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Is Business Insurance Legally Required for Small Businesses?

I’m running a small side business. I don’t think I need business insurance, but I’m worried I could get in trouble if I don’t get it. Is business insurance required, or is it optional?

Business insurance is not legally required. However, it may be a required step in getting financing, or in attracting customers. That’s because both banks and customers want to be sure you won’t leave them hanging if things start to go wrong.

Running a business is hard, unpredictable, and potentially very expensive. Think of business insurance as backup. It takes the pressure off you. It helps you take the risks you need to take to grow your business.

It takes a lot of guts and gumption to start a business. Whether or not you decide you need business insurance, good luck!

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