It is in the general interest of the average person to try and save money where they can. This extends to business interests as well. Most insurance agencies have seen instances where a business owner has tried to save money by avoiding general liability insurance coverage. The end result of this avoidance usually involves the placement of legal fees upon the business owner, or worse. Although the costs of insurance seem like significant financial loads to bear, it is in the best interest of all business owners, and general contractors especially, to obtain liability coverage before placing any bids or begin any work for a client. Here are a few reasons why.
1) Preparing For Bodily Injury and Property Damage Risks
These are two of the most common issues business owners with commercial general liability insurance face. Even for fairly successful business owners, a multi-thousand dollar medical bill or property damage bill is something that they cannot cover out of pocket. Paying into a commercial general liability policy equates to smaller amounts paid over time because expensive injury lawsuits and medical expenses often have to be paid out in lump sums. When a business liability insurance policy is factored into your overhead costs, your business operations will continue in a protected state.
2) Preparing for Advertising Injury
It’s not in the job description for most small business owners to know an exceeding amount about insurance law or injury law. Thus, many businesses face advertising injuries or copyright infringement claims over the span of their lives. Without the support of an expert who knows the details behind this type of injury, like your insurance agent, you might not know how to handle these claims in court or calculate the risk as far as your budget is concerned. A good insurance company will work with its clients to understand their risks and help them prepare for them, rather than having to too much too soon.
3) Helping With Liability Claims
We’ve all been in a situation where you hit the bumper of another car, you discover that you have a serious medical issue that needs to be taken care of. Without insurance, solving these problems seems hopeless. Luckily, assistance from a knowledgeable insurance agent is factored into the general liability insurance cost. They can help you manage your medical payments, address personal injury issues, provide property insurance, or cover personal injury claims. Instead of adding to the stress of the situation by finding out you are not prepared for an emergency, you can rest assured that you will always have your insurance company to turn to in the event of a liability claim.
4) Getting Other Forms of Insurance
While general liability insurance doesn’t usually cover things like workers compensation, defense costs, legal defense, or financial loss due to your business being out of commission, it can help you get the coverage you need. Most of the time, when there’s a situation that might infringe on your stability as a business, there is insurance to cover it. Always take the time to think about the risks inherent in your day to business activities when you’re building your business owners policy from the bottom up.
Expert insurance agents at Contractors Liability today are always available to guide through the world of professional liability insurance. Call us today for a free quote, or check out our business general liability insurance options today!