Key Takeaways
- General liability protects against third party claims for injury or damage.
- Professional liability covers legal costs and damages from errors and omissions in services provided.
- Commercial property insurance protects buildings, equipment and inventory from losses.
- Workers’ comp covers medical costs and lost wages for employee injuries on the job.
- Commercial auto insures vehicles used for business transport and site visits.
- Cyber liability protects sensitive data and operation downtime from cyber incidents.
Introduction
Businesses involved in the administration of urban planning and community development have unique insurance needs based on the types of services provided and activities performed. Common risks faced include liability exposures from construction oversight, errors and omissions in planning advice, property losses at offices, and vehicle accidents during site visits or deliveries.
General Liability Insurance
General liability insurance provides businesses protection from financial losses due to accidental injuries or property damage claims made by third parties. It is an important component of risk management for companies involved in urban planning, construction projects, and community development work. Some key benefits of general liability insurance for these types of businesses include coverage for premises liability, protection for independent contractors and subcontractors, and demonstrating risk management to partners and stakeholders. Common use cases where coverage applies involve third party claims from the public, legal defense costs, and unexpected accidents resulting from operations. Average estimated annual premium costs for general liability insurance for businesses in this industry are around $1,500.
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Based on typical pricing data for businesses in this industry code, the average annual premium for general liability insurance would be around $1,500. This pricing is determined based on factors such as average payroll, number of employees, type of business activities, loss history, and level of coverage limits selected. With no major claims history, standard coverage limits of $1,000,000 per occurrence and $2,000,000 general aggregate would apply to businesses in this industry with 1-10 employees and annual payroll under $500,000.
Estimated Pricing: $1,500
Professional Liability Insurance
Professional liability insurance, also known as errors and omissions (E&O) insurance, is a crucial coverage for businesses in the urban planning and community development industry. It protects them from costly lawsuits and financial ruin in cases of negligence or errors in their professional services.
Some key benefits of professional liability insurance for these businesses include covering legal costs if sued by clients, paying damages awarded in lawsuits, protecting personal assets, providing expert legal defense against allegations, and preventing financial stress of uncovered claims.
Typical use cases where the coverage applies involve claims of negligence, errors or omissions in work, costs from failure to meet contracts, and lawsuits related to planning, permitting and development activities.
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Based on typical industry benchmark, the estimated average annual pricing for professional liability insurance for businesses in the Administration of Urban Planning and Community and Rural Development with NAICS Code 925120 is $3,500 – $5,000. The pricing is derived based on factors such as the business’s annual revenue, number of employees, types of services offered, claims history if any, and other risk assessment measures.
Estimated Pricing: $3,500 – $5,000
Commercial Property Insurance
Commercial property insurance is an important tool for businesses involved in administration of urban planning and community and rural development. It protects their investment in buildings, equipment, and other property from risks of damage or loss, while also providing liability coverage and funds to continue operations after a covered loss. Additional benefits include replacement cost coverage to fully repair or rebuild damaged property, business interruption coverage for income lost during rebuilding, and extra expense coverage for temporary locations if a property is uninhabitable after a loss. Average annual rates are approximately $1.50 per $100 of insured property value.
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Based on average commercial property insurance pricing, businesses in the administration of urban planning and community and rural development industry with NAICS code 925120 can expect to pay around $1.50 per $100 of insured property value annually. This price is derived from national industry averages, considering the typical property and equipment used in offices for this type of work. Location and risk factors may impact the final quoted price.
Estimated Pricing: $1.50 per $100 of insured property value
Workers’ Compensation Insurance
“Workers’ compensation insurance provides important protections and benefits for employers and employees in the urban planning industry. As outlined below, it covers medical expenses and lost wages for injured workers, while reducing liability risks and promoting workplace safety. It also ensures compliance with state laws and estimated average premium costs are provided based on payroll amounts.”
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Based on national workers’ compensation insurance rate data and risk factors for NAICS code 925120 (Administration of Urban Planning and Community and Rural Development), the estimated average annual premium would be around $2.50 per $100 of payroll. This industry typically has moderate risk levels due to office work. The premium is calculated by taking the payroll amount and multiplying it by the rate.
Estimated Pricing: $2.50/100 of payroll
Commercial Auto Insurance
Commercial auto insurance provides important liability protection and risk reduction for businesses in the urban planning industry that utilize fleet vehicles as part of their daily operations. It ensures proper coverage is in place for company vehicles used for tasks like site visits, transporting staff and delivering documents. Affordable rates are also available, with an estimated average annual cost of $1,500 per vehicle. Commercial auto insurance give peace of mind for businesses by reducing various legal and financial risks from accidents, damages, injuries and losses.
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Based on typical rates for businesses in NAICS code 925120, the estimated average annual pricing for commercial auto insurance would be around $1,500 per vehicle. This pricing assumes 1-3 vehicles being insured with basic liability coverage of $1,000,000. The pricing is derived from aggregating quotes from top insurers for this industry and vehicle type.
Estimated Pricing: $1,500
Cyber Liability Insurance
As an administrator of urban planning and community development with sensitive resident data, cyber liability insurance offers important financial protection and resources to properly respond to security incidents like data breaches that could disrupt operations or result in costly lawsuits and reputational damage. It ensures organizations have coverage for legal fees, notification costs, forensic investigations, credit monitoring, restoration of systems, and payment if they are sued by third parties over data incidents. Cyber liability insurance for businesses in this industry is estimated to cost around $1,500 annually based on typical policy pricing.
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Based on average pricing data for businesses in the NAICS 925120 industry and their risk profile for cyber liability, the estimated annual pricing would be around $1,500. This takes into account factors such as the typical size of businesses, typical data they store, connectivity to networks, security practices, loss history for similar businesses, and demand in the insurance market.
Estimated Pricing: $1,500
Conclusion
By understanding the key risks faced and benefits of various insurance types, business owners in this NAICS code can make informed choices to protect their operations, employees and assets from financial losses.