Delaware Business Insurance Update from CNC Insurance Assoc. " Beware The Sharing Economy" When It Comes To Insurance". 1-8-17

There is a lot of talk about the sharing economy. Businesses that share resources with other businesses for money, is rapidly increasing. An example of this would be Company A  allowing a salesmen from Company B to share a ride in a company auto, for a small fee. Property and equipment sharing is also another example. This isn't new. Businesses share things with other peers all the time. What is different is money is now exchanging hands. When money is involved you create contracts. When there are claims involving these sharing situations standard business owners policies may not cover the contractual relationship a sharing risk creates.  The insurance industry is starting to respond to this trend but not as fast as it is growing.  Make sure you contact your insurance professional and check your policies if you are sharing your business resources.  It may seem like a great way to make extra profits, but you could be risking more than you realize. Until next time be careful out there and know your risks.
G. Kevin Nemith Pres. CNC Insurance Assoc. & The Business Insurance Center
Serving DE, MD, NJ, PA, & VA
www.cncinsurance.com
www.bizinsurancetv.org

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