Liability insurance isn’t enough to protect your company. You must limit your company risks. What would you do if someone slipped, fell, and sued your company? Nobody wants to think about this situation, but lawsuits happen.
It comes down to this: a person can’t win a lawsuit unless they can prove to and convince a judge and jury that your company was at fault.
Here really are a few examples of the best way to minimize your risk to be sued:
- Warning the public about an unsafe condition or product
- Making a reasonable effort to keep a safe environment for that public and employees
- Refraining from slander and gossip
- Investigating an employee's complaint of civil rights discrimination or sexual harassment
Simply put, to reduce liability risks, you must behave lawfully and demonstrate responsibility for the welfare of others:
- Your clients
- Your customers
- Your competitors
- The general public
Furthermore, you must obey the civil rights laws, sexual harassment laws and any other laws that give rights to your employees. Should you don’t cover your bases, you're establishing your company for failure. However, if you can provide evidence that you took your responsibility seriously making reasonable efforts to prevent harm to others, you're a smaller amount likely to be found liable.
Here really are a few examples of how you can provide evidence:
- Maintain copies of communications together with your clients or employees about risk and safety.
- Maintain records of your efforts to verify that someone you hired was not a risk to others.
- Testimony that you provided warning signs or other warning signals regarding a hazardous condition on your property
- Evidence from other professionals in your field that the choices you made and actions you took were consistent with acceptable professional standards in your industry.
- Records that your equipment was regularly serviced by knowledgeable technicians
Did you notice a common theme here? All of those examples involved some form of written records.
How consistent are you with documenting your efforts to complete things lawfully so that you can prove that you're not liable?
Documentation may be the key. If you don’t want to do it yourself, then hire someone to do it for you. They will pay for themselves if it prevents a lawsuit! Finally, talk for your insurance agent about suggestions they may have to make your company employee and client safe.
If you need a free consultation, reach out to an InsuranceHub agent a call at this time.