Coast to Coast
& CannaShield Insurance Services
Security
Guard Services
Running a security guard company is no small feat—you’re protecting people and property, but that comes with risks like accidents, lawsuits, and even cyber threats. We get that you want to make sure your business is covered from every angle, so we will explain why insurance is critical for your security operation, with clear examples to show how insurance will protect you and your business.
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Remember Insurance is a la carte you can pick and choose the coverages that fit your needs.
Why You Need Insurance for Your
Security Guard Service
Liability Insurance
Protect Your Security Guard Service Against Lawsuits
Key Liability Coverages Explained
General Liability
This is your foundation for covering claims of bodily injury, property damage, or personal injury caused by your guards or operations. It handles medical bills, repairs, and legal fees if someone sues you for incidents tied to your services. Example: One of your guards accidentally bumps into a client’s expensive display case while patrolling, shattering it. General liability covers the cost to replace it and any legal claims from the client. Example: A visitor trips over a barricade your team set up at an event and sprains their ankle, blaming your company. This policy pays for their medical expenses and your defense costs.
Profesional Liability
This protects against claims that your security services failed to meet professional standards, like negligence or inadequate performance, covering legal fees and damages from mistakes or oversights. Example: A client sues because your guard failed to notice a break-in at their store, leading to theft. Professional liability covers the legal defense and any settlement for the client’s losses. Example: Your team misinterprets a security protocol, causing a delay in responding to an incident, and the client claims financial harm. This policy handles the resulting lawsuit.
Coverage for Armed Gurads
This specialized coverage (often an endorsement to general or professional liability) protects against claims arising from the use of firearms by your guards, covering injuries, damages, or legal costs tied to armed incidents. Example: An armed guard accidentally discharges their weapon during a patrol, injuring a bystander. This coverage pays for the bystander’s medical bills and your legal defense. Example: A client sues after an armed guard uses excessive force to detain a trespasser, claiming property damage. This policy covers the settlement and legal fees.
Umbrella /Excess Liability
This adds extra liability coverage beyond the limits of your general or professional liability policies, stepping in for major claims that could otherwise bankrupt your business. Example: A guard’s mistake leads to a major injury at a high-profile event, and the lawsuit hits $2 million, exceeding your $1 million general liability limit. The umbrella policy covers the extra $1 million. Example: Multiple clients sue over a security lapse that caused property damage across several sites, maxing out your primary coverage. Excess liability kicks in to cover the overflow.
Cyber Liability
In today's world, even repair shops handle digital data like customer info and payment details. This covers you if there's a hack or data breach, including recovery costs and legal headaches. •Example: A phishing email tricks your staff into giving up access, and hackers steal customer credit card data. Cyber liability covers notifying everyone affected and any fines. •Example: Ransomware hits your scheduling software, locking you out for days.
Employment Practice Liability - EPLI
This covers claims from employees alleging wrongful acts like discrimination, harassment, wrongful termination, or retaliation, paying for legal defense, settlements, and judgments—key for a business with guards working high-stress shifts. Example: A guard claims they were fired unfairly due to their race and files a lawsuit. EPLI covers your attorney fees and any settlement costs. Example: An employee alleges workplace harassment by a supervisor during training. This policy pays for the investigation and legal costs if the case escalates.
Commercial Auto & Workers Compensation
For Your Security Guard Service
Commercial Auto - Including Hired and Non-Owned
This covers vehicles your company owns or uses for business, like patrol cars or vans, for accidents, damage, or liability while transporting guards or equipment. Example: Your patrol vehicle rear-ends another car while rushing to a client site. Commercial auto covers the other driver’s repairs and medical costs. Example: A company van is vandalized while parked at a job site. This policy pays for the repairs to keep your operations running.
Workers Compensation
Workers’ compensation insurance is essential for a security guard service because it covers medical expenses, lost wages, and rehabilitation costs for employees injured or made ill due to job-related activities, protecting both the employee and the business from financial hardship. Without it, the business could face lawsuits from injured workers and significant out-of-pocket costs, while also risking non-compliance with legal requirements in most regions. Example: Physical Altercation Injury - A security guard is injured while breaking up a fight at a nightclub, suffering a broken arm that requires surgery and weeks of recovery, costing $50,000 in medical bills and lost wages. Workers’ compensation insurance covers these expenses and protects the business from a potential lawsuit by the employee for workplace injury. Example: Slip and Fall During Patrol - A guard slips on a wet surface while patrolling a client’s property, sustaining a back injury that leads to $30,000 in medical treatment and temporary disability payments. Workers’ compensation insurance covers these costs, ensuring the employee’s recovery and shielding the business from direct financial liability or legal action.