Do Graphic Design Firms Need Insurance?

graphic-designer

Did you know that there are about 254,100 graphic designer positions in the US? About 19% of graphic designers are self-employed.

Graphic design firms and self-employed designers both need to understand their risks and manage them. Getting the right insurance can be the first step toward protecting your graphic design company. So, the answer is "yes," graphic design firms should consider insurance just like any other business.

With all the options available to you, it can be hard to figure out which insurance is right for you. That's why we are here. Keep on reading to find out what type of insurance your graphic design firm should consider.

Why Should Graphic Design Firms Consider Insurance?

Insurance could protect your business from unexpected and unforeseen events. These can include events such as fire, vandalism, and theft. Almost every business that has clients coming onto the premises also runs the risk of third-party liability. Legal expenses can end up significantly impacting your bottom line.

Types of Insurance to Consider

There are many different types of insurance to consider, such as general liability insurance and cyber insurance. Each policy covers a different set of circumstances and risks. Understanding more about them can help you decide what's important for your business needs.

1) Business Owners Policy

Graphic design companies have the same risks as any other small business, which makes Business Owners Policy insurance important. This typically includes general liability insurance, property insurance, and cyber insurance. Getting the right coverage can give you peace of mind that your business could be protected when the unexpected happens.

General Liability

As a graphic design firm, you can have customers that can get injured on your property. If they get hurt or your employees damage client property, you can get sued.

You might have to cover the medical expenses, the cost of the damaged property, and legal expenses. This can be quite a significant expense and insurance can provide some level of comfort.

You may also be covered if you work off-site and damage property. Depending on the type of coverage and the extent of the damage, you may be covered for the repair or replacement of that property. Make sure to check the terms and conditions of your policy to ensure what is covered and what isn't.

Property

Property insurance may cover:

  • Broken or stolen tools, and
  • Equipment damaged due to unforeseen circumstances like a fire, vandalism, or theft.

This type of coverage usually includes your physical assets like equipment, fixtures, inventory, and furniture. You may be covered for the repair or replacement of damaged or stolen property.

For a graphic design firm, your computer equipment is essential to your business. A fire, vandalism, or theft can disrupt your business and lead to a loss of revenue. In these circumstances, property insurance may cover the replacement of that equipment, helping you get back to business as usual.

Cyber

Cyber-attacks on small businesses are the reality of today's business environment. The number one cybercrime is imposter crime, with 1 in 5 people reporting financial losses. Cyber-attacks are becoming more targeted and security processes need to keep evolving to help protect themselves.

The most common types of cyber-attacks include phishing emails, compromised or stolen devices, and credential theft. The cost of a cyber-attack includes lost data, revenue loss from system downtime, and legal expenses. The financial and reputational damage from data breaches can last for months or years.

Cyber insurance can be a good way to help protect your business from the costs of a cyber-attack. This type of insurance can cover expenses related to data breaches, including hiring a professional investigator to examine the damage as well as cover the cost of customer notifications.

2) Workers' Compensation Insurance

If you have employees, you may want to obtain Workers' Compensation insurance. It could ensure that your employees may be protected and that you can cover expenses arising out of workplace injuries.

As a graphic design company, you may be wondering why you need Workers' Compensation insurance since your employees are not working with heavy machinery or in difficult conditions. But there is always a chance that the unexpected can happen. Whether it's spilled water on the floor or faulty electric wiring, employees can get injured while working.

Workers' Compensation insurance can cover medical costs if an employee is injured or falls ill because of work conditions, including ambulance rides, emergency room visits, surgeries, and medication. You may also want coverage for ongoing care such as rehabilitation and physical therapy. When workers miss work because of an injury, this type of insurance could also cover missed wages.

3) Home-Based Business Insurance

If you run and operate your business from your home, there are a whole other set of risks you need to worry about. Your home insurance may not cover damage for your home business. That's why you have the option of home-based business insurance.

With HomeHQSM Insurance, you can get protection including liability insurance, property insurance, and inventory insurance. This type of insurance is especially important if you have customers visiting your home office or inventory stored in your home. Where there are unforeseen events like a fire, you don't want your bottom line to be affected by any loss of inventory or equipment.

Get Graphic Design Firms Insurance Today

When it comes to risk management, graphic design firms could have the same liabilities as other companies. Getting insurance can help protect your company from unforeseen events and give you “peace of mind”. Working with an insurance company that knows your business can help you manage risk.

When you work with us, you can get a free no-obligation quote quickly and easily. Whether you work from home or have a commercial office space for your graphic design firm, we could cover risks that are unique to your business. We can help protect your business from the dangers that you face every day.

 

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