If you’ve ever been confused about what blanket insurance is, you’re not the only one. Blanket insurance is commonly confused with umbrella insurance and has similar-sounding terms. We’re here to clear up the confusion about blanket insurance and to help you better understand who needs blanket insurance and why.
What Is Blanket Insurance?
Blanket insurance is coverage that applies to multiple similar items or property. It can also apply to different types of coverage. An example of blanket insurance is a policy that covers all the vehicles at a single business location. This means that if one car is in an accident, all cars will still be covered.
How Does Blanket Insurance Work?
Blanket insurance is a policy that covers multiple assets or locations under one master policy. For example, if you are a landlord with many rental properties, you may acquire blanket insurance that would cover all of your properties under the same master policy rather than obtaining different policies for each property.
In addition to covering several sites, blanket insurance may give coverage for a wide range of products; you can have coverage for both your buildings and personal property in a single policy. Liability insurance, property insurance, business vehicle insurance (if required), commercial umbrella coverage (if required), and so on are some instances of blanket insurance.
Blanket insurance is not suited for every company owner or landlord, but it is something to think about if you need to cover many locations or different sorts of properties. Before you determine if blanket coverage is best for you and your company, consider the advantages listed below:
Benefits Of Blanket Insurance
You have one policy for all locations and items. This can make managing your coverage much easier since you don’t have to keep track of several different policies.
It may cost less than purchasing individual insurance policies. It’s more flexible in case the value or number of your assets changes over time. For instance, if you buy a new piece of equipment, it can be added to the blanket policy without having to buy a new insurance policy altogether. The cons of blanket insurance are:
It doesn’t cover as many items as individual policies do. If a piece is worth more than its stated limit (the maximum amount an insurer will pay on any one claim), it may not be fully covered by the blanket policy.
Who Needs Blanket Insurance?
Blanket insurance is excellent for corporations or businesses with multiple locations, but it may also be worth looking into for your home if you have expensive specialty items.
Blanket insurance is a policy that covers more than one item on the same property. This type of policy is excellent for corporations or businesses with multiple locations, but it may also be worth looking into for your home if you have several valuable items to insure.
The benefit of blanket insurance is that it can cover as much as you want for one price (or premium). If you’re required by law to have insurance, then this could be an affordable way to get all of your assets covered.
For example, say you own a warehouse in Washington and a factory in Oregon. The warehouse holds products from your factory that are sold to retailers across the country. With the help of blanket insurance, you only need one policy to cover both buildings, their contents, and other assets like your delivery vehicles.