You’ve probably heard it a thousand times before: if you’re starting a business you’re going to need general liability insurance in Florida. For that matter you need general liability wherever you operate a business in the US, but lets just say that that’s a given.
Liability insurance (also known as commercial general liability) protects a company’s assets and pays any obligations related to a claim, including medical costs. For example, if someone gets hurt while on your property, or when there is property damage or injuries caused by you or one of your employees, this is the coverage that comes to your aid.
A liability policy also covers the cost of your legal defense and any settlement or award should another party successfully sue you. Typically this includes compensatory damages, non-monetary losses suffered by the injured party, and any punitive damages. That’s a lot to consider when shopping for a policy to protect, not only your business interests, but also your personal ones, along with the reputation of your company.
Lawsuits are a rather common occurrence
The courts are filled with cases involving business liability lawsuits. Its sad to realize that we live in a litigious society, but that is the truth of the matter, and even if you think you’re unlikely to face a claim, getting insurance is always a wise investment when you have so much to lose. The fact is that it doesn’t cost very much, especially when you consider the alternative. Most annual premiums range from $750 to $2,000, depending on your line of business and coverage needs, and that’s truly inexpensive when you think about the thousands, if not millions, of dollars you may risk if you’re sued and you lose, plus the money needed to defend your case in court.
The coverage you’ll need depends on the type of business you’re in and the perceived risks associated with the services or work you perform. For example, a building contractor has a higher amount of risk and will need more coverage than a consultant will need. The location of your business can also be another factor. Some states tend to award more in damages to plaintiffs claiming personal injury than others do. Talk to a licensed insurance broker for advice on liability insurance in Florida before you buy a policy.