Being a freelancer means enjoying all the rewards of your hard work, but it also means taking on all the risk. Whether you work for yourself full-time or have a side gig, a single mistake can result in expense lawsuits that put everything you own at risk. No matter what field you’re in, liability insurance is a critical investment, protecting your assets from the unexpected.

What Is Liability Insurance?

If you accidentally damage a client’s property or cause a problem that results in serious losses, the other party may be able to file a lawsuit for the damages. Even if you eventually win in court, you could be on the hook for thousands of dollars in legal fees, which you probably can’t afford.

Liability insurance is designed to insulate you from these risks by covering the cost of valid claims. In most cases, you won’t have to go to court or pay any portion of the damages out of your own pocket. Your insurance policy will also protect you from spurious lawsuits by covering your legal costs or providing attorneys to represent your interests.

Why Do Freelancers Need Liability Insurance?

Almost every freelancer runs the risk of causing significant economic losses. For instance, graphic designers can be sued if a logo they create is too similar to a competitor’s economic property. Programmers and IT professionals are especially at risk for liability suits since even innocent mistakes can bring a client’s system down, potentially resulting in thousands of dollars in lost revenue.

Even freelancers who do basic home repairs or odd jobs can be sued if they accidentally damage a client’s property. Homeowners insurance typically won’t cover business-related damages, so you may be held personally responsible if a client is injured while visiting your home office.

For over 40 years, MP Davis Insurance Agency has helped freelancers and business owners throughout North Carolina’s Piedmont Triad area protect themselves and their assets. Their experienced agents will carefully review your specific situation before creating a personalized plan designed with your needs in mind. To speak with an agent and request your free liability insurance quote, visit their website or call (336) 498-7606.