Self Employed Liability Insurance - Is It Really Necessary?

Whenever you are employed by a company you are doing most things in the name of that employer.

You are doing as they ask, so when a thing goes wrong, especially when there is a suit filed against you or the business, the company is responsible for attending to it.

Liability insurance is what generally pays for the claims against the company for personal injury damages as a consequence of defects in the goods and services provided or just on the business property itself.

But let's say you run a consulting business, an internet business, or some other sort of enterprise from home. A client shows up to your office for an appointment and slips on an icy step and gets injured. In the event that he or she decides to sue you, you have a bad situation on your hands if they win their slip and fall settlement in court.

You might wind up paying for medical fees, personal injury compensation, lost income as well as other compensation including pricey legal fees. Finding cash for this may prove quite challenging if not impossible without the bankruptcy of your business and perhaps the loss of your personal property too.

A self employed liability insurance policy can protect you from this sort of scenario. Look into different policies and decide upon the one that will provide you the coverage you need. An insurance agent who is essentially a person who provides public liability insurance for self employed people can help you make a well educated decision about which policy is best for you. The self employed liability insurance will have a limit up to which it will cover rewards and legal fees.

Another good option is to have a personal umbrella liability insurance policy. This is good for everyone, not just for contractors, but can be very handy for independent contractors and other people who are self employed because it provides additional protection of the personal assets not related to the company.

What a personal umbrella liability insurance policy does is provide protection above the limits of other policies you hold. For example, if you have home owner's insurance policy with a limit of $200,000 and a fire causes twice that much damage, your personal umbrella policy will cover the second half.

When you have a contractors liability insurance and personal umbrella policy set up, you are able to sleep easy realizing that you are not really vulnerable to losing your entire organization because of one mistake or incident. Plus the personal liability insurance policy cost just isn't very much compared to what you get in coverage. It can mean the difference between losing your business and keeping it.






 

Commercial Insurance News:

 

Florida medical payments per comp claim stabilize - Business Insurance

Business Insurance

Florida medical payments per comp claim stabilize
Business Insurance
Medical payments per workers compensation claim in Florida remained stable in 2015 following moderate growth from 2010 through 2014, according to a study released Tuesday by the Cambridge, Massachusetts-based Workers Compensation Research .

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Toxic water poses danger to recovery workers after catastrophes - Business Insurance

Business Insurance

Toxic water poses danger to recovery workers after catastrophes
Business Insurance
Contaminated water from natural disasters can present multiple safety hazards that employers should be aware of, including water full of toxins and bacteria, when it comes to protecting workers, experts say. First responders usually have protective .

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California regulators suspend 12 more providers - Business Insurance

Business Insurance

California regulators suspend 12 more providers
Business Insurance
Regulators have suspended 12 more providers in California, bringing the total this year to 85 fewer doctors who can legally treat injured workers in the state, the California Division of Workers' Compensation announced Tuesday. The suspensions are in .

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Small business owners search for ways to afford health insurance - Roanoke Times

Roanoke Times

Small business owners search for ways to afford health insurance
Roanoke Times
Dennis Holdren, owner of Roanoke auto collision repair company Hannabass & Rowe, was facing a large premium increase for his small group insurance plan. Holdren, like many other small business owners, is looking at self-funded insurance plans.

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Insurer wins coverage dispute with port terminal - Business Insurance

Insurer wins coverage dispute with port terminal
Business Insurance
RLI unit Mt. Hawley Insurance Co., based In Peoria, Illinois, provided commercial general liability coverage to Raul and Lucrecia Gonzalez, who formed Miami-based Miami River Port Terminal L.L.C., according to Wednesday's ruling by the 11th U.S .

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Northern California wildfires to be costliest in US history: Fitch - Business Insurance

Business Insurance

Northern California wildfires to be costliest in US history: Fitch
Business Insurance
To date, Fitch said, the California Department of Insurance has reported that 19,000 residential, commercial and auto claims have been filed, with payouts exceeding $3.3 billion. Fitch said the expected loss from the October wildfires will eclipse past .

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Insurer settles diocese's abuse-related coverage dispute for $9 million - Business Insurance

Business Insurance

Insurer settles diocese's abuse-related coverage dispute for $9 million
Business Insurance
The diocese filed suit against in July 2016 Catholic Mutual Relief, the Liberty Mutual Group, Fireman's Fund Insurance Co., Church Mutual Insurance Co. and Continental Insurance Co., according to news accounts, alleging the companies breached their .

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California orders insurer to stop selling comp coverage - Business Insurance

Business Insurance

California orders insurer to stop selling comp coverage
Business Insurance
California Insurance Commissioner Dave Jones on Thursday ordered an insurer and its affiliates to stop selling workers compensation and liability policies because it is not properly licensed with the state insurance department, a requirement the parent .

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