Small Business Insurance Eligibility Guide for Independent Agents
For independent agents who have small business accounts with Coterie, you can use this small business insurance eligibility guide as a high-level overview of our appetite for pre-screening clients, selecting the right coverage, and starting a linkable quote in less than a minute.
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How to use this guide
Match your client’s business score to the relevant department, check eligibility criteria, ensure coverage is appropriate, and then Start quote. While the Quick Reference Guide provides general information, Coterie writes very specific NAICS codes. Please refer to Coterie’s digital appetite guide for specific companies.
Cluster coverage quick reference
Product definitions for quick reference:
| project | What it covers | What it does not cover |
|---|---|---|
| Business Owners Policy (BOP) | General Liability + Commercial Real Estate + Business Interruption | Professional Liability, Workers’ Comp, Commercial Auto, Internet (unless certified) |
| General Liability (GL) | Bodily injury, property damage, personal injury (slander/libel), false/misleading advertising | Professional Liability, Ownership, Business Interruption |
| Miscellaneous. Professional Liability (MPL) | Negligence, malpractice, errors, misrepresentations, incomplete/inaccurate work, and breach of contract | Bodily injury, property damage |
General eligibility thresholds for the group
Coterie’s BOP eligibility applies to all categories unless category-specific restrictions are noted. Coterie operates in all 50 states with more than 10,000 partner agencies.
| threshold | standard | Contractors |
|---|---|---|
| Maximum staff | 50 | 15 |
| Maximum annual revenue | 10 million dollars | $5M |
*Subject to change, please check your quote page while quoting and choose what suits the work you are writing
Office business
Examples include: Accountants, consultants, real estate offices, insurance agencies, technology companies and administrative services.
Available coverages
| Coverage | suitable | Notes |
|---|---|---|
| Balance of payments | Standard placement | GL, property and business interruption packages for offices with furnished, equipment or leased space |
| GL (independent) | Good alternative | This is appropriate when the client does not have any tangible exposure to the property (for example, a home-based consultant) |
| MPL | Highly recommended | Any profession that provides advice, analysis or recommendations must hold an E&O |
BOP is the default setting for most office-based accounts with a physical location. For home or virtual processes with minimal features, a standalone GL may be sufficient. Pair either option with the MPL for any counseling career.
Small business Eligibility criteria
- 50 employees or less
- $10 million or less in annual revenue
- Reduced physical risks and occupational operations
- A physical office, co-working space, or home location
Notable exceptions
- Professional responsibility is not included in the BOP. Accountants, consultants, real estate professionals, and similar categories need a separate MPL policy for this coverage.
Retail business
Examples include: Clothing stores, gift shops, specialty retail, convenience stores, and boutiques
Available coverages
| Coverage | suitable | Notes |
|---|---|---|
| Balance of payments | Basic placement | Property coverage for inventory and equipment is the main driver along with GL |
| GL (independent) | Situational | Useful for temporary or temporary retail businesses with minimal owned property |
| MPL | It is rarely needed | Retail operations typically do not provide professional advice or services |
BOP is the right starting point for almost every retail account. Inventory, fixtures and equipment represent real property exposure that Independent GL may leave exposed. The business interruption element is also important for retailers that rely on seasonal traffic and revenue.
Small business Eligibility criteria
- Physical storefront (brick and mortar location)
- 50 employees or less
- $10 million or less in annual revenue
- Low to moderate risk rating
- Inventory and equipment values within BOP ownership boundaries
Notable exceptions
- Liquor liability is excluded from the Balance of Payments (BOP) standard. Retailers who sell alcoholic beverages (wine shops and convenience stores that sell beer/wine) need a separate liquor liability policy.
- Commercial vehicles are excluded. Delivery vehicles or company vehicles require a separate commercial vehicle policy.
- Cyber coverage is not included unless added by endorsement.
Professional services
Examples include: Marketing agencies, IT consultants, designers, chartered accountants, recruitment companies and management consultants.
Available coverages
| Coverage | suitable | Notes |
|---|---|---|
| Balance of payments | Covering buildings | Covers physical office, equipment and business interruption |
| GL (independent) | An alternative to the balance of payments | It works if the company does not have significant exposure to the property |
| MPL | required | Covers negligence, errors, misrepresentations, incomplete work, and breaches of contract |
Professional services firms need two separate policies to be properly covered. The BOP (or independent GL) handles premises liability, third party bodily injury, and property damage. The MPL covers the professional act itself, including claims of negligence, malpractice, and contractual breaches.
Small business Eligibility criteria
- Service-based operations (revenue derived from expertise, advice, or project deliverables)
- 50 employees or less
- $10 million or less in annual revenue
- No exposure to heavy physical risks
- Cleaning the record of professional liability claims
Notable exceptions
- MPL does not cover bodily injury or property damage. These exposures fall under GL or BOP. Agents should have both policies for full coverage.
- The balance of payments does not include professional liability, even for professional services firms. The coverage gap between BOP and MPL is common and worth pointing out for clients who assume that BOP covers “everything.”
Restaurants
Examples include: Restaurants, cafes, food trucks and catering companies.
Available coverages
| Coverage | suitable | Notes |
|---|---|---|
| Balance of payments | Available with restrictions | Underwriting is more stringent than the office or retail categories |
| GL (independent) | Good choice | Suitable for low-revenue or high-risk restaurant categories where BOP eligibility is marginal |
| MPL | Not applicable | Restaurants are not usually subject to professional liability |
BOP eligibility for restaurants depends on several factors that do not apply to other categories. Standalone GL is a practical alternative for food trucks, small catering operations or restaurants that fall outside BOP restrictions.
Small business Eligibility criteria
Underwriting for restaurants is more detailed than for other small business categories. Three factors carry the most weight:
| factor | Why does it matter? |
|---|---|
| Seating capacity | Higher amplitude increases the frequency of slip and fall and fire load |
| Construction type | Frame construction carries a higher ownership risk than masonry |
| Annual revenue | A proxy for volume, foot traffic and total exposure |
Additional criteria:
- 50 or fewer employees, $10 million or less in revenue (standard limits still apply)
- Operates kitchen equipment, grease traps and fire suppression in good working order
- No extensive delivery fleet (except commercial vehicles)
Notable exceptions
- Food contamination coverage requires approval. Standard BOP and GL policies do not cover damage, contamination or losses associated with a recall without the addition of this endorsement.
- Delivery vehicles are excluded from BOP. Restaurants that use owned vehicles for delivery or catering need a separate commercial vehicle policy.
Low-risk service companies
Examples include: Janitorial services, answering services, repair/maintenance, travel agents, payroll processing, and interior designers.
Available coverages
| Coverage | suitable | Notes |
|---|---|---|
| GL | Often primary | Many low-risk service companies have minimal ownership but exposure to real liability |
| Balance of payments | When ownership matters | This is appropriate if the company owns equipment, maintains inventory, or rents dedicated space |
| MPL | For counseling lessons | Interior designers, consultants, and similar professionals need E&O coverage |
General liability is usually the first policy established for service companies operating on a client’s premises or with minimal owned property. BOP becomes more convenient when a company has meaningful equipment (janitorial companies that have flooring machines, repair shops that have a stock of tools and spare parts) or rents commercial space.
Coterie writes the following service industry categories:
- Telephone answering service
- Secretarial and document preparation
- Cleaning services
- Insurance agents
- Travel agents
- Repair and maintenance of household goods and appliances
- Chiropractic offices
- Interior design, decoration and consulting services
- Payroll processing and talent pay services
Small business Eligibility criteria
- Low physical risk rating
- 50 employees or less
- $10 million or less in annual revenue (contractor sub-limits of 15 employees/$5 million in revenue apply where appropriate)
- The Group has a strong appetite for this sector, and most categories within it receive spot quotes
Notable exceptions
- Professional responsibility is not included in the BOP. Interior designers, travel agents, insurance agents and other advice service categories must add a separate MPL policy.
- Workers’ comp is always separate. Janitorial and repair/maintenance companies with field employees must process workers’ comp through a separate carrier or policy.
High-risk service work (abatement, demolition, operation of heavy equipment) is outside the Group’s scope.
Start a quote Or become a clique insurance producer
Now that you know some general appetite guidelines, you can keep exploring with our digital appetite checker.
If you’re a Coterie agent, you can start a quote on our dashboard. Are you an agent looking for a live appointment with Coterie? You can learn more and fill out the “Be Producer” form on our website.
This article is intended to provide a general summary of Coterie’s products and services. The information contained herein is for informational purposes only and in no way amends, changes or extends any insurance policy or guarantees any specific price, quote or coverage. For a full understanding of the coverage available, please review the terms, conditions, definitions and exclusions of your insurance policy. Please note that all products and coverages referenced here may not be available in all states or to all customers. Please see Coterie’s Terms and Conditions and Privacy Policy for more information.
