Is it required by law to have insurance when starting a business?

Question

Is it required by law to have insurance when starting a business?

Answer 1

yes mostly for the fact that ppl do not get hurt but u do need it.

Answer 2

It depends on your location. Keep in mind there are different kinds of insurance that may be required:

Workmans Comp

Liability Insurance  etc...

Use this basic checklist to make sure all the important steps are taken before you launch your new venture. This business checklist will make sure that you cross all your t's and dot all your i's before your business launch.

Steps to Starting a Business -

http://www.developer-resource.com/starti...

Other sites you might find helpful are:

SBA - http://www.sba.gov/

SCORE - http://www.score.org

Small Business Resource - http://www.small-business-software.net

Business Link - http://www.businesslink.gov.uk/bdotg/act...

Goodluck!

Answer 3

im not sure but i think if your going to have it out in public u do need an insurance like if u have a store or sumthin, but if u do in on craigslist or promote it on da internet and do it privatly u dont .. hope that helps

Answer 4

nope i worked for several people who didn't have insurance also depends on what state you are in

Answer 5

Depending on your state it is not required however it is highly recommend. What most businesses do is create a LLC. That way if anything were to happened and they were sued, they could in effect buy back their own business. Really depends though on the business. I'm an agent in Texas. If you need more info just message me.

Answer 6

it is not a law, but if you are financing the business, the bank will require that you have insurance.  If you are dealing with the public, you definitely need liability insurance. Depending on what type of business you have will determine what insurance you need to carry

Answer 7

The only insurance required by law, is auto, if there are commercial vehicles, and workers compensation.  

LIABILITY or PROPERTY  insurance isn't required by law, but most of the time, you'll find out it's required by contract.  Any lender is going to want you to carry coverage for your property.  Any landlord is going to want you to carry liability coverage.  Any business entity you do business with, is going to require product liability and broad form vendors coverage.  That sort of thing.

Answer 8

Hi, I'm not sure what country you are in but here in Ireland, following on from the O'Donoghue report, Employers Liability Insurance has been made compulsory in Ireland. It is also compulsory in the U.K.

At the moment, no other type of insurance is compulsory by law except motor!