| Time and time again, I run into so many freelance | | | | thresholds included. I discovered this little tidbit of |
| bookkeepers who do not invest in an insurance | | | | information when I was researching whether or |
| policy. I have to stress to you how important it is | | | | not I needed to be bonded. At the time we had |
| to make this investment. | | | | run into an issue with a local payroll company who |
| Most of us start our business because of the | | | | failed to make the tax payments for their clients |
| passion we have for what we do. Unfortunately, | | | | and all the clients were held liable for their tax |
| owning a business also comes with a lot of | | | | payments. Turns out the bond did not cover the |
| accountability and responsibility. Although we strive | | | | client at all. |
| to service our clients to the best of our | | | | Here are insurances you should have: |
| capabilities, a client's perception of our quality of | | | | 1. General Liability policy: Protects the assets of |
| service may be entirely different. If for any | | | | the business. It can protect you for property |
| reason they wind up thinking you did them wrong, | | | | replacement, theft, medical expenses, |
| it can open you up to a can of worms if you are | | | | employment practices, employee dishonesty, |
| not protected. | | | | forgery, personal property, papers and records. |
| For instance, did you know that if you take a | | | | 2. Professional Liability Policy: Covers you against |
| client to court for non-payment of a bill, let's say | | | | errors, omissions and negligence. It protects your |
| over the small claims threshold of $5,000 so it | | | | company from claims if your client holds you |
| ends up in civil court, the client can counter sue | | | | responsible for errors or failure to complete the |
| you if they feel there are errors in your work? | | | | work performed as promised in your contract. |
| Did you know that depending upon the errors and | | | | 3. Worker's Compensation: Covers any injuries |
| omissions insurance you purchased, the policy will | | | | that may happen to an employee while they are |
| cover your legal fees? | | | | working, whether it be off premise, in the car or |
| Better yet, did you know that your general liability | | | | even a work related illness. |
| insurance can protect you against employee | | | | Invest in yourself and protect yourself from the |
| dishonesty and forgery? Your regular policy | | | | unexpected. Take my word for it - you do not |
| covers a small portion of this, but you can always | | | | want to learn THESE lessons the hard way. |
| have an additional policy added with higher | | | | |