Company insurance is intended to safeguard the financial assets of a firm owner and is a crucial investment for a successful business.
This article will discuss the primary insurance coverage for mermaid companies, general liability insurance, as well as additional products that are appropriate for this industry.
Table of Contents
Mermaid Businesses Need General Liability Insurance
Every firm, regardless of sector, has risks that should be insured. General liability insurance is the most frequent and comprehensive form of coverage that company owners purchase.
General liability insurance covers the following risks:
Physical harm
Damage to property
Medical expenses
Legal defence and decision
Personal and commercial harm
While general liability insurance is not legally needed for companies, operating without it is exceedingly dangerous. If your company is sued, you might face costs in the hundreds of thousands of dollars (or more). The only way to avoid this sort of catastrophe from destroying your organisation is to have an adequate general liability insurance coverage in place to assist pay for these losses.
GENERAL LIABILITY INSURANCE MAY COVER COMMON SITUATIONS FOR A MERMAID BUSINESS
Example 1: You stroll across the living room, trip over her dog, and fall into the entertainment centre while visiting a client’s house to discuss a mermaid performance for her child’s birthday party. Your tumble destroys various high-priced equipment, including a huge television. The expense of replacing the client’s damaged property would be covered by general liability insurance.
Example 2: A rival sues your firm, alleging that your most recent advertising slandered her company. While you disagree with the accusation, you see the need of hiring an attorney to safeguard your company. Your legal defence would be covered by general liability insurance.
Example 3: You accidently knock over a customer’s youngster while carrying your mermaid equipment into an event location. In the fall, the youngster fractures his arm, and the customer chooses to sue you for compensation. Your legal defence and any needed settlement would be covered by general liability insurance.
Of course, this is not an entire list of risks covered by a general liability insurance policy, and certain situations may result in a specific peril not being covered. To minimise coverage gaps, it’s always better to speak with your agent about the terms of your policy.
General Liability Insurance Cost
Mermaid companies in America typically pay between $300 and $800 each year for $1 million in general liability coverage.
The cost of your coverage will be determined by a number of variables. Among them are your:
Location
Deductible
Employees’ number
Per-occurrence restriction
The overall aggregate limit
You may be able to get general liability insurance at a lower cost if you buy it as part of a business owner’s policy (BOP) rather than as a separate policy. A business interruption policy (BOP) is a more complete option that covers numerous types of coverage, such as business interruption and property insurance.
Other Types of Coverage Required by Mermaid Businesses
While general liability insurance is the most crucial, there are various different types of coverage to be aware of. Other forms of insurance that all mermaid companies should have include:
Insurance for Commercial Vehicles
Any vehicle you use mainly to carry your mermaid gear to and from the homes of your customers needs business auto insurance to protect the vehicle, driver, and other drivers on the road in the case of an accident. Choose a policy that not only covers accident-related vehicle repair expenses and medical care for anybody harmed, but also provides enough coverage for any company property you transport in your vehicle.
Insurance for Commercial Property
You made a significant investment in the mermaid costumes, accessories, and real estate required to operate your company. Commercial property insurance would cover the expense of repairing or replacing your business-related property in the case of a fire, theft, or natural catastrophe. This includes structural damage to your facility and the items housed inside it.
Coverage Options for Some Mermaid Businesses
In addition to the insurance listed above, your mermaid company may need other forms of coverage based on particular features of your activities. Some of them may not apply to you, so be sure to ask your agent whether policies are appropriate for your company.
Insurance for Workers’ Compensation
Most states will require you to have workers’ compensation insurance for your part-time and full-time employees if you have any. This coverage covers your workers if they are hurt at work or get sick as a result of a workplace accident. It covers not only an employee’s medical expenditures and lost pay if they need time off to recuperate, but also any disability or death benefits resulting from a workplace accident.
Insurance for Home-Based Businesses
If you conduct your company from home, you may need this insurance to protect the equipment and space in your house that is dedicated to your business. If you do not declare that you use your house for business reasons, a conventional homeowners insurance policy may not cover business-related objects or customer accidents on your property. This coverage would pay for your legal expenses and other related charges in the case of a lawsuit.
Additional Security Measures for Your Company
Although investing in company insurance is simple (and necessary), it should not be your first line of defence. Yes, insurance will reimburse your company for cash losses incurred as a result of an occurrence, but it is much preferable to avoid losses altogether.
With this in mind, here are a few steps you can take to better secure your company:
Make use of legally binding contracts and other business agreements. (We provide free templates for several of the most often used legal forms.)
To safeguard your personal assets, form a limited liability company (LLC) or a corporation. (To discover how to incorporate an LLC or company in your state, see our step-by-step tutorials.)
Keep your company licences up to date.
Streamline the internal procedures of your company. This will eliminate unneeded variables from routine activities and establish a secure, consistent environment in which to do business.
If your company is an LLC, you should check into LLC insurance.