Tradespeople and all kinds of contractors typically have to maintain business insurance to get their licenses and bid on certain jobs. With so many different types of insurance policies available from a multitude of companies, how do you choose what coverage you need and whom you’ll buy it from?
General Contractor License Guide wants to simplify this subject and give you viable options for your insurance needs. This Hiscox Business Insurance review will provide you with an in-depth look at the company and its offerings.
Who Is Hiscox?
Hiscox is a specialist insurer that provides basic coverage to its clients directly, from brokers, and through Geico, focusing on the needs of small businesses. Established in 1901, Hiscox primarily serves professional service companies and allows for tailor-made coverages.
Although Hiscox provides several kinds of policies itself, the company refers those looking for some policy types to partner providers because Hiscox doesn’t offer them. If you prefer to have only one insurance carrier, Hiscox may not be a good fit for your company. However, the longevity of Hiscox indicates trustworthiness.
Available in 49 states, Hiscox’s headquarters is in Bermuda. The company’s professional liability policies provide coverage throughout the world.
Get a FREE insurance quote from Hiscox below:
Hiscox focuses on providing quality products to over 180 professions, many of which provide services:
- Contractors and other home service providers
- Fitness and health
Even though Hiscox doesn’t offer some types of business insurance coverage, the company makes it easy for its clients to find those policies from other trusted providers.
Types of Commercial Insurance Offered by Hiscox
As part of our Hiscox insurance review, we want to tell you about a few basic kinds of business insurance offered by the company that contractors need. As with any document, you should read your policies thoroughly to be sure you understand the terms, limits, covered events, and exclusions.
Business Owner’s Policy
The Hiscox business owner’s policy combines general and property liability insurance coverage into a bundle. This policy is customizable, allowing you to add additional coverage like:
- Commercial crime insurance
- Electronic data loss insurance
- Fire and business interruption insurance
- Hired or non-owned vehicle liability insurance
This policy option isn’t available in some states, and other restrictions, such as company size, may apply.
Cyber Security Insurance
You may think that cyber security involves only data breaches affecting large corporations, but the unfortunate fact is that almost anyone is vulnerable to cyber crimes. With so many aspects of business taking place online, including payments and the transfer of potentially valuable data, everyone should be aware of the risks posed by cyber-attacks.
Cyber security insurance covers:
- Breach response
- Data recovery costs
- Legal fees to pay for privacy lawsuits
- Lost business income
- Money lost because of phishing
- Regulatory fines
There are other situations that Hiscox cyber security insurance won’t cover, so be sure to familiarize yourself with policy details. Policyholders have free access to the Hiscox CyberClear Academy, an online resource to educate you and your employees about protecting your company.
Errors and Omissions/ Professional Liability
Those in any profession can be accused of negligence or doing inferior work. You’ll likely face a lawsuit with accompanying hefty legal fees, regardless of your guilt or innocence in the matter. This coverage can help with legal costs and resulting settlements up to your policy limit.
Small business owners can be held liable for non-employee injuries, whether at their place of business or elsewhere. Other covered events include:
- Advertising injuries
- Bodily injury, medical expenses, and personal injury
- Damage to other people’s property
- Electronic data liability
- Your employee’s actions
Your general liability policy can also cover some legal expenses and help with some other costs.
Contractors and tradespeople need other types of coverage as well. Although Hiscox doesn’t offer them, you can purchase these policies via links on the Hiscox site through partnered insurance providers.
Many professions, including contractors, use company vehicles daily to travel to job sites and transport goods or supplies, and your personal auto insurance doesn’t cover business use. You need commercial auto coverage for company-owned vehicles and to cover the use of personal vehicles used for business purposes.
Hiscox partners with CyberPolicy to provide its customers with commercial auto insurance quotes and policies.
Some companies and professions need liability coverage for periods of less than a year. Examples include those who do seasonal work, need extra coverage for a short-term project, or need specific coverage to meet bid requirements.
You can purchase short-term liability insurance through Hiscox’s partnership with Thimble. You can buy coverage for an hour or other specified periods; you can also select a policy that renews automatically until you choose to cancel it. Thimble offers these options for general liability and professional liability coverage.
Most businesses are required to obtain workers’ comp insurance to cover employees if they sustain injuries while working or experience work-related illnesses. Even if your company isn’t required to have this type of coverage, it makes good business sense to purchase it.
CyberPolicy partners with Hiscox to provide workers’ comp coverage.
Other Types of Policies Hiscox Insurance Offers
It’s important to note that Hiscox is not a brokerage, although they offer some types of coverage only through partners. You won’t get quotes for these policies from multiple sources, only from the specified company.
- Directors and officers insurance, through CyberPolicy
- Employment practices liability insurance, through CyberPolicy
- Medical malpractice insurance, through NOW Insurance Company
- Umbrella insurance, through CyberPolicy
Hiscox’s Quote Process
Hiscox’s website has multiple links to obtain online quotes for its various insurance policies and those offered by its partners. You’ll be asked to supply pertinent company details, and you’ll receive a quote quickly. You can also contact licensed insurance agents to complete the quote process during business hours by calling (866) 283-7545.
Is Hiscox a Real Insurance Company?
Hiscox is a legitimate insurance company that has been in business for over 120 years. The Better Business Bureau gives Hiscox an A- rating, while AM Best rates Hiscox at A.
What Customers Say
Taking the time to research companies is a sound practice, especially if you read customer reviews. This Hiscox Business Insurance review includes a few from verified customers:
“Save yourself a bunch of stress and research time, call Hiscox first! Hiscox made buying my first business insurance policy quick and easy. The agent I spoke with on the telephone was very knowledgeable about single member LLCs, adding additional insureds, and available coverage options. She was able to talk me through the application, provide an instant quote, and help me purchase my plan, all in the same day!” 2/19/2020
“I’ve been with Hiscox for years now and the service was easy to set up exactly what I need as a business owner. I like that they request a review of your policy before renewal as business needs change and you want to make sure your business is covered in each and every way. Empower Bookkeeping Firm thanks you!” 2/23/2020
“We recently switched to Hiscox and asked for a couple of COIs. I was surprised I could not communicate directly by email with our point of contact. Reminds me of my bee hives, you deal with them as you would with one organism, one colony. With our old insurance provider, we had an agent. We could call her cell or send a text or an email and she would take care of it. Requesting a COI now takes me five times longer because of the form I have to fill out. But my Hiscox insurance costs less so I am saving money. New customer 3/4/2020 – giving them four stars and hoping it goes up over time and not down!”
Pros and Cons
A complete, unbiased Hiscox Business Insurance review should include positive and negative company aspects and leave it to readers to form their own opinions. General Contractor License Guide found the following facts about Hiscox Insurance:
- International professional liability policy coverage
- Online quotes, purchases, and policy management
- Discounts available
- 14-day money-back refunds
- Well-established company
- Hiscox doesn’t directly provide a few types of business insurance, meaning that you’ll need to purchase necessary policies from other providers.
- Coverage isn’t available in all states.
- There are some restrictions and a lack of availability for business owner’s policies.
Several reliable sites collect verified customer reviews and rate companies like Hiscox Insurance. A few ratings for Hiscox include:
- Consumer Affairs: 138 reviews, 4.3/5
- Feefo: 1,037 reviews, 4.7/5
- Trustpilot: 890 reviews, 4.4/5
With a large number of reviews, the high ratings are a good indicator of customer satisfaction with Hiscox Insurance.
What to Expect from Hiscox
General Contractor License Guide wants our readers to know what they can expect if they choose to purchase insurance policies from Hiscox. There are only a few office locations in the U.S., so if you choose to purchase insurance coverage from Hiscox directly, you’ll transact most of your business online or by phone.
The Hiscox website is informative and easy to use. The company thoroughly explains the types of policies they offer, who needs them, gives you examples of valid claims against these policies, its claims process and response time, and more.
Customers can access policy documents, make payments, and manage their policies through Hiscox’s website, and you can file claims online 24/7.
The rates you’ll pay with Hiscox are intermediate; they are cheaper than some but more expensive than others. Hiscox is a large company and has more overhead expenses than smaller providers. To get an accurate idea of the rates you’ll pay, get a free quote from Hiscox.
Customers can reach Hiscox customer service by phone or email. Some people report that Hiscox customer service is hit-and-miss regarding agent knowledge and ability to facilitate their needs, while others are extremely satisfied.
Hiscox customers can file claims through the online claims center and by phone, email, or U.S. mail. You can also ask the agent or broker you purchased your policies from to file claims on your behalf.
Claims steps are:
- You’ll receive an acknowledgment and reference number within one business day after you file a claim.
- Your assigned claims professional will contact you within two business days to discuss the facts and circumstances behind your claim, answer questions you might have, and explain what the next steps are.
- Hiscox will validate your coverage in 5-10 business days.
- You’ll receive a decision in 10-20 business days, along with instructions about the next steps.
You can always contact Hiscox or your independent insurance agent with any questions throughout the claims process.
A number of customer reviews indicate that there are issues with Hiscox paying claims, but others report no problems.
Alternatives to Hiscox Business Insurance
A thorough Hiscox Insurance review wouldn’t be complete without suggesting that you obtain quotes from other reputable companies before purchasing policies. This process can help you determine if Hiscox or another insurer best suits the needs of your particular business.
General Contractor License Guide has researched other business insurance companies in addition to Hiscox, and we also recommend:
Recommended: Best Insurance Companies for Contractors and Trades
It’s important to look at similar policies for an accurate and thorough comparison. Deductibles, exclusions, and policy limits should be the same for each policy. Consider factors like:
- Company contact methods and hours
- Ease of making changes and obtaining policy documents
- Whether the company uses agents or online, digital methods to conduct business
- Specific customer complaints and concerns
What’s right for someone else may not suit you, so try to find a company that caters to your preferences and insurance needs.
Bottom Line for Contractors
If dealing with a reliable, long-lived company is something you’re more comfortable with, Hiscox Insurance is a great option. If you’re comfortable purchasing different types of policies from more than one company, Hiscox can provide or facilitate most of your insurance needs. The high ratings from multiple Hiscox Business Insurance reviews and satisfied customer comments show that this is a viable company for your consideration.