Businesses rely on market research for improving their business potential and customer base through collected data. This is the service market research firms provide. Market research firms use surveys, polls, interviews, and more, for gathering data about a business’s potential market. This includes identifying customers, finding out what customers want, helping them prepare for expanding their business, and improving products and services. While operating a market research firm can be a lucrative profession, it also hosts a number of risks. Ranging from legal liabilities in regards to the work completed and possible errors to general business risks, insurance is vital. Market research firm insurance includes a number of different policies that help cover risk exposures.
Types of Market Research Firm Insurance
Insurance for market research firms protects your business assets and offers coverage from a variety of risks. The following lists the most important types of market research firm insurance policies:
General liability insurance, which includes premises liability, products liability, and completed operations, covers many potential liabilities you’re exposed to. Protect your market research firm from lawsuits as a result of accidents that can occur in your building like a slip or fall, or business decisions that lead to loss on the customer’s end which may be included in completed operations coverage.
Your business property is exposed to a variety of sources of damage, including fire, flood, or damage from extreme weather or natural disasters. Not only can this destroy your building but the contents as well. Since the building your marketing research firm is located in has a good amount of electrical equipment, it puts you at greater risk of fire due to overheated electronics or a flood making the situation worse. Protect your business from damage and loss by getting property insurance.
Errors and omissions insurance, most commonly referred to as professional liability insurance, protects your company from errors or mistakes made during normal business operations. If while doing market research you misrepresent a product, make an error in wording, make false claims, you can be held accountable. Professional liability insurance will protect business decisions that led to a lawsuit and keep you from going into financial ruin over the mistake.
Market Research Firm Crime Insurance
While you aren’t a retail business that is at risk of shoplifting, you do run the risk of dishonest employee acts like theft or embezzlement. Employees in charge of accounting or bookkeeping have access to your bank account and funds which raises your risk of theft even if you ran a background check on them. Protect these occurrences with a crime insurance policy for your market research firm.
Worker’s compensation is recommended for all businesses, including market research firms. Your employees are at risk of work-related injuries such s repetitive motion injury, or back and shoulder injuries from working at a desk for long periods of time. Protect these and other injuries or illness with worker’s comp. Worker’s compensation insurance not only offers help to your employees by paying for medical care and lost income, but as a business you avoid potential medical claims or liability lawsuits from the injuries.
If you use a vehicle for meeting clients, picking up office supplies, or performing surveys, that vehicle should be covered by business auto insurance. Business auto will cover a variety of things relating to your company vehicle, ranging from theft and vandalism, to damage done to you or the other vehicles involved in an accident, and even medical costs from bodily injury.
Your market research firm is exposed to a wide range of risks, most of which you won’t be able to prevent. However you can be better prepared for them by choosing the right types of business insurance.