If I'm an LLC do I need insurance?

Discussion in 'Business Operations' started by TClawn, Dec 3, 2004.

  1. TClawn

    TClawn LawnSite Silver Member
    Posts: 2,036

    being a llc and only doing residentials do I really need insurance? all they can do is take my equipment (at this point). It just seems impractical to have insurance for only 12 accounts.
     
  2. Fvstringpicker

    Fvstringpicker LawnSite Fanatic
    Posts: 7,604

    Yes.......
     
  3. TClawn

    TClawn LawnSite Silver Member
    Posts: 2,036

    Why.........
     
  4. mtdman

    mtdman LawnSite Gold Member
    Posts: 3,137

    You ALWAYS need insurance. Even if you are an LLC, there are ways to pierce that protection offered through an LLC. No matter what, you should ALWAYS operate with insurance.
     
  5. rodfather

    rodfather LawnSite Fanatic
    Posts: 9,501

    Of course you need insurance. What happens if there's an accident?
     
  6. naturescaretaker

    naturescaretaker LawnSite Senior Member
    Posts: 851

    You should not be in business without it.
     
  7. Green-Pro

    Green-Pro LawnSite Bronze Member
    Posts: 1,420

    TClawn,

    Without actually digging into it I would offer this: The protection afforded you by being an LLC is mainly a layer separating your personal property from business owned assets, this protects you from creditors in the, god forbid, event of bankruptcy.

    Insurance offers you personal liability protection: i.e. you are the corporate officer in charge of your LLC (or your wife, or your offspring, etc.), as officer of the LLC you are liable for negligence on the part of the corporation. example, property damage, personal injury, etc. due to negligence.

    Like I said I haven't thoroughly checked this out this is merely my common sense approach to the question you posed. At any rate when I form my LLC I will also carry General Liability ins.

    Just my 2 cents :waving:

    G-P
     
  8. TClawn

    TClawn LawnSite Silver Member
    Posts: 2,036

    thanks Green-pro.
     
  9. tonygreek

    tonygreek LawnSite Gold Member
    Posts: 3,480

    green pro is dead-on. your equipment should be lower on your list of protection as opposed to protecting yourself against sending a rock through a picture window/car/person. the "limited liability" in "llc" is really something that should be thorougly researched and understood.

    oh, and a general liability policy is pretty inexpensive and it should be bought sooner than later. you may have trouble getting insured if you operate for any length of time without it.

    tony
     
  10. soccerlawn

    soccerlawn LawnSite Senior Member
    Posts: 380

    How much are you guys paying on insurance?
     

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