My 16 Year Old Son Wants To Start A Pet Care Business In Our Neighborhood. Should He (or I) Get Liability Insurance?

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Gene Ivanoff
Licensed Sales Agent, Michigan Insurance & Financial Services, Rochester Hills, MI. 48306
A resounding YES to this question. Even the cuddliest and cutest animals have the potential to do bodily harm. Pets are members of our family and are meant to be enjoyed. The responsibility that comes with owning a business is great for an adult, and is especially so for a 16 year old. Having Liability Insurance would give credibility to your business, protect your assets, and give peace of mind to your customers as well.
Answered on October 13, 2015
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Terry A. McCarthy, CLU, ChFC
President, Insurance Associates Agency Inc., West Chester, OH
Entering business without appropriate liability insurance can result in financial consequences that will dwarf the premium that would be required to have coverage. Just because he is 16 years old will not relieve him of the financial responsibility in the event of an occurrence where someone is injured or property is damaged. I don't buy into the notion that insurance gives a business credibility but I do agree that it is the best single method of protecting assets and the future ability to earn a living. At 16 years old, another issue develops and that is whether or not he meets legal requirements to start or open a business or can entered into contracts. And, because your son is not of a legal age, will his parents or legal guardian be responsible for any losses that occur in the operation of the business? If a case can be made for the inclusion of parents or guardians into a claim or lawsuit, the stakes just went up dramatically. So, insurance is a minimum necessity. One other thought. Insurance carriers may not insure your son because of his age, but they are more likely to concern themselves with the combination of his age and lack of business experience. Many carriers having the best rates have the requirement of at least a few years of experience. While coverage may be available in a specialty insurance marketplace, our best carriers will generally have issues with a 16 year old new business customer first entering and insuring a business. Once again, a parent might be necessary to make the business insurance happen. But back to your question: Absolutely a yes on the need for insurance. Good luck.
Answered on October 15, 2015
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Tom Sheehan
Agency Owner, The Thomas G Sheehan Agency, 27 Glen Road Sandy Hook, CT 06482
I would recommend two things: 1) talk to your Insurance Professional about the specific terms and conditions of your home and auto policies. Some companies may allow very small business type risks as incidental based upon the type of business and the revenue generated. For example, a homeowners liability may cover a small lawn mowing business your son may have cutting a few lawns in the neighborhood, but may not cover an animal boarding operation. Likewise a personal auto policy may not provide any coverage at all for any business activity. 2) talk to your attorney as an additional trusted advisor about the potential legal liability exposures that such a venture may bring. Remember too a very important principal: insurance only provides protection, it does not limit liability.
Answered on October 15, 2015
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Coby Higgins
Licensed Independent Agent, Texas Insurance Alliance, Little Elm, TX
Go check out the business insurance offered by PSI-Pet Sitters Int'l. They offer policies specifically for pet sitters. If their policy allows a minor to purchase it, I would go that route. You may have to purchase it for yourself & list your son as an employee. You may have to be the business owner and 'delegate' all the pet sittings to him.
Answered on November 1, 2015
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