Market research firms are primarily engaged in gathering, recording, tabulating and presenting marketing and public opinion data. Whether you are a small firm or a large multilocation corporation, your clients count on you to perform scientifically sound and accurate research and to provide expert analyses of your findings.
Market research firms work with multiple clients and projects every day, requiring skill and attention to detail. Meanwhile, you must protect your business assets and livelihood from a wide variety of risk exposures that can cause you financial harm when you least expect it.
Corporations, nonprofits, political candidates and other entities hire market research firms to provide a wide range of services on their behalf, including the following:
You may also use the data you compile to recommend marketing strategies for your clients.
Whatever services your market research firm specializes in, you are subject to a wide range of potential problems that can occur unexpectedly and threaten your assets. How would the following occurrences impact your ability to operate?
Business insurance helps market research firms protect their assets with coverage for unexpected events. With the help of an independent insurance Trusted Choice® agent, you can determine the coverage you need, including the following:
You might be able to purchase a business owners policy, or BOP. A BOP is a packaged policy designed for small- to medium-sized businesses. It bundles property, liability and business interruption coverage into one convenient, affordable policy. Only certain businesses qualify for a BOP; your Trusted Choice agent can help you determine your eligibility.
The impact of a disappointed client can reach far beyond the loss of that client's future business. Market research professionals might work with a large corporation, a political figure and a government entity all in one day. Each client hires you for your expertise and expects the research you conduct on its behalf to be scientific, accurate and effective. If a client feels that you have made a mistake or oversight that results in a financial loss, you can be sued. If you don’t have appropriate insurance coverage, you must pay for your defense and any judgments against you. Your business and even your personal assets could be at risk.
Professional liability insurance, or errors and omission insurance, helps you pay for lawsuits related to oversights or mistakes you make in delivering your professional services. This type of coverage is not provided by your general liability policy.
Consider the following examples:
If you are sued, your professional liability policy helps you pay for your legal defense and any settlements or court-ordered judgments up to the limits of your policy. Remember, you have to defend yourself, even if a lawsuit is without merit. The costs to defend against any lawsuit can be prohibitive, and your business could be at risk.
Talk to your Trusted Choice insurance agent about your need for professional liability insurance. Your agent can help you find a customized errors and omissions insurance policy that addresses the specific needs of a market research professional.
Besides basic property and liability coverage, you might want to consider the following types of coverage for your market research firm. Your insurance agent can help you determine which types of coverage you need, and which you don’t.
In order to find the best coverage for your business, it is equally important to find the right insurance agent. Market research firms should seek an experienced agent who can work with insurance companies that specialize in coverage for marketing consultants and other similar businesses, like yours.
Together with your agent, you can assess your specific business risks and find the right mix of property, liability and specialty coverage to protect your assets from lawsuits and other claims.