The dietary supplements industry is massive, and there are plenty of aspiring supplement creators wanting to leave their mark. But as with any business, it’s important to think ahead and ensure you’re protecting yourself at every turn. For example, does your dietary supplement business have insurance? If not, here are four reasons to have insurance when creating a dietary supplement.
1. Insurance Can Protect You Against Product Liability Lawsuits
While no one creates a dietary supplement with the goal of harming their customer base, the potential for such an event to occur does exist. Having business insurance will help you cover the costs and damages should you find yourself on the receiving end of a product liability lawsuit.
2. You’re Covered If Your Employees Become Ill or Injured
As a business owner, it’s your responsibility to make sure that your employees are properly covered so they have the support they need should something happen to them on the job. Workers’ compensation is mandatory in most states, and it pays out if a worker has an accident in the workplace, if they become ill as a result of exposure to certain compounds, or if they face a similar incident. It helps them manage healthcare costs, lost wages, and other costs related to their illness or injury. If you don’t have workers’ compensation, you could end up dealing with much worse than fines and lawsuits. Some businesses may be subject to criminal charges or even a full shutdown.
3. Your Property and Other Assets Will Be Protected
Accidents happen all the time in businesses. Protecting your equipment and your property will make sure that you’re prepared in the event that you’re faced with major disasters like fires or floods. If you don’t currently have property insurance, you don’t want to risk going without it. The only thing to note is that you should always assess the cost of your business supplies and property each year when it comes time to renew your insurance. If your property depreciates over time, as it often does, you can avoid overpaying for business insurance.
4. Insurance May Help You Fight Other Unforeseen Lawsuits and Developments
Business insurance is a relatively broad term, and there are many other ways having business insurance can help you protect your dietary supplement company. For example, do you operate primarily online? If you do, purchasing a cyber liability coverage policy will help you curb financial losses due to data breaches and cyber attacks. Are you worried about potential defamation suits? Business insurance can protect you against those types of lawsuits as well. No matter what it is you might want coverage for, there’s a policy out there built around your needs.
Running a dietary supplement business naturally comes with some risk, so it’s important that you have the right coverage to deal with said risk. No matter what type of unforeseen event occurs, you will be glad you had business insurance to help bear the brunt of the unexpected costs. Make sure to invest in business insurance for your dietary supplement business to support yourself in all the possible scenarios listed here.