You do not have to buy liability insurance from an insurance company. Instead, you can go without liability insurance, self-fund, join a risk retention or risk purchasing group or look for coverage in the surplus lines market.

You should not go without liability insurance without careful consideration. While going without insurance may save you some premium dollars, it also exposes your business assets and perhaps your personal assets to paying for damages should you ever be found liable and to paying legal defense costs even if you are not found liable. Moreover, federal and state law requires certain businesses to have liability insurance as a condition of doing business. If yours is one of these businesses, you must have liability insurance.