There are many things that a business owner must know and deal with on a daily basis. However, not all business owners are fully aware of the different types of insurance products available to protect themselves, their business, or their employees. To provide this protection one needs to look at one of the most important insurance products on the market and that is public liability insurance.

This type insurance helps protect you against such things as a slip and fall or other injury to a customer. Unfortunately, in the litigious society we live in today, even the most seemly innocent of things can result in a business finding themselves on the wrong side of an extremely expensive lawsuit. Even if your company is not at fault and is completely exonerated in the court proceeding, the time and money it will take to defend yourself or your business will sometimes take enormous resources.

However, not all business owners purchase this most important of protection due to the perceived high cost of this type coverage. Many owners attempt to make a risk benefit analysis of their business and unfortunately many reach the wrong conclusion. As mentioned earlier, anyone can find themselves involved in a costly lawsuit. And while a small business owner may believe that lawsuits are usually confined to something the big boys have to deal with, they are must less financially equipped to defend themselves. This usually results in a settlement of the case by the business owner in an attempt to avoid the high costs of litigation even though the business may be completely in the right.

In some states, businesses are required to carry public liability insurance. While some view this as a burden, in the long run, it turns out to be a very cost effective requirement especially where a business has contact with large amounts of people on a routine basis. Restaurants, nightclubs, and businesses in areas of large public assembly fall into this category. But, even a small plumbing business that drives from job to job exposes itself to huge liability just by the contact their truck may have with everyday traffic.

Shopping for this type coverage is relatively easy and painless. You might begin with the same company you choose to provide the other insurance products you own. The agent will ask you a series of questions to determine a risk exposure based on the type of business you operate and the experience the owners and the employees have in conducting this type of business. They will then provide you with a good faith estimate of the coverage amount you should have as well as the cost of premiums. Armed with this new knowledge, you can now shop for a better price if you so desire. Just be sure and purchase from a reputable company.

Even though public liability insurance is a costly expense for any business, there may very well come a day when this product you do not think very often about, saves your business from a costly lawsuit that could result in the possible closure of your business. Thus resulting in the loss of your livelihood and that of your employees.