You’re a responsible business owner, so you know that you need general liability insurance for your small business. It gives you the peace of mind to grow your business without worrying about accidents or mistakes. General liability insurance protects you and your business from claims from unhappy customers, or people who get injured on your premises or through your work.
Your general liability insurance policy covers you from 3 main types of claims:
- Bodily injury, which means anyone who gets injured while on your premises, or directly because of your work. We’re going to go into more detail about bodily injury coverage below.
- Property damage, which covers any damage to someone’s property because of your work, or while on your premises.
- Personal injury, which covers any non-physical harm to someone because of your work, like breach of privacy or copyright infringement.
Out of these 3 kinds of third party injury insurance, bodily injury claims are the most significant.
Why is Bodily Injury Insurance So Important?
We all value our health and our life much more than our possessions. It’s natural for us to be the most concerned about our most personal items, and there’s nothing more personal than our own bodies. That’s why it’s so important to have business accident insurance that covers bodily injury.
For example, if someone trips over your ladder and breaks their nose, they are going to be more upset about it than if your ladder broke their expensive mirror, even if it costs more to replace the mirror than it does to treat their broken nose. They are a lot more likely to sue you for their medical costs than to sue you for breaking their mirror.
The High Risks of Bodily Injury Claims
Bodily injury insurance claims can also be extremely complicated. Imagine the situation above, where someone tripped over your ladder and broke their nose. They could sue you to for the money they had to spend on medical fees. But that’s not all. They could also sue you for:
- The pain of having had a broken nose during hayfever season
- Their mental and emotional suffering, because their face looked strange for several weeks
- Loss of income, because they couldn’t go in to work until their nose was healed
It’s not easy to put a dollar amount on the pain of a broken nose, or the mental suffering that someone feels. The injured person might think that it’s perfectly reasonable to stay off work for a week, but you might not feel the same way. It can be time-consuming and complicated to agree on a fair amount for damages.
Even agreeing on medical costs can be difficult. What if the injured person demanded that you pay for cosmetic surgery to fix their nose? You might think that’s unreasonable, but if the claim ends up in court, the judge might agree with the injured party.
Common Bodily Injury Insurance Claims
It’s so important to get work accident insurance because bodily injury claims are common. According to the National Floor Safety Institute, over 8 million hospital visits take place each year because of falls. Falls are the number one reason for lost work days.
Here are some of the most common bodily injury claims:
- Trips and falls over uneven ground or carpet, or because of hazards that weren’t clearly marked
- Slips on slippery floors
- Whiplash, neck, or back injuries from car accidents
- Allergic reaction to dust or chemicals from your work
- Physical therapy costs
- Lost income due to unpaid leave from work in order to recover
Why Do I Need Bodily Injury Liability Coverage?
The chances of getting involved in a bodily injury insurance claim are fairly high, since
- Accidents that cause bodily injury happen quite often
- Someone who gets physically hurt is more likely to sue than if their property was damaged
- Bodily injury coverage includes accidents that happen on your premises, even if it wasn’t your fault
It’s not safe to just hope that you’ll never face a bodily injury claim.
The Direct Costs of a Bodily Injury Claim
Here are some of the costs you might have to pay to deal with a bodily injury claim if it goes to court:
- Your lawyer fees
- The injured party’s lawyer fees
- The cost of getting hold of medical records and producing them in court
- Court costs - the filing fee, juror fees if the case goes to court, the cost of serving a summons
- Deposition costs
- Expert witness fees
- Administrative expenses like travel, legal research, copying expenses, postage
That’s just the amount you could have to pay directly for a bodily injury claim, if you don’t have insurance. But you might lose even more money because of the claim’s indirect effect on your business.
The Indirect Costs of a Bodily Injury Claim
- Impact on your business reputation
When you have business accident insurance, your insurance company can settle the claim quickly. But if you’re fighting a bodily injury claim because you don’t have any accidental injury insurance, it could harm your business reputation. People might think that you don’t care about their safety, because you don’t want to pay the claim, and that could cost you clients.
- Loss of working capital
You want to use your working capital to grow your business. You don’t want to have to spend your hard-earned money on paying a bodily injury claim, just because you don’t have any third party injury insurance.
- Distractions from growing your business
If you have work accident insurance, you can leave your insurance company to settle a bodily insurance claim. But if not, you’ll have to deal with it all yourself, instead of putting your time and energy into improving your business and getting more work.
How to Get the Best Accidental Injury Insurance
When you buy accidental injury insurance, you want the best work accident insurance company. Next Insurance offers third party injury insurance that you can rely on.
Getting your third party injury insurance from Next Insurance is worth it for many reasons:
- Online Certificate of Insurance that you can download as often as you like for no extra charge
- Buy your insurance quickly and easily online in as little as 10 minutes
- Excellent customer service
- Spread the cost of your work accident insurance across 12 months for no extra fee
- Add an additional insured whenever you need to, free of charge
- Flexible policies
- Pay according to your industry’s level of risk without subsidizing a higher-risk business
Next Insurance helps protect you from the effects of a bodily injury claim, so that you can focus on growing your small business.