You may think that one way to minimize expenses in your small business would be to eliminate your general liability insurance. However, this type of policy is usually quite affordable, and it protects you from losing substantially more money in the future. Here is an explanation of why you should keep this coverage.
What It Covers
General liability provides protection from personal injury lawsuits brought by members of the public who get hurt while on your property. It also would pay your legal bills if someone were to accuse you of copyright infringement; therefore, it’s a good idea to have this policy in place, even if you work from home and do not see clients regularly.
How Much It Costs
General liability is less expensive than most people imagine it to be. Depending on the details of the policy, many small businesses pay between $30 and $50 per month. This premium is actually quite low when you consider that an average attorney charges between $100 and $400 per hour to represent you in court, on top of court fees.
When your main source of income is a small business, you learn to cut unnecessary expenses. However, your general liability insurance policy is not something you can do without.