A good general insurance agent is essential to any business. Having insurance often provides for legal representation with the fees paid by the insurer. Since most litigation can cost in the tens of thousands of dollars, making your insurance agency pay is well worth the premiums.
Commercial property and workers’ compensation policies can protect your business from most of the liabilities you’re likely to face, however, as your business grows, you may need to arrange separate business liability coverage. In fact, depending on your business, your lessor may require separate or additional liability coverage known as general liability insurance. This is especially true if you run a high-traffic business.
Negligence and Liability
A customer comes into your store and slips on a banana peel that some other customer left on the floor. She breaks her leg and sues you for negligence. The damages total $10,000. Aren’t you lucky that you bought that liability policy? The issues in determining whether you are responsible for negligence are:
If you intend to sell any product, whether directly or indirectly, you will need product liability insurance. Strict liability doctrines provide that as long as the buyer uses a product in a manner foreseeable to the manufacturer or seller, then both parties can be held liable for damages.
Social Host Liability
If you own a business where alcohol is served, you may want to consider this insurance just in case someone leaves your bar drunk and ends up in an accident.
Offering good employee benefits can act as a supplement to your liability insurance by boosting workplace morale. Your employees will be less likely to cut corners that may lead to accidents. They would also be more aware and proactive in preventing accidents from occurring.