Business liability insurance must factor into every business plan, whatever yours might be. Making sure you have insurance to protect your business is perhaps the single most important way that you can safeguard your company, its assets, and its reputation in the event that you are hit with a settlement or expensive lawsuit.
For example, should one of your employees experience an injury while working, the onus is on you, their employer, to cover their expenses, plus any damages or settlements they might win if they bring you to court. Workers' Compensation Insurance, as well as Employers' Liability Insurance, will cover medical expenses, wages lost, and the cost of treatment and physical therapy for that employee, without dipping into your company's profits.
Assurance for When Accidents Happen
As a responsible small-business owner, you already do a lot to ensure that everyone is safe on your company's property. But unforeseen mishaps can still happen, even with the most well-trained employees. Preparing yourself with a quality Business Liability policy is an essential way to protect yourself and your business – not to mention your valued employees! Carefully watching out for your employees will keep your business ahead of the pack in the long run, and not simply because it's often legally required! The employee loyalty you nurture by building a solid reputation for safety and employee care will go a long way in helping your business to thrive. Plus, paying for employee care or damages after an injury can be cripplingly expensive, and having a Business Liability policy in place early will spare you these expenses and provide ample peace of mind.
Product Malfunction Can Also Leave You Liable
If your business sells products to third-party vendors, then you also need to be aware that you may face lawsuits regarding product malfunction. Companies that make products that result in injury for someone using them are hit with suits of this nature every day. Even if the injury was the result of someone using the product incorrectly, the manufacturer may still be found liable and have to pay damages. Even if a company wins the case, the cost of simply defending their business in court – often in a process that takes months of time and investigation – can quickly break the bank. Having a Business Liability policy in place can keep them from bankruptcy in either scenario.
Having business liability coverage will cover the expenses that a lawsuit brings – which in itself is a huge relief to any small-business owner! Running any business, whatever its size, can add up fast. Business Liability Insurance is a smart means of managing your costs and keeping protected at all times the business you've worked so hard to build.