A common problem for a limited company or an incorporated company is the business owner may believe he or she is totally protected from personal liability and that liability insurance is not necessary, this however is not the case, you can be personally liable if:
? If you have signed a personal guarantee for a loan.
? If you personally injure someone.
? If you act in an irresponsible manner.
? If you act in an illegal manner.
? If you do not operate your business as a separate entity.
What is Business Liability Insurance?
Business liability insurance protects your small business if there is a lawsuit for personal injury or damage to property. The insurance will cover the damages from a lawsuit and cover legal costs. There are many types of liability insurances depending on your business needs. If you have concerns on this matter seek legal advice.