Owning a business means paying attention to many critical details, such as maintaining proper insurance to mitigate risk. Carrying the right coverage protects business owners from paying money out of their pockets, they might not be able to afford. Learn about the three significant risks faced by contractors who work without a general liability insurance policy.
Consult With a Professional
The first step is to consult with a professional insurance agent, such as the team at Feingold. Business owners share the details about what they do to determine the level of liability and necessary coverage. Agents shop around for clients to find the most comprehensive insurance coverage at competitive rates.
Provide Protection for the Company
All it takes is one adverse circumstance to force a business into closing its doors forever. General liability insurance protects a business owner in the event they are sued for property damage, bodily injury, and other unforeseen circumstances.
When a company has general liability coverage, the legal fees are covered as well as damages incurred as a result of a lawsuit. Most companies cannot cover these extensive costs without insurance to pay off bills that could total thousands of dollars. Having a policy helps companies stay in business.
Clients Want to Work With Insured Businesses
Clients often ask if a company carries insurance before doing business. If there is no insurance, they choose the competition that has it. Companies need to be prepared to deal with discerning clients or lose profits.
Carrying insurance means a business can prove it is serious about protecting its customers. Proof of general liability coverage helps companies get more contracts and clients. For a minimal investment, companies boost their bottom line.
Comply With the Law
Facing legal ramifications can be costly and embarrassing for businesses and even cause clients to go elsewhere. Some states require companies to carry a minimal policy to do businesses in the jurisdiction. Failure to have the coverage can mean facing fines and being put into an uncomfortable situation that compromises the company’s reputation and brand.
Companies need to find out the requirements to do business in the state and consult with insurance professionals to find out if they are compliant. Getting a policy could mean the difference between being active and having to face unnecessary penalties. It takes a few minutes to research insurance requirements and invest in a policy that meets those specifications.
Peace of Mind
There is no price on peace of mind when it comes to keeping the doors of a company open. People depend on their paychecks and spend years dedicated to working at their jobs. Knowing the company is secure and insured makes owners, employees, and clients feel at ease.
Take a few minutes today to find out more about state insurance requirements and whether the company has adequate general liability insurance coverage. Get the essential coverage today to avoid legal penalties and significant losses in the future. Insurance helps companies cover costs, offset liability, and continue to remain profitable for years to come.
