceived or actual negligence. Every company faces liabilities, but the oil and gas industry faces a wide range of risks and dangers unique to it. General liability insurance protects your business’s future by safeguarding its assets and finances.
Oil and gas general liability insurance covers numerous exposures to legal accountability, such as:
- Property damages to your own or rented sites
- Medical costs covering those injured on your premises
- Legal defense costs
- Claims of false advertising, libel, slander, and copyright infringement
- Settlements awarded to people with claims against you
- Ongoing and prior operations
- Contractual disputes
General liability policies lay out the maximum amount your insurer is responsible for paying in a period or for specific occurrences. If you exceed coverage limits, your business is responsible for paying the rest. This is why working with an insurance company that offers comprehensive coverage is vital.
Umbrella and Excess Insurance
Umbrella and excess policies provide extended coverage and raise liability limits. The higher liability limits play a crucial role in protecting a business from paying large out-of-pocket sums that their insurance plans don’t cover if exceeded. These policies are additional protection from claims like workers’ compensation, property damage, and medical bills that could cause an organization to surpass its liability limits.
Car and Truck Insurance for the Oil and Gas Industry
Commercial auto insurance covers both physical damage and liability coverages when workers are involved in an accident and instances not covered by personal auto insurance policies. Commercial auto insurance is most commonly associated with trucks but can be used for any business vehicle.
Most states require commercial auto insurance. Truck insurance for oil and gas industry companies is necessary if they own, lease, or rent any vehicles. Furthermore, if employees drive their own car or company-owned or leased vehicles while conducting business, commercial auto insurance is needed.
With so many insurance solutions available, it is essential to find a commercial auto insurance quote that is within your budget and covers your needs, such as:
- Bodily injury coverage
- Property damage coverage
- Combined single limit coverage
- Medical payments and personal injury coverage
- Uninsured driver coverage
- Comprehensive damage coverage
- Collision coverage
Insurance coverage can also be crafted to cover items inside commercial vehicles. If your cars and trucks transport supplies and tools that would be costly if damaged in an accident or you are concerned about theft, you can look for policies to address those needs.
New Year, New Oil and Gas Insurance Rates
The new year brings new budgets and financial goals. Oil and gas general liability, umbrella coverages, and truck insurance for the oil and gas industry costs can add up quickly. You can take steps to ensure you get the lowest rates that cover what you need.
Start by improving security precautions and minimizing risks. Having security systems or fire sprinklers installed not only protects your workers and business proactively, but it could also lower your insurance price. Keeping your employees up to date with safety training programs and risk management classes reduces the likelihood of making claims.
All jobs have risks—some more than others. If your employees are not correctly classified, you may be paying a higher price than necessary. An employee who works in an area with higher chances of injury will cost more than workers in an office area free of hazardous conditions.
Take the time to evaluate your policy every year. See what type of claims your business made. Check if you are paying for coverage that may not be needed because your business has evolved. It is possible you may need extra coverage in an area or you’re over-insured in another. Talk with your agent to make sure your plan covers your needs and if the new year brought rate changes that benefit your business.
InSource Insurance Group Specializes in Insuring the Oil and Gas Industry
InSource Insurance Group specializes in the oil and gas industry. We partner with our clients to create insurance policies that fit their unique risk profiles. To start protecting your future by safeguarding your assets, contact us today.
