1 00:00:10,720 --> 00:00:15,970 Welcome back to another episode of Sam's Sidebar, where we tackle your essential legal 2 00:00:15,970 --> 00:00:21,160 questions about starting and growing a legally protected online business in 10 3 00:00:21,160 --> 00:00:22,210 minutes or less. 4 00:00:22,210 --> 00:00:27,040 So, this week, you'll get legal tips all about whether business insurance is really 5 00:00:27,040 --> 00:00:32,080 worth it. And thanks to Cashew Accounting for submitting this awesome question. 6 00:00:32,470 --> 00:00:37,190 Cashew Accounting asked, to what extent is business insurance worth it? 7 00:00:37,210 --> 00:00:42,430 I have basic errors and omissions insurance as an accountant, do I need anything else? 8 00:00:42,430 --> 00:00:46,810 So yes, a business insurance is so worth it. 9 00:00:46,810 --> 00:00:48,600 Let's go over why. 10 00:00:48,600 --> 00:00:53,230 Business insurance is worth it because of what business insurance does for you and for 11 00:00:53,230 --> 00:00:55,510 your business's money in the end. 12 00:00:55,510 --> 00:00:58,300 So, there are many different types of business insurance. 13 00:00:58,300 --> 00:01:03,610 Arizona Omissions, the one that this reader asked about is one kind of business 14 00:01:03,610 --> 00:01:07,540 insurance, and it's otherwise referred to as professional liability insurance. 15 00:01:07,690 --> 00:01:11,710 It's just one kind of many, many different types of business insurance. 16 00:01:11,710 --> 00:01:15,040 It may or may not be the kind of business insurance that you need. 17 00:01:15,370 --> 00:01:18,610 It is the kind of business insurance that protects you. 18 00:01:18,610 --> 00:01:23,980 If a client sues you for something that happens as a result of your work together. 19 00:01:24,250 --> 00:01:28,870 Like an injury, an illness, a financial loss, some sort of bad thing. 20 00:01:28,870 --> 00:01:36,070 So, if you got sued for something that's covered by your business insurance policy, 21 00:01:36,580 --> 00:01:41,680 your business insurance carrier would then provide you with an attorney and they would 22 00:01:41,680 --> 00:01:43,720 pay that attorney's fee for you. 23 00:01:43,810 --> 00:01:48,640 And then if you, let's say they settled the case on your behalf or there was some sort of 24 00:01:48,640 --> 00:01:53,290 judgment, but like 95 percent of cases are settled, but if there was some sort of 25 00:01:53,290 --> 00:01:57,550 judgment or settlement, your business insurance would then pay that on behalf of 26 00:01:57,550 --> 00:02:01,210 your business, of course, minus whatever your deductible is. 27 00:02:01,210 --> 00:02:04,470 So, that's why it's really important to know what your deductible is. 28 00:02:04,470 --> 00:02:08,620 Paying for, providing you finding and then paying for and providing you with an attorney 29 00:02:08,620 --> 00:02:12,070 and paying the attorney's fees is like worth the cost alone. 30 00:02:12,070 --> 00:02:17,230 So, that's why, at least from my perspective, yes, of course, it's worth it to 31 00:02:17,230 --> 00:02:19,780 look into business insurance. 32 00:02:19,780 --> 00:02:24,130 In terms of whether it's enough or whether there's anything else you need, the real 33 00:02:24,130 --> 00:02:28,240 question there is whether or not you need any other sorts of business insurance. 34 00:02:28,240 --> 00:02:32,680 So, another popular type is called commercial general liability insurance that 35 00:02:32,680 --> 00:02:34,990 covers property and bodily injury. 36 00:02:34,990 --> 00:02:38,410 So some of you, depending on how you're working with people and what you're doing, 37 00:02:38,410 --> 00:02:40,620 you might need that kind of insurance too. 38 00:02:40,620 --> 00:02:44,530 Some people get an umbrella policy to offer like additional coverage. 39 00:02:44,950 --> 00:02:47,260 Some people get cyber liability. 40 00:02:47,260 --> 00:02:50,170 I mean, they're all different kinds of business insurance. 41 00:02:50,170 --> 00:02:55,510 That's really why I recommend you finding a good business insurance agent, being super 42 00:02:55,510 --> 00:02:59,770 thorough and descriptive about what you do and especially how you do it, how you work 43 00:02:59,770 --> 00:03:05,320 with people and all the different, not only services and products that you offer, but how 44 00:03:05,320 --> 00:03:09,550 you actually market your business as well and what kinds of content you put out to, 45 00:03:09,550 --> 00:03:14,530 because a lot of times people are surprised to find out that that's not covered by their 46 00:03:14,530 --> 00:03:15,820 business insurance. 47 00:03:16,060 --> 00:03:23,590 It's also why I dedicated a few of the over 35 lessons inside of the Ultimate Bundle, my 48 00:03:23,590 --> 00:03:27,970 signature program, to helping you to understand what business insurance is, how to 49 00:03:27,970 --> 00:03:30,250 get it, how to get the best kind for you. 50 00:03:30,250 --> 00:03:35,530 And I even give you insurance agent recommendations, the questions to ask, and 51 00:03:35,530 --> 00:03:37,960 even what to look for in a good policy. 52 00:03:37,980 --> 00:03:42,220 I even teach you how to review them, what to look for, what questions to ask an insurance 53 00:03:42,220 --> 00:03:44,110 agent, all of that kind of stuff. 54 00:03:44,110 --> 00:03:48,970 So, like I always say, forming your business legally is what protects you as a person, 55 00:03:48,970 --> 00:03:53,620 right? It's what separates you from your business and it makes your personal assets 56 00:03:53,830 --> 00:03:55,990 off limits to anything that happens in your business. 57 00:03:56,950 --> 00:04:00,610 Getting business insurance, on the other hand, is what protects your business' money, 58 00:04:00,610 --> 00:04:04,780 because we still don't want you to have to pay for a lawsuit or a settlement. 59 00:04:04,990 --> 00:04:08,830 And then getting contracts in place is what provides the proof that you're going to need 60 00:04:08,830 --> 00:04:15,850 for all of this to successfully navigate like late and missed payments and lawsuits or 61 00:04:15,850 --> 00:04:18,400 anything like that that would come up in your business. 62 00:04:18,400 --> 00:04:24,100 So, if you want to dig deeper and start and grow a legally legit online business, be sure 63 00:04:24,100 --> 00:04:29,020 that you're on my email list for an invite to my next live legal training because it's 64 00:04:29,020 --> 00:04:31,750 coming up really, really soon and I don't want you to miss it. 65 00:04:31,750 --> 00:04:34,570 It's one of the only few that I will do this year. 66 00:04:34,840 --> 00:04:39,400 It's absolutely brand new and it will kick off the best financial deal on the Ultimate 67 00:04:39,400 --> 00:04:43,060 Bundle that I've ever offered and of the entire year. 68 00:04:43,060 --> 00:04:47,260 So, make sure you click the easy email list sign up link below so that you receive my 69 00:04:47,260 --> 00:04:49,780 emails each week full of free legal tips. 70 00:04:50,080 --> 00:04:51,760 Thank you so much for joining me for Sam's Sidebar. 71 00:04:52,180 --> 00:04:57,310 Check out the show notes below for related blog posts and resources and the episodes of 72 00:04:57,310 --> 00:05:00,850 On Your Terms that I post every single Monday and Thursday. 73 00:05:00,880 --> 00:05:04,600 Of course, if you have any questions for me or you want me to answer a question in a 74 00:05:04,600 --> 00:05:07,380 future episode, just submit it using the link below. 75 00:05:07,390 --> 00:05:10,130 I am so excited to see what you got for me. 76 00:05:13,710 --> 00:05:16,580 Thanks so much for listening to the On Your Terms podcast. 77 00:05:16,590 --> 00:05:20,490 Make sure to follow on Apple Podcasts, Spotify or wherever you like to listen to 78 00:05:20,490 --> 00:05:25,440 podcast. You can also check out all of our podcast episodes, show notes, links and more 79 00:05:25,440 --> 00:05:28,240 at Samvanderwielen.com/podcast. 80 00:05:28,260 --> 00:05:31,830 You can learn more about legally protecting your business and take my free legal 81 00:05:31,830 --> 00:05:36,030 workshop, Five Steps to Legally Protect and Grow your Online Business at SamVanderWielen 82 00:05:37,050 --> 00:05:41,520 .com. And to stay connected and follow along, follow me on Instagram @SamVanderWielen and 83 00:05:41,520 --> 00:05:42,870 send me a DM to say hi. 84 00:05:52,700 --> 00:05:57,740 Just remember that although I am a attorney, I am not your attorney, and I am not offering 85 00:05:57,740 --> 00:05:59,480 you legal advice in today's episode. 86 00:05:59,480 --> 00:06:04,190 This episode and all of my episodes are informational and educational only. 87 00:06:04,190 --> 00:06:08,540 It is not a substitute for seeking out your own advice from your own lawyer. 88 00:06:08,540 --> 00:06:11,360 And please keep in mind that I can't offer you legal advice. 89 00:06:11,360 --> 00:06:16,340 I don't ever offer any legal services, but I think I offer some pretty good information.