Sometimes, myths and misinformation can be fun. Who cares if UFO’s are real or not? There’s no harm done if you want to believe that a weather balloon is actually an alien spacecraft. There are areas, however, where myths can do a lot of damage. When it comes to something like running a business, you can’t afford to buy into the baloney. Here are a few of the most popular business protection myths that need to be busted:
You Can Dodge A Lawsuit By Closing Your Doors
Many small business owners think along the lines of: “If there’s no business to sue, who are they gonna sue?” Well, the answer is painfully obvious… they’re going to sue you! If your business doesn’t have the assets to cover what the judge says you owe, you have personal assets. Better to invest in protection when you need it than risk giving up your home.
Your Industry Is Risk-Free
Some businesses are riskier than others, but none are risk-free. If you’ve got a sidewalk outside your office, someone can slip on it and get you on the hook with a liability suit. Even if you live in your car and work on your laptop at coffee shops and libraries, what if someone trips over your charger cord? There are always risks to manage.
I Don’t Need Worker’s Comp, It’s Just Me At The Office
In a perfect world, this would be true. Why buy worker’s compensation insurance if you don’t even have workers? However, some states require you to have worker’s comp in place even if you don’t have any employees besides yourself. You’ll have to check the insurance laws in your state before you can say for certain what is and is not required by state law.
Well Non-Profits Certainly Don’t Need Worker’s Comp…
Non-profits typically work with a totally volunteer-based solution to staffing. But, if one of those volunteers is injured on the job, it may still be your responsibility to cover their losses. After all, they were injured while working for you, not at their dayjob.
You Only Need Insurance When Your Client’s Contract Demands It
You may need to buy extra insurance now and then to fulfill a contract, but you’re going to need a basic, adequate policy in place even if you’re between contracts. In many states this is required by law, and in any event, it’s just good business sense to protect yourself against losses.
