Question by frosted: How do I get business liability insurance for a start up business?
I’m starting a cosmetic’s company and the manufacturing company I’m hoping to work with requires business liability insurance. I have no previous payout or income from the my start-up company as of yet. What would be the best way to go about getting this insurance, seeing as most companies require the company to be already off the ground with revenue and mine is in the developing stages?
Thanks in advance
Best answer:
Answer by ramon1972pr
First you can contact a retail or broker insurance. Explain you don’t have insurance. Problably they can find a carrier for your needs. Also told them get a quote for errors & omissions. Liavility coverage excludes professional services. Also ask for a business personal property, improvements and betterments and business income.
Good Luck!
Add your own answer in the comments!
You need to contact an agent that specializes in placing commercial insurance. You might want to start with the agent that writes your other insurance (auto & home) but don’t be surprised if they don’t have a market for this type of risk. Very few insurers are going to be interested in underwriting this type of risk.
If your agent is unable to assist you ask him/her for a referral to an agent that deals with specialty line carriers. The bad news is that the minimum premiums for general liability and products liability for a cosmetics company could easily exceed $ 10,000.
No shortcuts here, you have to contact an agent that deals with surplus lines carriers.
You’d go to a local, independent agent, to get some quotes. You can find one at http://www.iiaba.net. Keep in mind, because you need product liability on something that touches skin, the pricing on this is probably going to START at $ 2500.