Self Employed Liability Insurance - Why Self Employed Individuals Need Liability Coverage
If you're self employed, the law regarding most industries is that you take out liability insurance on yourself, whether you employ others or not. Self employed liability insurance works differently from other forms of insurance, protecting you against accusations of slander and libel. This is the most basic coverage you can get. Professional liability insurance coverage, on the other hand, protects you against law suits, and the protection afforded to you is specific to the industry you are working in. For instance, if you perform house repairs for a living, coverage against accidents and damages on-site is a must.
Self employed liability insurance helps you take care of the day to day aspects of your business without excessive fear or anxiety about what could happen should someone choose to attack your good name, or if your company's assets, such as office furniture and other tax-deductible items, are destroyed and cannot be recovered. If you operate a retail store or an office, or any other kind of institution accessible to the public, liability coverage is necessary in order to be protected from law suits from those who are injured while on your property. While it is technically possible to defend yourself in court without insurance, it is better to have insurance, saving your from huge monetary loss.
Many small business owners know from experience that it is a great risk, to do business without at least basic liability coverage. Whether general or professional liability, self employed liability insurance is a hedge against other people or businesses taking advantage of you and your company, damaging your business reputation in the process. A solid plan with the coverage you need and a premium that is within you or your company's budget will be an asset unto itself, and it's important to remember why the coverage is a necessity, making those premium payments worth every dollar in protecting you from the common risks associated with doing business in your particular industry.
Ultimately, the decision to get a good plan that provides basic coverage or coverage that goes beyond basic is one that you will have to make according to the growing needs of your business, and according to the laws governing your industry in the location where you have your business. Self employed liability insurance helps small businesses stay ahead of the legal and other costs of law suits, and helps minimize the risks of doing business.
by: Sal Trump