Liability Insurance Cost

• Premiums for liability insurance vary widely depending on the size of the business (in square footage and/or payroll), the risks involved and the exact type of coverage. A commercial liability policy for a home-based child care business runs $350-$700 or more a year, according to the National Network for Child Care^[1] . Professional liability coverage for a photographer runs $1,000-$1,500 annually, according to the Professional Photographers of America.

• Basically, general liability insurance covers medical or other costs if someone or their property is injured at your place of business, and legal expenses if you are sued for these liabilities. A general liability policy can also cover product liability, which is needed if you manufacture or assemble a product that could cause harm in any way. Product liability insurance may be sold separately, and the cost depends heavily on whether you?re selling soft rubber balls or high-powered gas mowers.
• Professional liability insurance covers you if someone claims you failed to properly perform your duties or services. This type of policy is usually purchased independently of general liability insurance. AllBusiness.com^[2] describes the different types of liability insurance, and offers guidelines for insuring a home-based business.
• The Entrepreneuers' Help Page^[3] calls general liability insurance "as close to a must have as you may get when operating a business," and presents an overview of the common types of insurance needed by most small companies.

• Ask your insurance agent about liability coverage for your type of business. If you don't have an agent, Hoovers.com gives links to companies registered to sell liability coverage. Or check with your state insurance department for a list of registered companies in your area. The National Association of Insurance Commissioners gives links to state offices^[4] and a way to search for financial details and complaint histories for specific firms.
• Online quotes are available from NetQuote.com^[5] and MostChoice.com.

1.  www.nncc.org/Business/cch.liability.html
2.  www.allbusiness.com/finance/insurance-liability-insurance/2601-1.html
3.  www.tannedfeet.com/business_insurance.htm
4.  www.naic.org/state_web_map.htm
5.  www.netquote.com/?ProductCategory=Business&NQID=12170&Status=G_GB00259_business+li...

Check Out All Costs for Small Business		How Much Does a Point of Sale System Cost?		How Much Does a Bookkeeper Cost?		How Much Does a Fax Machine Cost?

Today's Featured Cost Articles

Now that you are full of turkey, here's information on diet plans. The CDC recommends it is more important than ever to get a flu shot this year. Garden all winter long with an indoor greenhouse. It's a good idea to have the furnace checked in the fall, before you need it. Pruning trees before the storm season can help ensure dead branches won't imperil your home.

About CostHelper

CostHelper is based in Silicon Valley and provides consumers with unbiased price information about thousands of goods and services. Our writers are experienced journalists who adhere to our strict editorial ethics policy.

CostHelper Community

shoulder mri Paid: 8000.00 Seriously, 8K for an MRI before all the secret insurance kicks in. I was stuck with a 1200 bill and my insurance is pretty good. This is insane for a 20 minute procedure with no nurse assistance... [more] -stevej45 MRI Cost Garage conversion for larger Den. Old den will become Breakfast room Paid: 21000.00 We removed garage door, put in a 107'X60" window and exterior door. We also framed/sheet rocked where the garage door had been and built a closet... [more] -USAF Retiree's wife Garage Conversion Cost Traffic citation Paid: 500.00 Flat rate... [more] -OL Traffic Ticket Attorney Cost what should have cost under 100 Paid: 399.67 had my back wheel stuck on someone's driveway and I was pulled out as easily as a tractor could have done... [more] -Morgan Moonscar Towing a Car Cost Why is dental insurance stuck in the 80's? Paid: 55000.00 In 1986, I started my first full time Big Girl job, which came with options for medical insurance that ranged from "Volkswagon to Cadillac, and everything in between" which was up to me to choose based on my needs, what I could af... [more] -Frogsoup09 Dental Implants Cost Sticker shock Paid: 389.00 I was totally shocked it came to 385 for one pair of glasses! Usually 220 at costco... [more] -Diana Evans Eyeglasses Cost