International Operations Insurance 101
International operations insurance is important. In simple terms, the ability for Canadian companies to sell goods and services globally is a major part of what sustains Canada’s economy.
If doing business abroad is part of your company’s current operations and/or growth strategy, understanding what international operations insurance means and what is available for companies doing business internationally is critical to protecting your corporate assets, avoiding tax penalties and even possible jail time.
There Are Many Types of International Operations Insurance
There is no one size fits all solution for international operations insurance and your insurance broker requires an understanding of your operations, the legal, regulatory and tax implications for a company operating internationally.
- International operations insurance for liability is similar to domestic operations insurance; however, if properly structured it applies to International occurrences and includes protection for Canadian occurrences when a suit is brought anywhere in the world. This is in contrast to the typical domestic operations insurance/Canada-based policy that only covers lawsuits that are filed in U.S. or Canada.
- International business auto insurance provides physical damage and liability coverage for hired and non-owned vehicles operated overseas.
- International voluntary /employers insurance extends benefits for Canadian employees while travelling overseas or assigned to work outside the U.S. and Canada.
- International commercial property and business income insurance affords protection at unscheduled locations while in transit for laptop computers, sales samples, personal property, etc. at overseas trade shows. Many jurisdictions require companies to have locally admitted policies in place if they have physical assets i.e. buildings, stock, raw materials etc. in that jurisdiction including most of the U.S.
- International fidelity insurance offers protection against losses resulting from dishonest acts perpetrated by employees overseas, including forgery, theft and robbery.
- International travel accident & sickness insurance provides additional protection in the event of an emergency while travelling overseas.
- Kidnap, ransom and extortion insurance is key for corporate executives, key employees, wealthy citizens and their families.
- Marine Ocean Cargo Insurance for international shipments.
- Political risk covers losses arising from confiscation, expropriation, nationalization/selective discrimination of property by foreign governments or embargo/license cancellation coverage for contracts.
An ALIGNED Advocate can provide expert guidance about international operations insurance and risk management best practices for your organization. Talk to one of our advocates today about how we can help you secure the best products, services and insurance solutions for your business.
|ALIGNED Across Canada 100% Canadian owned, ALIGNED is a premiere insurance brokerage that serves more than 1,400 clients across the country. ALIGNED’s offices in Toronto, Calgary and Vancouver are supported by a national operations centre in Cambridge, Ontario. Uniquely within the industry, ALIGNED creates, negotiates and delivers the best business insurance and risk management strategies/solutions to organizations like yours.|