A new study from the U.S. Chamber of Commerce shows that small businesses paid $105.4B in 2008 for tort costs, with a third of it ( more than $33 BILLION, that is $33,000,000,000 !) out of their own pockets.
According to the report, small businesses paid 81% of business tort liability costs but took in only 22% of revenue.
The study, Tort Liability Costs for Small Businesses, also found that small businesses ($10M or less in annual revenue) paid, collectively, $35.6B of these costs out-of-pocket rather than through insurance.
The study was conducted for the Chamber’s Institute for Legal Reform (ILR) by NERA Economic Consulting.
Paperless Comment: On average, it takes less than 0.1 t0 2% of small business annual gross sales to be properly insured and shift the risk of torts from own shoulders to insurance companies.
On average, it takes less than 1 hour to apply for and receive multiple insurance quotes, sign applications, and pay premiums. Per year. Yes, that’s right, less than 1 hour per year.
What are you still waiting for? Get a quote now! 650-353-5868