Photo Booth Commercial Property Insurance
Many think that commercial property insurance isn't necessary for photo booths businesses. They might be right. But know that if you’re the owner of a thriving photo booth business, commercial property insurance is very useful. It provides protection against the following perils:
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| Destruction | Damage |
| Your photo booth business has an office and a warehouse where photo booths are maintained, fixed, and stored. Fire and extreme weather will destroy these. In such an event, commercial property insurance will reimburse your losses based on the replacement cost or actual value of your business’s office or warehouse | Fire, theft, vandalism, and other covered perils will destroy your photo booth business’s office or warehouse. In this situation, commercial property insurance will provide the money you can use to get damaged structures repaired. The amount you’ll get is still based on replacement cost and actual cash value |
Commercial property insurance for your thriving photo booth business has additional stocks and contents coverage, and business equipment and tools coverage.
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| Stocks and Contents Coverage | Business Equipment and Tools Coverage |
| If added with stocks and contents coverage, commercial property insurance will reimburse your losses if office furniture, important documents, photo booth repair and maintenance materials, and other valuables become damaged or lost due to fire, theft, vandalism, and other covered perils | If added with business equipment and tools coverage, commercial property insurance will reimburse your losses if your business’s photo booths become damaged due to fire, theft, vandalism, and other covered perils |
Replacement Cost vs Actual Cash Value
Commercial property insurance provides money based on the actual cash value or replacement cost of a covered property:
Actual cash value - In actual cash value, the amount of money commercial property insurance provides will be equal to the depreciated worth of the covered property. For example, if your photo booth business’s $1 million office got burned and it depreciated 3% until such misfortune, you’ll receive $300,000 from commercial property insurance
Replacement cost - In actual cash value, commercial property insurance will recoup your losses without taking depreciation into account. For example, if your $1,000,000 office got destroyed, you’ll receive the same amount of money from commercial property insurance
Workers Compensation Insurance for Photo Booth Businesses
Does your growing photo booth business have employees? If this is the case, consider getting workers’ compensation insurance. Workers' compensation insurance will mitigate expenses if an employee becomes injured or sick due to a work-related hazard and requests help. This insurance will pay for:
| Coverage | Function |
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Medical Treatment/Procedure | Your business’s photo booth might shock the employee working on it. Also, an employee in charge of collecting the revenues inside your photo booth might get robbed and shot while doing his or her job. In either case, the employee will require emergency medical treatment/procedure if injuries are sustained. Workers' compensation insurance covers this by taking care of all expenses |
 Hospitalization | Your photo booth’s employee might need to stay in the hospital after experiencing a work-related injury or disease. Workers' compensation also helps with this. It covers the hospital bills until your employee is discharged |
Rehabilitation | An employee might experience an injury or illness that needs rehabilitation. There’s no need to worry about expenses if you have workers' compensation insurance. It will cover therapist fees, rehabilitation equipment, and other expenses on your behalf |
Lost Income Compensation | Workers' compensation insurance will cover lost income if your photo booth business’s employee can’t work due to a work-related injury or illness. Compensation for lost income is a weekly allowance equal to two-thirds or 67% of the average weekly wage. For example, if your employee makes $980 per week, the weekly allowance from workers' compensation insurance will be $656.6 |
Death Benefits | Your photo booth business’s employees can die from a work-related injury or illness. Workers' compensation insurance has this covered. If your employee dies, workers' compensation insurance will pay for the funeral and provide financial aid to dependents |
What Will Happen if You Don’t Get Workers Compensation Insurance?
Not getting workers' compensation insurance if your photo booth has one or more employees is punishable by law. The punishment differs from state to state. Here are some examples:
Arizona - Failure to get workers' compensation insurance is considered a class 6 felony. You can be imprisoned for one year and demanded to pay hefty fines
Hawaii - Not getting workers' compensation insurance is punishable by $100 per day multiplied by the number of employees not covered. For example, if you didn’t get workers comp for 5 days and 6 employees were not covered, the fine will be $3,000
Illinois - Employers who don’t get workers' compensation insurance will be fined $500 multiplied by the days coverage isn’t purchased
Photo Booth Commercial Auto Insurance
Does your photo booth business have a commercial vehicle? If so, consider getting commercial auto insurance. Inclusions in commercial auto insurance are:
Auto liability coverage - Your photo booth business’s commercial vehicle will cause an accident and injure third parties or damage properties. Auto liability coverage in commercial auto insurance will help with this. It will shoulder the medical treatment of injured third parties. Also, auto liability coverage will reimburse the owners of damaged properties. If legal recourse is taken against you, auto liability coverage will also pay for attorney fees, administrative costs, compensatory payments, and other legal expenses
Physical damage coverage - Physical damage coverage has two types - collision and comprehensive. Comprehensive physical damage coverage will take care of parts repair or replacement if your photo booth business’s commercial vehicle incurs damage due to fire, theft, vandalism, and other covered perils. On the other hand, collision physical damage coverage will take care of expenses if your photo booth business’s commercial vehicle becomes damaged due to a vehicular accident
MedPay/personal injury protection - MedPay and personal injury protection cover your commercial vehicle’s passenger and driver. MedPay provides payments for the medical treatment and funeral of the driver and the passenger if your commercial vehicle causes an accident or gets involved in an accident. On the other hand, personal injury protection provides the same coverage but also takes care of compensation for lost income, after-hospital visits, and more
Photo Booth Business Owner’s Policy
A business owner’s policy combines general liability and commercial property insurance. Get a BOP if you're thinking of buying commercial property and general liability insurance separately.
However, in most cases, the BOP of different insurance companies has additional perks. For example, CoverWallet’s business interruption insurance features additional workers compensation insurance. On the other hand, State Farm’s BOP has professional liability insurance and data breach insurance.
Other Business Insurance for Photo Booths
Employer’s Liability Insurance
Employer’s liability insurance will cover attorney fees, compensatory payments, administrative costs, and other legal expenses if an employee sues your business for negligence after committing a work-related injury or disease. While it’s available as a stand-alone policy, employer’s liability insurance is usually available as inclusion in workers' compensation insurance.
Employment Practices Liability Insurance
Employment practices liability insurance provides coverage to the perils that employer’s liability insurance can’t take care of. If an employee sues you for sexual harassment, discrimination, wrongful termination, and other offenses, associated with the violation of employee rights, employment practices liability insurance will cover attorney fees, administrative costs, settlements, and other legal expenses.
Business Interruption Insurance
Business interruption insurance ascertains the survival of your photo booth business during difficult times. If you need to stop business operations for a renovation project, relocation, or transfer of business location, business interruption insurance provides the money you can use to pay employee wages, loans, mortgages, taxes, and other operational costs while income isn’t generated.
Employee Dishonesty Insurance
Employee dishonesty insurance will recoup losses if an employee commits a crime. In particular, this will provide coverage if your business’ employee commits social engineering, embezzlement, destruction of money and other securities, and other related crimes.
Property in Transit Insurance
Property in transit insurance provides protection while your photo booth is being delivered from one location to the next. If your business’s photo booth becomes damaged or lost during the trip, property insurance will help to recoup losses.
Equipment Breakdown Insurance
Your photo booths will eventually become weary and experience malfunctions. That’s why it’s smart to get the insurance that covers repair and replacement. The insurance we want you to get is equipment breakdown insurance. If your photo booth becomes broken during use, equipment breakdown insurance will provide money for repairs. But note that this insurance can give immediate replacements if your photo booth is less than three years old.
Cyber Liability Insurance
Does your photo booth business have a website that collects sensitive information with the users’ consent? If this is the case, consider getting cyber liability insurance.
Cyber liability insurance will provide protection if cyber criminals successfully get access to sensitive user information. This will pay for attorney fees, administrative costs, and other legal expenses if affected users decide to file a claim. Moreover, cyber liability insurance will cover PR costs.
