Liability

What Types of Business Liability Insurance Does Your Company Need?

Some of the most important liability policies for your company to consider are:

  • General Liability
  • Excess Liability
  • Employment Practices Liability
  • Errors & Omissions
  • Cyber Liability
  • Professional Liability

In addition to general business liability insurance, there are a number of policies available to protect your company from gaps in the coverage. In most cases, general liability policies cover property damages, bodily injuries, medical payments, legal representation, and slander or liability due to business operations. However, there are a number of issues falling outside these parameters you need to be aware of.

One type of gap coverage you may want to consider is excess liability coverage. It can cover court judgements in excess of the coverage provided by your general liability policy. In states without tort reform, this coverage could save your company hundreds of thousands of dollars or more.

You may also want to consider purchasing employment practices liability insurance, also called EPLI. This policy protects you in the event any past, present, or prospective employee sues on the grounds of discrimination. Since the Equal Opportunity Employment laws cover a wide range of groups, it’s nearly impossible for a company to foresee these issues until a lawsuit is presented. Then, it’s too late to purchase coverage.

Errors and omissions insurance (E&O) covers professionals from civil action wherein a client sues for failure to perform. This is also called professional liability insurance. Though it does not cover criminal actions by the professionals in the firm, it does cover civil defense and judgements.

Companies cite cyber attacks from hackers and identity thieves as their number one threat, yet only 35 percent of businesses invest in cyber liability insurance. Most general liability policies will cover only a fraction of the liability a company incurs after a cyber breach. Liabilities resulting from the compromise of employee and customer data can be crippling without cyber liability insurance.

Business liability insurance is important. BIG of Texas offers a full line of business insurance products to meet the needs of Texas businesses. Call us at 877-702-5997 for a free quote or more information today!