Small business liability insurance is a must if you own a small business. Liability insurance will protect you in the event that you are sued.
Liability Insurance for Small Businesses
Liability insurance will cover any damages awarded if a person is injured on your property, whether that person is a client, a supplier or a visitor. Liability insurance will also cover you if one of your employees injures someone or damages someone's property.
The most common form of liability insurance, general liability insurance, will cover your costs, should you be sued, up to the policy's limits, including legal fees and medical fees. You may choose to buy general liability insurance as part of a business owner's policy package, which includes property and liability as well as other provisions to protect your business.
Protecting Employees and Customers
If you have employees, you should consider employment practices liability insurance (EPLI). This type of insurance will protect your business in the event that a former employee charges you with wrongful termination. In addition, EPLI will come into action if a lawsuit is filed against you for sexual harassment or discrimination.
If you own a manufacturing business, product liability insurance is a must. This type of insurance will cover you if one of the products that your company makes causes property damage, an injury or death.
If your company offers a service, you should include professional liability insurance in your small business insurance package. This type of insurance will protect you if you make a mistake when rendering a service, such as giving consulting advice, providing health care or designing products. You may need a specialized type of professional liability insurance, depending on your business. For example, medical malpractice insurance is the professional liability insurance carried by doctors.
Before you decide on any liability insurance, make sure that you have read the documents completely. Look for what is excluded as well as what is included in the policy; do not assume that all of the conditions that your business might experience will automatically be covered in the event that you are sued. In addition, take into consideration your deductible and the cost of your premiums. Don't be afraid to shop around to get the best possible liability insurance for your small business.
 | Getting the right insurance for a small business generally includes three types: small business liability insurance, property insurance and workers compensation insurance. Your line of business and specific risk factors will determine any additional needs you might have. |
 | You may have to adjust your definition of what affordable health insurance for self-employed means; however, you should be able to find coverage that works for you, even if you keep deductibles high to save on the premium. |
 | Home-based business insurance should be a consideration if you're running a small business out of your hous or your garage. Chances are high that your homeowner's or renter's policy won't cover business operations, leaving your office equipment and inventory stored at home vulnerable to loss. |
Small business insurance actually includes several types of insurance coverages designed to serve the typical needs of the small business owner. Here are some frequently asked questions (FAQs) about small business insurance covers available. |
When you have your own business, you need to protect your business assets against the risk of loss or damage caused by theft, fire, smoke, explosions, storms, flood, earthquake, riots, vandalism and various other unforeseen events. |
