General liability insurance?

[MHP368]

For those of you with employees and payroll , how did you handle general liability insurance? Did you shop around a lot or just go with a big name firm?

Or in this day and age does it make more sense to outsource the entire payroll process and just let them pick these things for you?

 

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[broswoodwork]

For those of you with employees and payroll , how did you handle general liability insurance? Did you shop around a lot or just go with a big name firm?

Or in this day and age does it make more sense to outsource the entire payroll process and just let them pick these things for you?

I use Gusto for payroll, and they can do workmans comp for me, but couldn't do GL. I was referred to some inexpensive company "New Republic" by a contractor buddy. They may or may not even be a legitimate insurance company (their prices are scary low), for GL. I have the certificate and just hope nothing ever happens.

...

Probably a shitty way of me doing it tbh...

 

[Scot]

Not quite general liability. But I got a large product liability policy from The Hartford, $4M coverage for only $700/yr. I use a platform for product brands to connect with buyers and they have a tab for service providers, found several brokers there, shopped around.

 

[broswoodwork]

The Hartford

That's who does my comp through the payroll company. They were very nice and helpful with the setup, even though I never know what I'm doing.

 

[SD Entrepreneur]

For those of you with employees and payroll , how did you handle general liability insurance? Did you shop around a lot or just go with a big name firm?

Or in this day and age does it make more sense to outsource the entire payroll process and just let them pick these things for you?

Used an agent who shopped around... insurance costs suck but we need general liability insurance. There are also different variables/coverages that will raise/lower your costs so using an agent that understands and can explain all of that for you is helpful.

 

[Rabby]

We use QuickBooks Payroll service for payroll (the software too, but they have a service that handles all the taxes and stuff).

We have a bunch of insurance including general liability and workers comp with State Farm. It's often a good idea to check with a captive agency like a State Farm if you like the people at your local office, and also with an independent agency. Independents are the ones with several insurance company's signs in their window.

Generally, you only need one independent agent once you find someone who knows your business. Most of them have overlapping contracts... they sell policies with the same companies. If you get surprisingly lower rates from one agent, you should investigate why. It could be that one company has very low rates for your type of business. It could also be that the agent deleted some high-risk coverage, leaving you to pay out of pocket and lose your asset some day.

The important thing in business insurance is having someone who will explain why you're buying coverage, what's covered and not covered. And someone who understands your business. You want to be able to turn in a claim without any problems, especially when you get sued. General liability and workers comp is to protect yourself from litigation, not because a landlord or the state said you have to have it. Look into business interruption coverage too (or a package like a businessowners policy), if there's any chance a hurricane, earthquake, fire, truck through the front of the building, etc would put you out of business for a period of time.

 

[Grinder20]

We use QuickBooks Payroll service for payroll (the software too, but they have a service that handles all the taxes and stuff).

We have a bunch of insurance including general liability and workers comp with State Farm. It's often a good idea to check with a captive agency like a State Farm if you like the people at your local office, and also with an independent agency. Independents are the ones with several insurance company's signs in their window.

Generally, you only need one independent agent once you find someone who knows your business. Most of them have overlapping contracts... they sell policies with the same companies. If you get surprisingly lower rates from one agent, you should investigate why. It could be that one company has very low rates for your type of business. It could also be that the agent deleted some high-risk coverage, leaving you to pay out of pocket and lose your asset some day.

The important thing in business insurance is having someone who will explain why you're buying coverage, what's covered and not covered. And someone who understands your business. You want to be able to turn in a claim without any problems, especially when you get sued. General liability and workers comp is to protect yourself from litigation, not because a landlord or the state said you have to have it. Look into business interruption coverage too (or a package like a businessowners policy), if there's any chance a hurricane, earthquake, fire, truck through the front of the building, etc would put you out of business for a period of time.

@MHP368, I wish could say I love insurance, but I would be lying. It is completely a necessary evil (coming from commercial cleaning), as we never used it, even though we had to replace a glass conference room table at one point (yeah, I know, it sucked).

I agree with independent agent, as they will shop around for you. However, I would be sure to keep your agent on their toes and shop around every couple of years, as the savings can be staggering. Just the fact that they know that you're actively watching the rates, they will call you about ways to save money on your policy. Isn't that novel?

 

[Rabby]

It can be hard to find a good agent that acts as a true advisor, like your CPA and legal counsel. (Actually, it can be hard to find a good CPA and lawyer too). But when you do find one, you'll never need to keep them on their toes.

Personally I see insurance as a useful tool, not a necessary evil. The insurer is accepting risk that you would otherwise expose yourself to. If you grow your company enough and get sophisticated about risk, you can create your own risk acceptance / self-insurance program. Then your insurance costs are mostly administration (if you have no claims), with a small amount going toward excess insurance. Some of these options are possible for small businesses too, but it's usually cheaper and easier to just buy the standard insurance.

 

[bracknelson]

General liability insurance policies typically cover you and your company for claims including bodily injuries and property damage resulting from your products, services, or operations. An increasing number of risk managers require for-hire truckers to have Motor Truck General Liability insurance. You can reach that requirement with Progressive's Truck GL coverage. This policy pays for injuries or property loss you cause as a result of business activities not directly related to operating your truck.

 

[Walter Hay]

Not quite general liability. But I got a large product liability policy from The Hartford, $4M coverage for only $700/yr. I use a platform for product brands to connect with buyers and they have a tab for service providers, found several brokers there, shopped around.

When operating my chemical business I paid a large fee to a lawyer for advice on product liability. He advised "protect your assets", which is what I did. Any legal investigation would have found that spending money to sue me would cost more than my apparent net worth.

Ownership of all my assets was very well hidden. That is what I consider the best product liability insurance.

Walter