From the Freelancers Union —
Most freelancers get liability insurance when they want work from a client that requires it. So if you’re in that camp: if you want the gig, you need the insurance.
But it’s also just a good thing to have, especially if you’re in IT consulting, photography, or another field where there’s a high potential for costly mistakes that are out of your control. Liability insurance protects you from bearing the financial burden of a lawsuit or other claim.
For instance, your camera’s SD card stopped working during a wedding shoot? The angry bride will probably take you to small claims court, even though it wasn’t your “fault.” Built a website that gets hacked or breaks down on their biggest sale day of the year? You’re going to be super glad you have liability insurance to protect your business. It could mean the difference between shutting your doors or having an insurer take care of the claim.
In short, if you’re a freelancer with big-ticket projects or a small business owner, you need liability insurance! You’re great, but mistakes happen. Protect yourself….”
Read the full story at Everything freelancers need to know about liability insurance