NLIC.org

Rachel Said:

Why is it so hard on small businesses?

We Answered:

If you want to minimize your tax liabilities and and simplify your tax affairs the best thing you can do is to go and get advice from a company tax consultant. It will be money very well spent.

Earl Said:

How do I get liability insurance?

We Answered:

NO ONE will sell a policy with only a $10,000 limit. Or rather, it's going to cost the same, as $500,000 of liability coverage, so why bother? It's been DECADES since I've seen even a liability limit as small as $50,000. It's like trying to find someone to clean my 2600 square foot house, for $5. Or to clean only one hallway, from the whole house. Or like going to a restaurant, and only ordering a roll and a glass of water.


$10,000 won't go very far, anyway, in paying lawyer bills if you get sued. It's NOT an adequate limit these days.

So, you can't buy this directly without an agent, and I don't know of any "direct writers" (State Farm, Nationwide, Farmers, Allstate) that will write insurance on a brand new business. But a local, independent agent will be able to get you a policy. Last time I quoted one out, it was around $1500 for a one man shop. I've seen agents here say they could write a new policy for $750, but I myself have never seen a carrier willing to go that low on a new business cleaning company.

So you're going to need to go to a local, independent agent - start with the guy who writes your car/house insurance if you can. If you can't, you can locate an independent agent at www.iiaba.net using the agent locator button and typing in your zip code.

** The umbrella policy won't work - that person doesn't understand what it covers. It's for PERSONAL liability, nothing related to a business, and it goes OVER liability insurance that you already have. **