The joy and freedom of being self-employed is an experience that every business professional should have at least once in a lifetime. Being self-employed has many unique benefits and offers the chance to be your own boss. However, like many things, self-employment can bring with it certain responsibilities, challenges, and risks.
As a self-employed individual, what would you do if someone brought a lawsuit against your business? The thought of this is frightening indeed. Being sued means you could lose everything you’ve worked so hard to build, and you could also lose your personal assets in a judgment.
Professional liability insurance is designed specifically for businesses to protect them from lawsuits arising from claims made by clients. Often referred to as Errors and Omissions Insurance, it protects you should a client accuse you of not living up to their expectations or not completing work to their standards - considered professional negligence. Buying professional liability insurance provides peace of mind that you will be financially protected should a client decide to sue you for damages, whether you are in the wrong or not.
Here’s how to choose professional liability insurance for your small business.
- Look for insurance companies that cater to your industry. There are multiple kinds of professional liability insurance options available for the self-employed. To get the right kind, start by searching for companies that offer coverage to others who provide services or products for your market. They will be more likely to have affordable options for your specific business risks.
- Check with professional associations for discounts. In many industries there are professional associations that give access to group discounts or a list of preferred vendors. Use this to gain insight on particular insurance companies to choose the best policy for your money.
- Obtain 3-4 quotes from reputable insurance carriers. Don’t buy from the first insurance agency you encounter. Instead, shop around and gather a few free quotes, comparing the rates and payment options before selecting your professional liability policy.
- Combine insurance policies for added savings. In some cases, your auto or home insurance company may be able to provide you with additional insurance for your business at substantial savings. Remember to check here too.
- Select an insurance provider with responsive customer service. What really matters when choosing a professional liability insurance policy is having someone to talk to if you experience a claim. Choose a company that makes it easy to talk to a knowledgeable customer service agent when you need help.
Don’t leave your business exposed to lawsuits. Call an All About Insurance agent at (817) 589-0006 to get a free, no obligation Dallas Business Insurance quote today.