No one wants to think about getting sued, but it’s a risk every business owner faces. If you’re sued, having the right insurance can save your business. There are various types of business insurance, but every business owner should have three: general liability, product liability, and errors and omissions insurance. Discover more about protecting your business during litigation from Ed Thompson Insurance Agency in Omaha, NE.
The Five Most Common Types of Business Lawsuits
The five most common types of business lawsuits are a breach of contract, violation of intellectual property rights, employment discrimination, personal injury, and wrongful death.
A breach of contract occurs when one party to a contract fails to perform its obligations under the agreement. This can happen for several reasons, including not being able to meet the terms of the contract, not being able to complete the work, or not being able to pay for the job.
Violation of intellectual property rights is when a company uses someone else’s intellectual property without permission.
Employment discrimination occurs when an employer mistreats an employee because of race, religion, gender, age, or national origin.
Personal injury occurs when someone is injured because of someone else’s negligence.
Wrongful death occurs when someone dies because of someone else’s negligence. This can happen in the same ways as personal injury, but it also can occur when someone dies because of a defective product.
How Insurance Can Save Your Business from a Lawsuit
If you have insurance, your business is protected in case of a lawsuit. Your insurance company will pay for your legal defense if you are sued. If you are found liable, your insurance company will pay the damages up to your policy’s limit.
We specialize in commercial insurance at Ed Thompson Insurance Agency in Omaha, NE. We work with businesses of all sizes to find the coverage that best suits their needs. Whether you’re looking for property, liability, or workers’ compensation insurance, we can help. Contact us today for a consultation.