Firearms Insurance Agent Blog

The Variables That Affect How Much Your Business Pays for General Liability Insurance

General liability insurance is a type of insurance that all small businesses should have, especially if you’re a part of the firearms industry. It’ll protect you in the event of an accident that takes place on your property. You won’t have to worry about shelling out thousands or even millions of dollars for medical bills and other expenses as long as you have the right insurance plan. However, before you obtain a general liability insurance policy, you should educate yourself on the variables that will affect how much you will pay for it. Here are several of the key variables.

The type of business you own

One of the first things that an insurance company will look at when figuring out how much it’ll cost you to get a general liability insurance policy is the type of business that you own. Generally speaking, those businesses in the firearms industry are considered more “high risk” than other businesses, which means you should expect to pay slightly more for an insurance plan.

The size of your physical location

How big is the building that your business operates out of? If it’s on the smaller side, that will influence your general liability insurance rate. You won’t have to pay as much as you would have to if you had a much larger physical property. This is because, in theory, there’s a smaller chance of anyone sustaining an accident when you work out of a smaller property. An insurance company will also usually ask how many employees you have working in your physical location on a given day before providing you with an insurance rate.

The experience that you have in your industry

Is your business just getting off the ground? This might be a big red flag for some insurers. The thought will be that, because you don’t have very much experience in the firearms industry, you could be a bigger risk than another company that has been around for 20 years. By establishing your business and stabilizing your business finances, you can bring your general liability insurance rates way down.

If you are in a firearms related industry and you want to find the lowest general liability insurance rates available to you, Associated Services in Insurance can help you do it. Call us at 816-229-4450 today to learn more about why general liability insurance is so important in the first place.