84. Is business insurance worth it?

Is business insurance worth it?

Listen Now:

In episode 84, we’re discussing what business insurance covers and why it is (spoiler alert) worth it. 

In this episode, you’ll hear… 

  • Whether business insurance is worth it
  • The kinds of business insurance available
  • How to pick the type of insurance right for you
  • Why it’s so worthwhile 

Is business insurance worth it for my business?

Yes, business insurance is so worth it! Let me explain. Business insurance is worth it because of what business insurance does for you and for your business’ money.

If you get sued for something covered by your business insurance policy, your business insurance carrier will provide you with an attorney and pay that attorney’s fee for you. They will also pay any settlement fees — minus your deductible — if a judgment or settlement is reached. That alone is worth the cost alone, in my opinion.

Another question is whether one policy is enough or if there is anything else you need. It’s possible you may need other types of business insurance beyond just one.

What types of business insurance are there?

There are many types of business insurance: Errors and omissions, also known as professional liability insurance, protects you if a client sues you for something that happened as a result of your work together, whether an injury, illness, or financial loss; Commercial general liability covers property and bodily injury, which depending on your kind of work may be necessary; Cyber liability can give you protection for online transactions; Some people even get an umbrella policy to offer additional coverage.

How do I know what type of insurance is right for my business?

I recommend finding a good business insurance agent, being as descriptive as possible about what you do — and how you do it — and all of the different products, services, and ways you market your business. There are multiple lessons out of over 35 total in the Ultimate Bundle™

Forming your business legally is what protects you as a person, separates you as a person from your business, and makes your personal assets off-limits from what happens to your business. Business insurance is what protects your business’ money, and getting contracts in place provides the proof you need to successfully navigate any legal issues.

Listen to On Your Terms on your favorite podcast platform

Listen to the show on your favorite podcast player and be sure to follow, and leave a review to help introduce the show to more online business owners just like you!

Resources Discussed in This Episode

If you’re ready to legally protect and grow your online business today, save your seat in my free workshop so you can learn how to take the simple legal steps to protect the business you’ve worked so hard to build. Click here to watch the free workshop so you can get legally legit right now!

Episode Transcript

Download Episode Transcript

Sam Vander Wielen: Welcome back to another episode of Sam’s Sidebar, where we tackle your essential legal questions about starting and growing a legally protected online business in 10 minutes or less. So, this week, you’ll get legal tips all about whether business insurance is really worth it.

And thanks to Cashew Accounting for submitting this awesome question. Cashew Accounting asked, to what extent is business insurance worth it? I have basic errors and omissions insurance as an accountant, do I need anything else? So yes, a business insurance is so worth it. Let’s go over why. Business insurance is worth it because of what business insurance does for you and for your business’s money in the end.

So, there are many different types of business insurance. Arizona Omissions, the one that this reader asked about is one kind of business insurance, and it’s otherwise referred to as professional liability insurance. It’s just one kind of many, many different types of business insurance. It may or may not be the kind of business insurance that you need. It is the kind of business insurance that protects you. If a client sues you for something that happens as a result of your work together. Like an injury, an illness, a financial loss, some sort of bad thing.

So, if you got sued for something that’s covered by your business insurance policy, your business insurance carrier would then provide you with an attorney and they would pay that attorney’s fee for you. And then if you, let’s say they settled the case on your behalf or there was some sort of judgment, but like 95 percent of cases are settled, but if there was some sort of judgment or settlement, your business insurance would then pay that on behalf of your business, of course, minus whatever your deductible is.

So, that’s why it’s really important to know what your deductible is. Paying for, providing you finding and then paying for and providing you with an attorney and paying the attorney’s fees is like worth the cost alone. So, that’s why, at least from my perspective, yes, of course, it’s worth it to look into business insurance.

In terms of whether it’s enough or whether there’s anything else you need, the real question there is whether or not you need any other sorts of business insurance. So, another popular type is called commercial general liability insurance that covers property and bodily injury. So some of you, depending on how you’re working with people and what you’re doing, you might need that kind of insurance too.

Some people get an umbrella policy to offer like additional coverage. Some people get cyber liability. I mean, they’re all different kinds of business insurance. That’s really why I recommend you finding a good business insurance agent, being super thorough and descriptive about what you do and especially how you do it, how you work with people and all the different, not only services and products that you offer, but how you actually market your business as well and what kinds of content you put out to, because a lot of times people are surprised to find out that that’s not covered by their business insurance.

It’s also why I dedicated a few of the over 35 lessons inside of the Ultimate Bundle, my signature program, to helping you to understand what business insurance is, how to get it, how to get the best kind for you. And I even give you insurance agent recommendations, the questions to ask, and even what to look for in a good policy. I even teach you how to review them, what to look for, what questions to ask an insurance agent, all of that kind of stuff.

So, like I always say, forming your business legally is what protects you as a person, right? It’s what separates you from your business and it makes your personal assets off limits to anything that happens in your business. Getting business insurance, on the other hand, is what protects your business’ money, because we still don’t want you to have to pay for a lawsuit or a settlement. And then getting contracts in place is what provides the proof that you’re going to need for all of this to successfully navigate like late and missed payments and lawsuits or anything like that that would come up in your business.

So, if you want to dig deeper and start and grow a legally legit online business, be sure that you’re on my email list for an invite to my next live legal training because it’s coming up really, really soon and I don’t want you to miss it. It’s one of the only few that I will do this year. It’s absolutely brand new and it will kick off the best financial deal on the Ultimate Bundle that I’ve ever offered and of the entire year. So, make sure you click the easy email list sign up link below so that you receive my emails each week full of free legal tips.

Thank you so much for joining me for Sam’s Sidebar. Check out the show notes below for related blog posts and resources and the episodes of On Your Terms that I post every single Monday and Thursday. Of course, if you have any questions for me or you want me to answer a question in a future episode, just submit it using the link below. I am so excited to see what you got for me.

Thanks so much for listening to the On Your Terms podcast. Make sure to follow on Apple Podcasts, Spotify or wherever you like to listen to podcast. You can also check out all of our podcast episodes, show notes, links and more at Samvanderwielen.com/podcast. You can learn more about legally protecting your business and take my free legal workshop, Five Steps to Legally Protect and Grow your Online Business at SamVanderWielen.com. And to stay connected and follow along, follow me on Instagram @SamVanderWielen and send me a DM to say hi.

Just remember that although I am a attorney, I am not your attorney, and I am not offering you legal advice in today’s episode. This episode and all of my episodes are informational and educational only. It is not a substitute for seeking out your own advice from your own lawyer. And please keep in mind that I can’t offer you legal advice. I don’t ever offer any legal services, but I think I offer some pretty good information.




  • Read Sam’s Blog for the latest legal tips, podcast episodes & behind the scenes of building her seven-figure business.
  • Listen to our customer stories to see how getting legally legit has helped 1,000s of entrepreneurs grow their own businesses.



  • Kajabi // use Kajabi to sell your course, program, or even build your entire website. Get a 30-day free trial with my link.
  • SamCart // what I use for my checkout pages and payment processing and LOVE. And no, not because it’s my name.
  • ConvertKit // what I use to build my email list, send emails to my list, and create opt-in forms & pages.

DISCLAIMER: Although Sam is an attorney she doesn’t practice law and can’t give you legal advice. All episodes of On Your Terms are educational and informational only. The information discussed here isn’t legal advice and isn’t intended to be. The info you hear here isn’t a substitute for seeking legal advice from your own attorney.

© 2022 Sam Vander Wielen LLC | All Rights Reserved | Any use of this intellectual property owned by Sam Vander Wielen LLC may not be used in connection with the sale or distribution of any content (free or paid, written or verbal), product, and/or service by you without prior written consent from Sam Vander Wielen LLC.

AFFILIATE LINKS: Some of the links we share here may be affiliate links, which means we may make a small financial reward for referring you, without any cost difference to you. You’re not obligated to use these links, but it does help us to share resources. Thank you for supporting our business!

On Your Terms is a production of Nova Media

Join The Conversation

So What Do you think?

Share Your Thoughts

Your email address will not be published. Required fields are marked *

Register for my FREE legal training

5 Steps To Legally Protect & Grow Your Online Business


You May also like