Charles Spinelli: The Significance of Liability Insurance
The overwhelming majority of small business owners have no idea whether their business is adequately insured or even insured at all. About 30 percent of them admit they may lack coverage, and around half say their business is unprepared to handle potential risks. A lot of business owners also mention that there are too many types of insurance, and they don’t know which ones they need.
If you are a business owner, Charles Spinelli suggests that you have proper coverage whether you have a building or your business operates from home. There is a good chance that you will need liability insurance.
Scenarios wherein you will need general liability insurance:
1. If your small business requires you to visit a customer’s job site or home, general liability insurance could help you replace or repair anything you or your workers accidentally damaged. Let’s say you’re replacing an air conditioner at a customer’s office. Your ladder slips, and the air conditioner breaks. General liability insurance has you covered.
2. If you employ another person, even if they are part-time, there are potential legal problems. For example, if your employee makes a costly mistake or often fails to come to work and you fire them, they may sue you. The lawsuit may accuse you of anything, from wrongful termination to sexual harassment. If you are sued, liability insurance can help you pay the legal fees and avoid cleaning out your checking account.
3. No matter where and how you interact with clients, there’s always the possibility that injury could occur. It may be an incident that’s as simple as a slip or as unexpected as a client choking on a candy they got from a bowl on your desk. In either case, Charles Spinelli explains that liability insurance protects you from financial risk.
4. If your business is growing, you are aware that some jobs require you to bid on them, and those jobs often require you to carry liability insurance. Let’s say you own a small construction business and have always worried about liability insurance costs. You’ve heard that your local government is looking for a new construction company to build a public school downtown. The time to secure liability insurance is before you bid for the job. According to Charles Spinelli, everything should be in place even before bidding begins.
5. The adage “there’s nothing new under the sun” rings true in this case. According to Charles Spinelli, the likelihood of using unique advertising slogans or taglines is quite slim. Using a slogan or phrase without proper rights can result in legal trouble. Charles Spinelli emphasizes that even if used unintentionally or accidentally, the trademark or copyright owner has grounds to sue. General liability insurance can assist with covering legal expenses.
Charles Spinelli shares important information on human resources in his blogs. Read them on this page.