It’s more important than ever to know how to protect your business from a lawsuit. According to the U.S. Chamber Institute for Legal Reform, in 2008 (the most recent data available), small businesses paid out more than $105 billion in tort liability costs. Unfortunately, small businesses are often underinsured. Of that $105 billion, over $35 billion was paid out-of-pocket to settle claims.
If you want your business to be a success, you’ll also want to understand which types of small business insurance you need. Most liability claims costs can be covered with general or professional liability insurance. A better understanding of the differences between general and professional liability insurance is critical in an environment in which the threat of lawsuits continues to grow.