We talk about business insurance, what you need and why. We use the crazy person that set Danielle’s office building on fire and burned her office to the ground as the backdrop to the lessons learned.


welcome back to the on business podcast with tons of experience in different
Industries in Canada and the United States Danielle and Brandon give you real talk no-nonsense expert advice
about running and owning successful companies here’s your host Danielle Jenkins and Brandon White
hey Danielle what’s happening hey Brandon um I am in my Mt office right now
um hopefully by next week’s recording I will actually have my office back to normal but we are in our new home
um we are back and forth a little bit right now but we are in our new home officially um and we’re very excited about getting
it to look like our home because right now it’s just a big empty box how are you I’m never better the you had
you had a crazy week which I think you should fill people in on which will lead to our topic today but for listeners
Danielle got on this morning and said how do I sound and she knew that I was going to say that she sounded like she
was in an empty house and I said she said how are we going to fix that and I said you’re going to put things on your
walls and put carpet on and she only rolled her eyes three times but I’m gonna give her a pass I’m going to give
her a pass today because of uh the crazy last week that
you have had so what happened so
um for those of you who follow me on my personal Instagram would know that about a week ago
um our office location in Orangeville uh burned down
so um at 12 o’clock midnight on Wednesday last week
um basically I got a call from a friend of mine who’s on the fire department and he said Hey listen is this your office
location address and I said yeah he said we’ve just dispatched an aerial um the building is on fire and I thought
oh my God so wear our office and storage and and where our location is above us
we have residential units so there’s four or five apartments above there so I
was thinking maybe you know there was a small grease fire there was a small fire of some kind that maybe would have been
resolved with a small amount of water so as soon as I got off the phone with my
friend I pulled up my security cameras on inside of my office and all I could
see from that point on at about 12 30 on the Wednesday night was water dripping
through the ceiling and I was thinking okay maybe tomorrow we’ll just have a little bit of water damage nothing that
insurance won’t need to get involved in just heavy cleanup you know maybe some
water maybe some ceiling tiles replaced um by 1 30 a.m so about an hour later I
had literally watched the ceiling cave in on our unit
um and then my camera’s cut out so at that point um somebody’s bathroom floor came
through the ceiling obviously from the water and the smoke and the fire everything just collapsed um and then
yeah the the camera is cut out at 1 30. so um I didn’t see what happened then and
then it’s at 5am they were still putting it out so we had five departments putting out the building fire
um so that was that that’s what we’ve been dealing with um it’s been crazy since then Brandon
we’ve had so much to do with the insurance um you know phone calls thank God we had
insurance or have insurance um and it wasn’t just us I mean there’s so many the residential units above us
are completely gone they were burnt down you know with nothing left
um my unit underneath as well as two other units are completely written off
and then there were other businesses on the other side of the big building it’s
almost like a mall in a weird way like an office Mall um and then a bunch of other ones on the
other side they were heavily smoke damaged so they’re getting remediated
and restored restored as soon as possible so they can get back to business but our side will be completely
demolished so it’s been quite an eventful week um no
nobody died everybody got out safe thank God unfortunately one of the apartments
they lost two of their cats which is absolutely awful um but thankfully everybody got out and
everybody was safe why don’t you share with people how it happened
so that’s even crazy I’m already getting Shivers um so there was again residential units
above there was a guy on the street that night at about 11 o’clock at night and
he was throwing rocks and Bricks at one of the units on the very front of the street where their Windows faced the
street so obviously there was an altercation there was some probably not nice words said
um and the guy that was throwing rocks on the street decided to go on top of the building which yes there is roof
access because of the type of building it is um and somebody across the street and
the person in one of the other residential units saw somebody on the roof about 20 minutes before the fire
started and this guy literally burnt the building down he went up on the roof and started a fire
um because he was mad that one of the residential units asked them to stop throwing bricks at the building so you
know that is a whole other issue on its own there definitely needs to be some kind of help for people that are going
through things that feel the necessary need to burn a
building down when they’re frustrated that I mean that’s arson it is yeah so the guy is in custody now
um he is charged with arson and six accounts of attempted murder I’m just it’s just crazy I mean who the
hell does that is it’s nuts yeah
and actually when you text me and for listeners we we do have shows in
the can so to speak so last week’s wasn’t necessarily taped last week but the when you text me I was like fire
then I saw your picture I mean it’s just the whole top of that it’s basically a
that type of development where you have stores on the bottom and then I guess you have units on top and maybe some of
them are offices but yeah it looked like it was totally demolished that’s it’s sort of near downtown isn’t it yeah it’s
right off of down like the main street of um of Orangeville um and for those of you who have been
following us before the reason we picked Orangeville is because it’s so Central to all of our major areas that we
service um and it was a perfect location it was the my favorite office location ever we
had great neighbors lots of other businesses in the area um and it was it was great but uh now
well they’re gonna they’ll rebuild it no so no they’re no the off the the
building manager or the building owner um because they have to take that whole right side off again for anybody who saw
my Instagram they’re going to turn that into parking lots because um they have to demolish it there’s no
restoration um so they’re going to demolish it and rebuild it I mean they may
um but I think they’ve decided that they’re not going to and they’re just going to keep the other side of the building so what are you are you going
to move your office yeah obviously yes
well right now we don’t have one um which causes its own challenges you know
like we have tons of meetings staff meetings client meetings people who
purchase the product um our staff that have to come and pick up their their product and Equipment
um for their day-to-day operations um getting all of our new contracts sorted like everything happens at that
location um so it’s definitely challenging I mean as soon as I got that call and my camera
is cut out at 1 30 a.m on that Wednesday night I kind of went into survival mode I emailed our lab right away
um who make our like formulate our products and I said listen we’ve had a fire we’ve lost everything because at
that point once I saw the ceiling cave in I kind of knew everything was gone you know and so I emailed them and said
we’re gonna need a new order ASAP and is there any way that you guys can hold it at your location until we can get a new
one so I dealt with that right away um who else oh I emailed all of our stuff
like every single person in the company because I did not want them to have to come like think that they were coming to
work the next day and then like it’d be a shock and a god like there was just so
much and I just didn’t want them to have to feel that energy or that kind of negative start to their day so I sent it
to every single person within the company and said like the office location is gone between the managers
and myself we’re going to be Hands-On to try and get everything to you guys so we can be as normal as possible
um so luckily in our residential division a lot of our staff keep their products and equipment for their
day-to-day operations with them it’s just kind of like the restocking and the replenishing that was an issue so all of
our managers have been absolutely amazing they’ve been so Hands-On and you know we’ve kind of been doing like drive
around delivery which again causes its own challenges but it’s just to kind of get by right
now until we get another location um but of course there’s other businesses that were affected too so
everybody is looking for locations um and there’s not much available I mean we had such a perfect spot there so
we’re just going to keep trying to find a new space um and and go from there
well it’s terrible it’s unbelievable I was just looking at a picture I remember you posting
um well good news is nobody was killed you can rebuild an office you can rebuild
supplies [Music] it leads us into today’s topic which is insurance for your business
yeah we we could basically just say you need insurance for your
business and if you don’t if you don’t get insurance for your business you’re crazy but it it is as simple as that but
it is a little more complicated than the types of insurance and what you’re going to do and you and I have had experience
with a lot of things you you have people if you have an office that’s an
insurance if you are in the service business and working on other sites whether whether that’s public
or consumer based and or commercial like a
office building or condos or something like that even Building Homes is
different and then products owning products and selling products to someone consumers has a
whole other thing so there’s I used to think it was a racket this
whole insurance thing I actually don’t think it’s a racket but I do think that and we’ll talk about it
you have to read those documents and I love sales people it’s great but they are inherent they’re
not inherently well they are inherently but it’s they are incentivized by closing deals I’m not saying they don’t
want you to be covered of course they’re in the business they want you to be covered in fact they want
you to get as much insurance as you want my experience is that you need to
ask a lot of questions and you need to read the fine print because
they’ll exclude things and then you’ll find yourself in this situation where
you thought you had insurance but you only hadn’t maybe you didn’t have that insurance or you had 500 to replace
inventory when you have 29 000 or a hundred thousand or a million
dollars in inventory uh and then there’s replacement insurance and comp I don’t
know what the I’m I don’t know all the exact words maybe someday we’ll have a insurance person on but there’s basically the idea that you can get your
computer replaced at full value which is replacement insurance or they compensate you for the
computer I’m using that example that you have which I never liked that insurance because
then they say oh well Danielle your computer is two years old so it’s really
only worth five hundred dollars and and you’re thinking to yourself yeah but to get a
new computer is three thousand for the one I have so how so you basically wind up going out of pocket so it’s just
really important two get the right Insurance I’ll let you go
into it since you actually can maybe talk about what insurance you had and
what is actually kicking in and if you have any gaps yeah for sure
um I thought it was super important to talk about let’s say Obviously inside of everything that I’ve went through with
our Commercial location but on top of that one thing that I really see a lot of are a lot of service based companies
or businesses coming to me you know for advice or questions when it comes to
either setting up their business or things that are going to take their business to the next level or maybe Elevate the level of standard they have
and a lot of them don’t have that just general liability insurance so putting
the commercial location aside I think for any kind of small business whether it’s service
Professional Services or anything like that number one is general liability our general liability is 10 million dollars
so that covers um anything from people getting hurt
um any damage so for us for example being in the cleaning industry if we go into a location
accidentally turn on an oven while we’re cleaning it and the building burns down
will be covered under our general liability insurance if we go into a commercial space and we use the wrong
product on their gorgeous bamboo hardwood floors then they’re going to be
replaced so just general liability insurance is my number one recommendation for anybody who is in any
kind of business owner company owner even for themselves just have general liability insurance and different limits
as well I mean we used to be 2 million and then we were 5 million now we’re 10 million
um only because we have so many locations and some of them are upwards of five to ten million dollars worth so
if anything were to happen and the chances are very slim that we’re going to burn down a giant 10 million dollar
um Condo building but just in case we have the insurance to do so so general
liability um is is number one that I think that I would recommend for anybody and I tell
everybody who comes to me for any kind of advice definitely have that and there are tons and tons and tons of different
types of insurance Brandon like you were going through um a few there and there are tons so I think maybe one day we will have an
insurance person on here to talk or maybe people can write in about their questions with what kind of insurance
they should have but for service um like again that general liability
um and then the commercial property insurance so if you have an office location or even just a storage for all
of your equipment and supplies like a garage you know say you own a grass cutting company
um or business and you need to store your lawnmowers you definitely need to have Commercial Insurance liability or
sorry commercial liability insurance so for us um thank God like literally thank God we
had the right um insurance policy and everything for what happened it’s a long time it’s a
lot of leg work it’s a lot of back and forth with the insurance people however it is so worth it
um because it covers literally everything so in our policy for our Commercial location we have everything
from if somebody comes in and Falls you know say for example we spilled water and somebody came in to
buy product from our office location and they fell and broke their leg we would cover that and that would be under our
Commercial location Insurance anything from water damage fire damage weather damage
um um you know the roof caves in because of the amount of snow we get up here um that’s covered and that’s another
important thing to always ask your insurance people because about 10 years ago my mom’s house flooded at the
basement flooded those were two feet of water in the basement and her policy did not have what they call an act of God
um uh policy or clause in there so anything that comes from weather wouldn’t have been uh covered so she
didn’t get covered um from that flood so that was something to definitely make sure that we had in
our policy I’m not sure if that’s the same in the state but it’s definitely important to talk about if you’re up
here in Canada because anything can happen with the crazy weather we have here anything from crazy rainstorms to
the Heat and to the snow you never know uh what could happen so that’s super important to have
um so with hours our policy covered all inventory of our products and Equipment
loss so tools and equipment were covered our products are going to be covered
loss of business as well so because we were able to give a projection of what
we would have made in the commercial division from not being able to start those contracts
um because of losing the equipment in the office and also loss of sales in the product line from people coming in so
they average it over you know certain amount of time we would also get that as
well um so that’s called loss of business insurance sometimes that can be just an insurance policy on its own or you can
add it into your existing policy so for our Commercial Insurance
um and sorry commercial liability insurance policy there’s all these additional things that you can add on
and these are super important things to think about and talk to your broker or your insurance company about because
like I said sometimes you can have separate policies sometimes they can be add-ons to the policy you already have
um but number one is also get commercial liability insurance
um even just the bare minimum for anything like this at least it would cover you know to get another location
you know first and last lease or something to get another location if you don’t want to get the rest but I do
highly recommend getting something that covers any potential equipment product supplies computers everything in there
when the insurance adjuster was calling me and asking me all the questions of everything that was
in there I actually can’t believe how much I forgot you know I forgot that I
had you know probably 300 worth of office supplies like pens and paper so that’s
something that needs to be noted the office phones you think I even remembered the phones and I don’t know
why but I didn’t you know I was thinking just products and equipment and I was like whatever the rest is whatever
um but you know even down to the upgrades that we did in there so when we obtained that we had to put walls up we
had to paint we had to put new flooring so all of those things are also covered um because we’ve increased the value of
that unit so the insurance would cover us for that so I think we did four thousand dollars worth of upgrades
um that they would cover our kitchenette the fridge so there’s so many things that you know I didn’t even realize that
would be covered um that will be so it’s very important to have that commercial liability
insurance not only to protect you in case somebody comes in off the public and Falls but also God forbid you have a
fire or a flood because never ever ever in a million years is what I thought would I have thought that I would have
been victim to losing my office and commercial space to a fire and like
that’s the thing everybody always knows somebody who’s went through it but nobody has ever
nobody really knows until you go through it yourself and yes we’ve had insurance which has been great to have but it
still turns everything upside down so having insurance has just made that a little bit better
well thank God you had it yeah for sure I mean we would be out probably like
just with equipment and supplies alone probably about three hundred thousand um that we had in there with equipment
supplies and just day-to-day stuff masks gloves uniforms like again stuff that
you don’t think about yeah I just I think you covered a lot of
it a few notes that I made that I can talk about what I do
even if you’re a private company I would get dno insurance director and officer Insurance mainly because
that way if someone goes after you or some people have board of
directors and other people on there but if someone’s really trying to go after you they try to go end around and
go to you individually and then I carry
for Yvette and I General another General policy for us personally
mainly because someone then tries to go around again then you’re covered and that
sounds crazy but it’s not crazy it’s not crazy when someone Falls it’s not crazy if someone was in that fire and then
their family and you’re like oh well they’re such a nice person they would never do that they would understand this
was an accident they’re some of their family members won’t and they’ll say XYZ they’re a
business owner they’re rich they can afford this and then all of a sudden you find yourself with a legal bill of a
hundred thousand dollars which is pretty easy to run up when you’re trying to fight that sort of stuff so dno
insurance and then a general policy for yourself which then even if you don’t own your home you have
you should have some sort of homeowners insurance or renters insurance and I
know it sounds like a lot of insurance the truth is some of the insurance really isn’t expensive relative to
revenue so I mean it’s expensive to revenue when you’re starting out and you’re like man
this is thousands of dollars of insurance I mean in some cases especially in the construction world
or security world you we we’ve had insurance policies that run six figures but these are
like high use cases where data could be breached or something something along
those lines and some things just they won’t cover um but if you can get it it’s worth it
and especially when you’re smaller because something like that can put you out of business if
you’re selling that product and someone says my kid drank it and you’re like it says
right there on the label Don’t drink don’t drink the cleaner and they do it it’s not about being
right or wrong always it’s really about defending yourself against the suit
that could be in your favor or not but in the meantime over that time you’re taking money out of your cash flow so
totally I I think it’s been worth it and I’ve had to get insurance for our
company that has um that is a service company and does Consulting
even for when we work for the client and rent cars because they want that to
effectively be bonded so and I think we cover we carry a few million dollars for
that sort of thing so there’s all these things that you just don’t think about you’re you think it’s not a big deal but
when things get legal it gets to be a big deal and I think the other thing
that I just emphasize and maybe you could talk about it the I had a note here about your because you have a fleet
of vehicles I think or some Vehicles we have some yeah but
read the policy it is extremely painful to
read the policy but read the policy because like in your mom’s case acts of God sometimes it covers some acts of God
but you mentioned snow you may in that area of Orangeville because of the heavy
snow insurance policies might carve out and say no no damage from roof because
they’re just not going to insure against it from the 50-year 25-year storm that’s
unpredictable that is predictable enough that they know it could come and then you still can get
Insurance on top of that it’d just be expensive you can hear in California earthquake insurance is very expensive you can get earthquake
insurance but we have earthquakes knock on wood big
one soon but but so you can get insurance and then you just have to do the math sometimes it’s
just worth here in California the property is worth more than the home so unless the
property disappears in the sinkhole then you’re you you might it might make
more sense to ensure your yourself on the structure so what about
um vehicle stuff that you have because I know that we started off with the fire and whatnot but if you have a fleet of
vehicles and you have people driving those Vehicles you got a whole other slate of liability
yeah so um again I don’t know if it’s different in the states or compared to
Canada or what the differences are um but in Canada they really do separate
everything personally and commercial-wise so let’s just look at my vehicle for example and I just had this
conversation with my insurance broker so my car um is under my Corporation just for
accounting purposes so even though that is only me I am the owner and I have my
own slew of insurances um that vehicle because it’s under the
company and technically because we have employees it has to be insured for employees to technically drive it it has
to be insured for any kind of tool equipment and product Transportation
even though I’ve told them I don’t transport you know equipment it’s not big enough to put equipment in there
because it’s under the company name it’s still technically could and they want to
protect their client against I.E me and also themselves I mean you know if there could be also an issue where if the off
chance I throw an equipment or piece of equipment in the back of my car I get
into an accident that equipment flies out and kills somebody um that insurance company is also then
going to go after them so it can be a huge issue so you know there’s certain things that are very important when you
have vehicles um in your commercial um or sorry your your company because
you have to protect yourself you have to protect the company you also have to protect your employees and anybody else
on the road obviously that’s what insurance is for but there’s so much more when it comes to your employees so
that racks up the bill I’m going to be completely honest when you have a bunch of different people on your insurance
policy that could potentially Drive the vehicles um because then they have to check driving records and if all of your staff
are Angel drivers but then you have one driver who has 10 speeding tickets or
three Acts accidents on their record that could then put up the insurance policy so it’s definitely something to
think about um when you are looking at getting vehicles or a fleet I know Molly made
um the other cleaning company that’s very well known they I believe only let
the um managers so their managers are the only drivers of vehicles so unless
you are a management position um you can’t have a vehicle so they have
a loophole in their insurance policy where it’s only specific people and that’s something you can do again you
have to work with your broker just like we say all the time you need to have a good solid support system of people
lawyers Brokers all those people to support your business and definitely having an insurance broker
um is very important and I knew that before this but now I’m even more on top
of my insurances since this fire has happened because you know now I’m telling my insurance broker absolutely
every single thing that our our company does on a day-to-day basis to make sure we have absolutely anything and
everything and any possible thing happen and that it’s covered and insured
um so that’s just a little bit about commercial insurance or commercial auto insurance I think
every case is different every industry every company every business is different so definitely again you need
to talk to them and when they ask you questions like do you do this even if you do it once a month and you think
it’s not a big deal say you do and get covered because I’m telling you now the
one time that you do that’s when you’re going to need the insurance and that’s something that I’ve learned with all of
this because um there was one question I’m trying to remember that the
insurance broker asked me when I was doing the claim for the fire and I thought to myself oh my God like I would
have never put that in my policy but this one time I did and thank God I did because I was going to then cover about
thirty thousand dollars that I lost in the fire I’ll have to find it and maybe pull reference to it in a bit but there
was some clause in there that I was like oh my God thank God I did um so it’s definitely worth it I mean
for some projects they have like you said six figure insurance policies I think we pay 900 Canadian a month for
our commercial property insurance so yes is it almost twelve thousand a year but
look at what I just lost in the fire close to three four hundred thousand so
it’s very much worth it thank you and I was going to ask you the I was
going to try to convert Canadian to U.S because inflation changes every day here now the um that’s only a half joke
the how am I when you said the auto insurance was
it can rack up or add up can you do you have an idea how much what that means
just just I mean you have how many I have four under our policy
um is that covered in the 900 a month or it’s just the 900
um Canadian which is 687 U.S today right now just so you know
um that’s just my commercial property insurance my auto insurance
I think and I can pull up I’ll go into the thing but I believe it’s just shy of 800 a month so not bad but all of us
have clean driving records everybody who’s on there um but there are people who have
auto insurance policies that can be anywhere to twenty thousand a month um like limo companies and things like
that can definitely be more because they’re transporting people um I know A girlfriend of mine she
looked at doing a transporting of um elderly drugs and prescriptions great
business plan great idea and then she was looking at from that to transporting
seniors who can’t drive to their you know daily activities their bingo or whatever it may be and her insurance was
going to be something like 21 000 a month um which is absolutely astronomical and
that’s one vehicle and her driving but because you’re transporting people um so if you’re thinking of having a
business when it comes to predominantly relying on vehicles and other people driving like taxi or anything like that
really really really look into it because your insurance can literally kill you
and the other thing just as a workaround because that basically makes her business on undoable I mean you do the
math in your head unless you get the unless you get the scale really quickly
you could also ask the and have an agreement with
the other business that those people are transport I’m just breaking that one down to so that she could have a
business and basically say hey home whatever work Community I’m going to
transport your people but you’re going to carry the insurance we’re going to have an agreement I’m only offering that to listeners to say that at first glance
you say well that business is dead but you can go in and try to negotiate this stuff and then and then get
yourself bonded with your insurance with the idea that you have an agreement where they’ve covered their people and
taken liability and then your insurance could go down you’re still going to carry some insurance but you could lower
it from twenty one thousand dollars oh yeah it’s insane and then just another thing just off the top of my head
thinking about people like lawyers um accountants Professional Services
um there’s also an insurance here and probably in the states too um that’s literally like Professional Service liability and so that’s for
again let’s just use accountants for example um if there were some kind of issue that
you did wrong and cost my business three hundred thousand dollars because of their screw-up and I then had to go to
court with them um to fight that because I overpaid the government 300 000 whatever it may be that would cover the
accountant’s legal fees um and things like that there’s you know lawyers I know they have stuff um Sergo
my other half through his company uh being a mortgage broker he has what’s
called errors and Emissions so if something was to go wrong um in a mortgage deal his legal fees are
covered up to I think 150 000 and again that’s quite expensive I mean I know
Sergo I think pays close to a thousand dollars a month for errors and Emissions but anything could go wrong anybody
could sue you in a situation like that especially when you’re dealing with Professional Services numbers and money
um and again like you said right or wrong it doesn’t matter it’s the fact that people will try to sue you and I
know in the states like you guys have an insane legal system when it comes to people getting sued
um Canada is not as crazy as the states but we definitely need to have insurance but when it comes to again being sued
and things like that I know the states is hardcore now in California it’s terrible I think
everybody sues everybody it’s it it’s terrible I serve on a committee here in Half Moon Bay of all things uh
called a pedestrian bicycle advisory committee and we advise the
city council and I just got involved because I ride my bike all the time obviously and I do have a good pulse and
in general we our town is very friendly to walking and bicycle it’s not a secret that
California is in general very environmentally conscious health conscious yada yada I mean we just
outlawed gasoline cars and 2035 but you think about it sort of wild but
the um God I lost my train of thought you’re on
the committee yeah I told you I was up really late last night I’m too old to be up at 11 45
at night the um I’m on the committee and uh I forget we
were talking about but anyway it’ll come back to me at some point today after I’ve had two cups
of caffeine which would break which would break my rule but no we were talking about people suing people like
crazy and how California is crazy showing people yeah that’s right so we were talking about a project that to get
a bike path put up and we need these improvements in downtown
Half Moon Bay so they bid the job and then the someone’s suing the town or
whatever I mean I just that just came to mind because it was in last night’s meeting but California is just awful
about it the United States I you know in general it’s hard to make generalizations about everything but the
bottom line is is if someone sees an opportunity
to get some free money or believes in their mind that they’re
entitled to it because of what happened as a result of you it’s just really hard now you’re in this
defense mode and you know whether it’s United States Canada some other place
the legal system and lawyers are incentivized to keep the lawsuit going they’re not incentivized to stop their
billing I’m not saying that they’re bad people or I’m just saying let’s just look at the fundamental business I mean
you’re incentivized to build by they build by the hour some bill on the case basis which would change the incentive
which I might argue is a better business model if you engage one but anyway it’s just it just perpetuates
itself and it’s sometimes it’s legit you know if somebody gets in a car accident your neck’s never right again you know
what amount of money let’s just be honest what amount of money is going to compensate you for living a life
that way Forever at least in this lifetime whatever you believe or
wherever you go you know I I sort of feel that way but
you know in some cases people take advantage of it so important unfortunately the way the whole system works it’s sort
of self-perpetuating like my friend John would say it’s a self-looking ice cream cone so it just it just the lawyers make
the insurance happen the insurance need to defend against the legal system and it’s like Whirlwind and then we’re in
the middle of it all financing this extravagant um thing but
insurance is there for when you need it in your case look that loss of business Rider that you had is huge because that
would cut into your cash flow I mean forget your p l profits I mean
profit is an accounting statement I mean uh p l profit and loss statement is an
accounting exercise that can be creative it’s all about your cash flow yeah and having that loss of business I think I’m
glad you brought that up because uh restaurants usually carry that a lot of the time especially with covet
although I can’t imagine now what the insurance is like because of covid and
it can shut things down but uh yeah I think Lawson loss of
businesses important because then you got to pay payroll and you don’t have income or or just you know like a small
business and I can use this as a prime example um our lovely friends just around the corner of where our office is
um they run a karate school so it’s a husband and wife team they are day in
day out seven days a week they teach like black belt karate they’re amazing and so during the summer they’ve done
kids camps um because we’re on summer break here for the kids so kids camps they do adult camps things like that and
so you know they work hard every day and they take their income from that their only source of income and they pay their
mortgage with that so we were chatting the other day when I had to go into the
um one side of the building and we were chatting and I said you know we’re very grateful that you know for
the most part our residential division um and our already existing commercial contracts can continue it’s a struggle
but we can continue we can still pull in income however we’ve lost the income from the products sales we’ve also lost
the income of our new commercial projects that were supposed to start last week and now they have to be pushed
a few weeks so I mean that’s sometimes upwards of 20 to 25 000 a month that we would have gained starting last week
um that we’ve had to push so that’s loss of income so luckily we had that however I was chatting with the lovely karate
people and I mean they’re building no or their unit didn’t get burnt down but their unit is so heavily smoke damaged
that now it has to be restored it has to be smoke remediated all of these things they can’t have camps they can’t have
people in there until all of that is done so they are out thousands because
they can’t work and sometimes like I was thinking to myself I’m kind of and this
is almost a morbid thing to say in a weird way but I’m kind of glad our unit is a complete loss so it can get you
know demolished and we can move on and we get our insurance payout where these poor people they now have a unit that
they can’t look for elsewhere because they have a unit so their insurance isn’t going to help them pay for a new
unit um yes it’s going to cover the remediation and stuff but how long is that going to take that they’re out of
income so thankfully they have loss of business insurance because it’s just a
husband and wife team they don’t have employees that can make the money or that they have another location that
they can make money they can’t do this karate camps in the middle of a field at
the park you know so they are out thousands until they can get back into their unit
um which is really sad so thank God that they also have lots of business insurance
I agree if you’re listening you are listening and you get the idea that we’re harping
on insurance we are it’s one of those things it’s like something happens to you health-wise and all of a sudden the
rest of your life has changed because you had that event until you have that event it’s not as pronounced but
insurance stuff for business happens all the time and you are just
I don’t think you and I Danielle are scaring anyone but the fact of the matter is you’re putting your personal
wealth at risk if you don’t carry the insurance totally and that’s just the
facts and you just don’t want to do that and most people are good humans out there
sometimes they’re not and they go after money and sometimes something like happens with you where I mean it does
involve a nut but you know it’s completely devastating and it’s all
going to come into play so I don’t think I have any resources I just say talk to your broker and when
you get your talk to your insurance broker make sure you read and ask all the
questions don’t be intimidated because they’re trying to get you to sign or
something basically ask the questions because if you sign that and you carry it and you didn’t get a rider or there’s
an admission or not an admission or something’s carved out because of something and you don’t understand it
and then something happens and you think you had it I can tell you from having been in that situation it’s like
it’s not only disappointing it’s painful physically
totally physically painful to experience that so yeah uh all everybody listening
make sure that you get insurance it you just get a general policy to start at
least that will help you and then dig in yeah like my three little tips
here Brandon like number one obviously have insurance uh number two I know it can be hard for small businesses
especially startups to have the right amount of insurance but guys one is a
write-off a tax write-off for sure two honestly it will save your butt
um and don’t cheap out on your limits um for you know the beginning of this when I said we started with two million
then we went to five million then we went to 10 million we did that because of the growth of the company and so if
you know God forbid anything were to happen like this but with one of our clients buildings and it was our fault
and we were only covered for 2 million but the unit or the location was worth 8 million at the end of the day I’m now
bankrupt because I don’t have another six million dollars sitting there or I’m going to have to sell off my properties
or you know like God forbid who knows what could happen but it would be a nightmare so for the extra sometimes 50
100 or even 200 it’s definitely worth to put up your um values and your limits
and then my third Point um having insurance is actually very appealing to your customers so not only
on an on a personal protection or a business protection um idea to have insurance but also when
you are obtaining new clients again whether you’re a cleaning company an accounting firm
um a grass cutting business a roofer whatever it may be having Insurance gives the client peace of mind and makes
your company more attracted more attractive to new clients the amount of
clients that we have obtained that have said that they’ve had cleaners their whole lives and they’ve never had a
cleaner or a cleaning lady that has had Insurance to protect the client’s home is insane and for anybody who follows us
obviously knows that our whole kind of mission in the company is to elevate the cleaning industry standards and to
provide a company that has those standards but it’s very common that a lot of
businesses and and companies don’t have insurance that is going to protect the client so you know a lot of people
especially cleaners who are in somebody’s home or service people whatever it may be
um if I was to go in to clean somebody’s home and fall down their stairs I could technically Sue that homeowner so us
having our own insurance makes it appealing one they’re not going to get sued and two they know if anything
happens to their home that we’re going to cover it through our insurance policy um so it’s very it’s it’s always been a
good thing for us and our clients have absolutely loved it it has never done us wrong when obtaining new clients and
people are willing to pay a little bit more for that peace of mind so that’s just my little bit of tidbit info there
I think that’s a spectacular point that last one that you can actually turn this around and use it as a selling point to
your customers and I’m so glad that we ended on a more positive note so thank you for doing it is absolutely true and
it but you have to act you do have to actively use it but when you do use it say hey we have insurance I I 100 agree
with you that it takes something off the table and differentiate you from the
rest of the people so thanks for sharing that of course yeah and I hope all of this information is going to help the
next because like I said you never know how important it is to have until you need it and then it’s too late so please
make sure you have insurances for your business and the right ones so talk to your broker or get a broker
and with that thanks for listening we are new so we need you to hit that
subscribe button it helps make sure that you don’t miss any of our shows that get
released which sometimes we release and will release bonus shows and it also
helps us Drive awareness to other people so please hit subscribe and
yeah we appreciate that
is that all for today it is bye everyone