1. Which companies need commercial liability insurance?
Almost all small businesses need it, especially the following types:
| Industry Category | High risk points |
|---|---|
| Retail/Restaurant | Customer slips, food allergies |
| Building decoration | Construction site accidents, tool injuries |
| Health and Beauty | Customer service disputes, infections |
| IT/Consultant | major |
2. What does commercial liability insurance cover?
- 🧍♂️Personal injury : Customer slipped and fell in the store
- 🏚Property damage : Damage to customer property during construction
- ⚖️Legal expenses : attorney fees and compensation when being sued for service disputes
- 🛠Product accident : The sale of products causes customer injury or loss
3. Four steps to choose insurance
Step 1: Identify your risk sources
Do you provide services? Do you sell products? Do you have employees? Different types of risks determine the type of insurance you need.
Step 2: Set a reasonable amount of insurance
It is usually recommended that the basic insurance coverage be no less than $1M. If you participate in public activities, rent out booths, or have commercial cooperation requirements, you may need more than $2M.
Step 3: Compare policy details
- Is third-party injury covered ?
- Are there any specific industry behaviors excluded ?
- Does it include online business liability ?
Step 4: Choose a reputable insurance company
A reliable brand means you don’t have to worry about claims later. Recommended reference: AM Best or BBB rating.
4. Additional suggestions: There are also some that you may have overlooked
- ☑Workers ' Comp : A must if you have employees
- ☑Cyber liability insurance : E-commerce companies or those who collect customer data are recommended to add
- ☑Commercial auto insurance : If you have a trucking/delivery business, you must also cover
Summarize
Choosing the right commercial liability insurance not only allows you to respond quickly when an accident occurs, but also demonstrates that your company is operating in a standardized manner. Especially in the United States, a market with high legal sensitivity, advance planning and accurate insurance selection are important tasks that every small business owner cannot ignore.