Does My Business Need Liability Insurance?

General insurance protects businesses from lawsuits. Whether your company is large or small, even if you are an independent contractor working for yourself, you need to consider buying this kind of policy to protect your assets.

Another type of policy that is purchased together with GLI is professional Liability Insurance. It includes Errors and Omissions coverage, workers compensation, product liability insurance and commercial property insurance to property owners.

You can know more about small business professional liability insurance via

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You can buy a professional liability policy from an insurance agent or broker, or you can get a quote online. Before you purchase a policy for your business though, we suggest you pay attention to three important aspects of any business policy:

1. Limit

The boundaries of a general liability policy refer to the maximum amount the insurer will pay against the claim. It's important to get the appropriate coverage for your business based on the specific risk.

2. Exclusion

Exceptions in the insurance policy are the only things that are not covered. Clearly, it is important to know whether you have an exclusion policy before you buy it. Many times, an additional policy can protect you from things that are not included in your professional insurance.

3. Deductibles

A deductible is the part of any claim that you pay out of pocket before the insurance company starts paying. Most professional insurance policy is not reduced, but if you are a small business with minimal risk, you can cut your insurance costs by requiring a deductible. Make sure it is the amount you can easily pay in the event of a claim.