Freelance work has become more popular in the past decade, and it’s no surprise. The flexibility of freelance work is a huge draw for many people, but there are also downsides to being independent.
If you’re thinking about taking on more freelancing work, general liability insurance is a necessity. Up next, you will find some reasons to consider insurance and its importance; keep reading.
What Is Commercial Insurance / General Liability Insurance?
To see the whole picture, let’s specify what commercial insurance or General Liability Insurance is: Liability coverage in case a client has an issue with any of your ongoing or completing work.
- Commercial General Liability is an essential part of any business insurance program. General Liability Insurance is required by most contracts, construction, technology, Government, etc; with limits of at least $1,000,000 per occurrence/$2,000,000 general aggregate.
A Commercial General Liability insurance policy protects your company from financial harm if you are found liable for property damage or personal and commercial injuries caused by your services, business activities, or staff.
- Commercial Property Insurance covers property owned by your business: This can mean the items stored in a rented location (computers, furnishing, stock/inventory.) or the building where your business is located; if you happen to own your location.
An independent insurance agent will work with you to find coverage that meets both your needs at an affordable price. Commercial insurance is designed specifically for businesses like yours – talk to one today!
Why Get Insurance? Here are 7 reasons why:
Especially for Freelancers, it is important to be insured for the following reasons:
- Defends you against legal actions.
- New clients will trust your company as a result of your credibility.
- Provides business liability coverage.
- Covered losses are prevented.
- Provides insurance if your belongings are stolen or destroyed.
- It preserves the business from claims by customers and/or visitors to your location.
- For a prospective workplace accident, it covers the individuals and, by extension, the company.
Commercial insurance is designed specifically with the freelancer in mind! It offers more than just liability protection – learn more about commercial packages here!
“When Should I Get Commercial Insurance?”
The best practice is to have insurance coverage begin taking on any work. If this is not possible, it is important to place insurance coverage as soon as it becomes possible. Operating without insurance is one factor that can force a business to have to place coverage with a non-admitted carrier.
Let’s see the types of commercial entities that may be considered freelancers:
- Independent Contractor: If you’re working on commission only (taking no salary), then commercial insurance might be unnecessary; however, if you expect earnings from each project completed, commercial insurance can protect you from lawsuits.
- Sole Proprietor: If your business is a sole proprietorship, commercial insurance will help to cover the cost of any commercial property that’s damaged or destroyed during theft or fire. It also offers liability protection for when accidents happen while performing services on behalf of customers.
- Partnership: Commercial packages are available which bundle together commercial and personal coverage – talk to an independent insurance agent to find out more about these bundles!
Here’s A Trustful Agency In Connecticut
Freelancing has its risks, but you don’t have to suffer them unprotected. Paradiso Insurance provides outstanding commercial insurance packages to get you started.
We are experienced in the challenges Freelancers are facing. Bring us your budgets, your questions — and, most importantly, your prospective contracts. Together, we’ll make the best choices for you.
