12 Mar 3 Tips for Insuring Your Consulting Business
3 Tips for Insuring Your Consulting Business
There are many different Insurance products and options available for consultants. This can make it difficult figuring out how to go about purchasing Insurance. We work with many consultants and have a few tips to help you when Insurance your Consulting Business.
3 Tips for Insuring Your Consulting Business- Classifications
Most consulting businesses have similar needs with regards to the types of Insurance they should carry. This usually includes Professional Liability, General Liability, Workers Comp, and perhaps other lines depending on your operations. With that said, it is important to recognize that not all Professional or General Liability policies are the same.
There are many variations with the type of consulting you may provide which can drastically impact the rate. Some consultants like aerospace, financial, or legal consultants may be working on multi-million dollar projects, whereas other consultants may be advising a small business with a small matter. This will impact the rates therefore it is very important to make sure your policy has the correct classifications.
3 Tips for Insuring Your Consulting Business- Bundle & Save
Every consulting business should be carrying a Professional Liability and a General Liability policy. In many cases, you can purchase a package that includes the General
Liability and the Professional Liability in a single policy. This will often make the policies more affordable and will also be convenient, as you will often have a single policy number for both lines of coverage. In some cases, you can also bundle your Workers Comp with the carrier to save even more.
3 Tips for Insuring Your Consulting Business- Employees
Many consultants operate owner-only operations, meaning they have no employees. In these situations, you can often exclude yourself from coverage. However, if you do hire employees, you are required by law to cover them with workers comp. In addition, it is critical to have the employees classified correctly as the rate is different depending on the type of work the employee is doing. If your employee is also providing consulting, make sure your professional liability policy has them included on to the policy as well.
If you would like to learn more about Insuring Your Consulting Business, give us a call! You can reach us at 925-297-4829.
All information is general in nature and is intended to provide guidance only. It is up to you to request specific coverage options, the agency and agent do not bear this responsibility. Always read the policy if there is a questions about coverage or a claim. If any information herein should conflict with your actual policy’s specific language, the policy language will be controlling.