How Much Liability Insurance Do You Really Need
Cost of Liability Insurance
The cost of liability insurance varies widely based on the type of coverage, amount, and personal factors like credit score and claim history. For example, general liability insurance for small businesses can range from $400 to $600 annually, while personal umbrella policies, which provide additional liability coverage, start at around $150 to $300 per year for $1 million in coverage3.
Real-World Examples and Statistics
A study by the Insurance Information Institute found that the average jury award for personal injury cases is around $1 million4. This highlights the importance of having sufficient liability coverage to protect against significant financial loss.