Forums: Discussions for entrepreneurs and small business.

Hi all -

Sorry if this question has already been asked and answered, but I couldn`t find it anywhere on the site, so here goes...

I was wondering if anyone has advice as to where to get liability insurance for our business.  We are currently set up as a sole proprietorship, but will be forming either an LLC or corp. (meeting with the lawyer next week to get advice/start the process).  I`m not even sure yet what the legal requirements re. insurance are in CA, but since our product is electrical and is used in people homes, seems like we need to have liability insurance at least.

We also have to do it pretty immediately since one of the trade shows that we have signed up for this fall requires proof of liability insurance.

I have looked on line, but would like to get a recommendation of some place. Any suggestions?

Lisa

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Lisa Tarver
Fauna Sauna
Natural Heat for Your Pet`s Health
www.faunasauna.com

Hi Lisa,

I was looking into this also and called my Insurance Agent (he`s with Farmer`s).  While he does do some commercial insurance, it depends on many factors what you need.  My Agent referred me to an insurance broker who explained that there is a commercial policy called a Business Owner`s Policy which covers small businesses of most any type.  This is abbreviated as a BOP policy.  Apparently you end up with coverages you might not need, but they lump small businesses of all sorts together to get a group discount.  It also depends on if you have employees, the type of shop, etc., but this might be a place for you to start (with your insurance agent).  I was told a small sole proprietorship retail niche business of 800 square feet with no employees would be about $2,500/year for $1M/$2M liability insurance.

Hope this gives you an idea and some direction.

Jilly

thanks, jilly.  i guess the problem is that i don`t have an insurance agent since our homeowners and auto insurance is all through AAA.  guess it`s time to start looking for one.

any other suggestions as to insurance companies or otherwise?

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Lisa Tarver
Fauna Sauna
Natural Heat for Your Pet`s Health
www.faunasauna.com

Check with your AAA agent if you like him/her and he/she might have a referral to someone else or look in the phone book for an insurance broker.

Jilly

Ask around for a good insurance broker for your insurance.  Call a local chamber of commerce or ask other business owners you know. 

Glad to see you have taken steps to protect your intellectual property.

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Norton R. Townsley
Patent Attorney/Professional Engineer
The above message is provided for general information purposes only and is not to be construed as legal advice.

Lisa,
Before you go through the hassle of looking for Liability Insurance or anything of that nature. Incorporate first. You don`t need a lawyer... goto the http://www.corporate.com
and for around $587.00, they do everything for you. Hold off until you get your paperwork in about 21 days or less. Then if you want I can refer you to a Business Friend that sells Business Liability Insurance in the State of California. Where in CA are you located?
If you want send me your number and he will contact you asap.
I have mine with him.

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Edgar Monroy
Web Developer / Owner / Consultant
When starting your own business the need to "know-how" is greater than money!
http://www.nuevolution.net

Lisa.

I own and Independent Insurance Agency in AZ, my recommendation is that you try the Big I Association.  Use this link to locate an Agency in your area, and make sure they can answer any and all questions regarding your profession and how to properly protect you. 

http://www.ibawest.com/cgi-bin/default.asp

Lisa,

I represent a company called SOI and we work with lots of small businesses, getting them insured as well as helping out with those growing pains. Check out soi.com and give me a call at our Charlotte office if this is something you might think will help. 877 572-2412

Ryan Hice

 

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Ryan Hice ryan.hice@soi.com