Transcript 70 new co-ops. 120 currently organizing. www.FoodCoopInitiative.coop Food Co-op Initiative Staff Stuart Jacqueline Mary Questions? Email: [email protected].

70 new co-ops.
120 currently organizing.
www.FoodCoopInitiative.coop
Food Co-op Initiative Staff
Stuart
Jacqueline
Mary
Questions?
Email: [email protected]
Insurance 101
With:
Dane Meisler
VP of Marketing,
Kapatoes Insurance Services
www.healthfoodinsurance.com
[email protected]
888-467-3330
What you need and what to expect
Insurance 101
presented by Dane Meisler of Kapatoes Insurance Services
The Country’s Largest Insurer of Retail
Health Food Stores and Co-ops
www.healthfoodinsurance.com
Insurance Policies Needed Prior to Opening Storefront
• Directors & Officers
– Employment Practices Liability
• General Liability– office space
– Event coverage
DIRECTORS & OFFICERS COVERAGE
• Directors & Officers Insurance
– Covers current Board Members for decisions rendered
– Will also cover past and future board members as long as coverage stays in place
– Helps relieve board members from their Personal Liabilities (ie: home, business) being called
in on lawsuit
– Limits starting at industry standard $1,000,000
– Our Program offers a $0 deductible ranging to $10,000
– Our Program offers a 24/7 Attorney Hot line as an enhancement for the policy. You and
your staff will be able to utilize if there are any questions on hiring, firing, etc
– This policy will also cover Employment Practices Liability
• Sexual Harassment, Wrongful Termination, Discrimination
• This coverage is a necessity once you place W-2 employees
Directors & Officers Ctd
• What is needed to obtain quotes/coverage
– Insurance Application
– Pro Forma Budget or financials *if available
– Quotes take only one day to obtain with application
– Policies are issued and electronic copies are available
the same day
– No payment required to issue policy
General Liability
• Types of General Liability
– Event Liability
• This coverage can be written on case by case basis or
extended events. Range from $250 per each event. More
costly option*
General Liability ctd
• Business Owners Policy
– This option also covers General Liability but requires
you to have an actual storefront or office. This is the
type of policy that will also be placed when the store
opens. It is premises specific but can also extend to
“certain” events. Not all events but can be used to
extend for owners meetings, some membership
gathering events. This has to be submitted to
underwriting for approval and NOT ALL events will be
covered. *more cost effective option
Insurance Policies Needed when Storefront is selected
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Builders Risk Insurance
Business Owners Policy
Commercial Umbrella
Workers Compensation
Commercial Auto
Employment Practices Liability
Builders Risk Insurance
• This policy is only required if you will be performing a BuildOut or renovation of your space
• You will need to supply the General Contractor information,
Certificate from the GC is required*
• Application process
• Policy can be written on shorter terms depending on length of
the project- 3 months, 6 months, 9 months.
Business Owners Policy
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This is the main policy for the day to day operations of the store
You will look to have this in place as soon as build out/renovation is completed or
once you take over ready made space to start setting up the floor, inventory, etc
We have an Exclusive Program that no other agent has access to nationwide that was
specifically drawn up and catered to our industry
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Coverages
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General Liability Limits- slip and fall, product liability and fire liability
Property coverage for inventory, equipment, POS system, walk in coolers, etc
Utility services interruption for power outages
Spoilage coverage- paying out Retail Selling Price vs the rest of the market paying out claims at Wholesale
Private Labeling coverage- if you plan on having the Coops name on any product labels
Several more coverage enhancements
Quotes take only a few days- all location specific*
Commercial Umbrella Policy
• An additional Liability Limit that increases your General Liability,
Workers Compensation and commercial auto underlying limits
• Umbrella limits are optional and can be quoted in increments of
$1,000,000 all the way to $5,000,000
Workers Compensation Policy
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State Specific but most states require you carry Workers Compensation from the first
day you have a W-2 employee. Most Coops will hire a GM or Outreach Manager as
their first hire, this is when we recommend to placing the Workers Comp.
Extremely easy from an information standpoint. It is solely based on the number of
full time/part time employees, their job descriptions and the estimated payroll the
Coop plans on paying the employees for the year. The policy is based on an estimation
and is auditable once the policy expires. Classifications we see for most of our Coops
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8006 Grocery Retail; 8810 Clerical Office Employees; 8033 Supermarket Retail
Information needed to quote: Federal Tax ID number, employee count, classifications and estimated
payroll for those classifications
Quotes as a start up can be run and issued in one day, especially when your GM/1st employee starts.
Commercial Auto
• Only required if the Coop plans on having a commercial vehicle
registered under Coop name. IE: Deliveries, etc
• Information needed to quote:
– Vehicle Information-Year, make Model, VIN #
– Drivers List- who will be driving, their date of birth and drivers license #
– If doing deliveries, mile radius for delivery
Employment Practices Liability
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Included and added to the D&O policy
Covers against Wrongful Termination, Discrimination, Sexual Harassment. We
can/should place from the 1st employee just as we would Workers Comp. At the very
latest by the time the employee workforce begins to get hired.
Limits can be shared with the D&O limit or can be it’s own separate limit.
Limits start at $1,000,000 industry standard and can go to $5,000,000
If D&O policy is in place (and it should be**) we will only need full time and part
time employee count to add this coverage to the current D&O policy. If no D&O in
place, we will need full application process.
OUR PROGRAM
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Insuring the Health Food Store/Coop Industry for 30+ years.
Originally started the Program with United Natural Foods, insuring UNFI for close to
10 years
Program includes close to 3,000 stores nationwide and over 150 Coops in 40+ states
The Program has paid out close to 4,000 claims for our Stores!
Exclusive Program to work as a buying Group
Any Coop references we can provide in your specific state just let us know
www.healthfoodinsurance.com
Questions & Answers
Next Webinar
Date and time to be announced!
FoodCoopInitiative.coop
Thank you!
FoodCoopInitiative.coop
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