Do marketing consultants need business insurance?
Marketing consultants always have a plan. A plan for social, a plan for growth, a plan for awareness, and a plan for conversions. But what about a backup plan if something goes wrong? That’s where business insurance comes in. It protects the things you work hard for: Your business and your clients.
What insurance coverages are best for marketing consultants?
Clients depend on your expert eye and sage advice. Because you provide professional services, professional liability is a must. General liability insurance is also very important, especially if you meet with clients in person or interact with the public in a work-related manner.
Professional liability for marketing consultants
Professional liability (also known as errors & omissions) is key for those providing expert services. Basically, it protects you against an unhappy client. Even if an issue or an outcome is out of your control, you could still find yourself facing a lawsuit.
Policy benefits include protection against the following:
- Professional errors: Your recommended ad strategy doesn’t result in increased traffic and sales.
- Failure to deliver promised services: You miss the deadline to submit an expensive ad campaign to an important publication.
- Negligent services: Your client doesn’t believe your work meets professional standards.
- Court cost, legal fees, defenses, and settlements are also covered.
General liability insurance for marketing consultants
Not everything goes as planned, even if you’re nearly perfect. Regardless of how “on it” you are, you can’t control everything (or everyone). That’s why general liability insurance is so important– it protects you from many of the things that can go wrong in business.
General liability covers:
- Personal/advertising injury: This is probably the greatest benefit for marketing consultants. Claims against slander, libel, copyright infringement, and false advertising are all covered.
- Property damage: Spilling your drink and ruining your client’s computer is stressful. But with general liability, the repairs or replacement costs will be covered.
- Bodily injury: If someone gets injured on your property, or someone gets injured because of you or your employee (regardless of location), general liability will pay the medical costs.
- Legal defenses: Lawyers’ fees and other court costs are covered within the policy.
Additional recommended coverages for marketing consultants
- Cyber liability: If you face a cyber threat (like compromised client information), cyber liability will cover customer notification, legal costs, forensics investigation, and credit monitoring.
- Business auto: This covers vehicles owned by your business.
- Hired & non-owned auto: This endorsement protects your company against accidents involving vehicles you hire, rent, or borrow for work-related purposes. It also covers your company against employee accidents while using their personal vehicle on behalf of your business.
- Business property: This protects commercial property. If you keep your work gear at home and something happens, please note that your homeowners policy will typically only cover up to $500 in business property damage.
- Inland marine: If you take your work gear on the go, your business property ends after you’re 500 feet away from your business premises. Inland marine protects your work property in transit.
Interested in more coverage for less?
A business owner’s policy, or BOP, bundles general liability and business property insurance into a package deal. The price is less expensive than purchasing the policies on their own, and you have the option to tack on additional coverages to the package.