Every business is exposed to a certain level of liability risk. While it may be difficult to imagine yourself getting sued if your days are spent freelancing behind a computer, incidents can happen in any industry. Without an employer behind you, the financial responsibility of a lawsuit will fall solely on your shoulders. As such, you need adequate insurance if something goes wrong in your professional life. Here’s an overview of the liability coverage you should consider as a freelancer.
What You Need to Know About Liability Insurance
The first type of insurance freelancers typically need is general liability. This plan will protect you against third party injuries that occur at your worksite and damages you accidentally inflict on someone else's property. For example, if a client slips and falls while visiting your home, your policy will pay for their medical expenses. Likewise, if you spill a beverage on a client's laptop, you won't have to pay for the replacement. Your insurance will also cover the cost of your legal fees and any settlement or court award you incur from a lawsuit.
In addition to general liability coverage, freelancers should invest in a professional liability policy. Also referred to as errors and omissions insurance, this plan will protect you if you make a mistake or act negligently while providing services. This may include claims that you gave inaccurate advice, defamed a client, or violated the terms of a contract. If you're sued, your coverage will pay for legal defense and any settlement or judgment you owe.
To ensure your freelancing business is properly protected, turn to the insurance experts at Farm Bureau of Mebane-Caudill Agency. Agents Jonathan Caudill, Alan Wilson, Jay Lee, and Eric Michaels are available to help you identify what coverage you need to limit your liability exposure. Backed by more than two decades of service, this agency has earned a proven reputation for providing entrepreneurs throughout Alamance County, NC, with high-quality products and personalized solutions. Call (919) 563-3276 to set up an appointment, or visit them online to get a quote.