The private investigation industry carries with it an ever-increasing risk of litigation, similar to the law enforcement and security industry. This is particularly true today with the increased focus on civil liberties, privacy, and profiling. Given this tense and turbulent ecosystem, private investigator insurance is one of the few protections you can still count on.
What if you neglect to provide crucial details to a corporate client, and this mistake results in a harmful business decision? Finally, what if you end up breaking up a fight at a gathering you are working at, and one of the parties gets hurt?
These situations could result in significant financial strain, take a toll on your reputation, and ultimately lead to closure in business. That's why you want to stay proactive by investing in private detective insurance.
Right out of the gate, it is important to note that private investigators aren't required to carry liability insurance. This means that operating without one holds an even higher risk. If your business were to be sued, you could face legal fees totaling hundreds of thousands or more.
As such, you want to start by investing in comprehensive general liability insurance. Let's examine some real-life situations where private investigator liability insurance might come in handy.
Suppose a client takes a meeting at your office but slips and falls on a pool in your entryway and breaks her wrist. With the general liability policy, the cost of treating her injuries will be sufficiently covered. Further, suppose you accidentally pour coffee on pictures presented during the initial review with a client suspecting their spouse of cheating. Finally, what if a competing private detective accuses you of speaking badly about him or their business?
In all these situations, your general liability policy will be able to cover all the arising costs, thus saving you from the financial headache of paying out-of-pocket. General liability insurance covers:
Legal defense and judgment
Personal and advertising injury
To get a discount, consider purchasing a business owner's policy (BOP) rather than a standalone general liability policy. The BOP acts as a comprehensive solution that includes multiple forms of coverage, such as business interruption and property insurance.
While general liability insurance is the most important type of insurance you ought to get for your private investigator business, there are several other forms of coverage that you ought to be aware of. The first is professional liability insurance for private investigators.
By virtue of what private investigations entail, you are likely going to be involved in a great deal of research or developing data that are to be used by others in making significant decisions.
Suppose you do an inadequate job of researching the given situation or you provide information that results in a poor decision by a client. Moreover, what if you neglect to provide critical information that results in a client's choice of a contractor who doesn't deliver quality work?
Professional liability insurance is designed to shield you against liability related to your work as a private investigator. It covers all negligence claims due to mistakes or failure to perform. If you were to be sued for any of these, the policy will cover all your legal costs and the cost of a settlement.
Other than general and professional liability insurance, there are additional policies that you must consider.
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The first is commercial auto insurance which covers any automobile that is primarily used for business. You ought to ensure that your commercial auto insurance meets your state's legal requirements. Commercial auto insurance does the following:
Cover the medical treatment of persons you inflicted with injuries or property damage in a vehicular accident
Account for vehicle parts repair or replacement if your auto gets damaged due to fire, theft, collisions, and other covered perils
Cover the medical treatment of the driver and passengers when vehicular accidents happen
Reimburse vehicle rental expenses and public transportation costs
Additionally, consider getting commercial umbrella insurance. This policy picks up where general liability insurance and other liability policies leave off.
Consider this. Suppose you were to lose a major lawsuit filed against your private investigator business, and as a result, you are mandated to pay damages that exceed your general liability limits. Commercial umbrella insurance will meet the remaining costs you would otherwise need to pay yourself.
Further, as a private investigator, you will likely have access to confidential information about your client. Suppose a hacker gains access to the case you are investigating. In this case, you would benefit from having cyber liability insurance coverage. This will cover the costs of legal expenses and for recovering the classified information. This will also pay public relations expenses and lost income as a result of the breach.
Finally, as a private investigator, you want to protect your business and yourself from assault and battery charges with assault and battery coverage. While quite uncommon, you must consider including this policy in your coverage. Often, this policy will only be made available by companies specializing in private investigator liability insurance.
Your work is dangerous, and it’s good to get workers' compensation insurance. This will cover costs if you or your employees experience an accident while working outside or in the office. By having this insurance, you can cover the following:
Rehabilitation and retraining
Funeral expenses and allowance to dependents in case of death
What if your business runs out of your home? Unfortunately, your homeowner's policy cannot cover accidents that occur within your home resulting from your business activities. As such, you want to invest in home-based business insurance, which will cover accidents related to your work as a private investigator that happen within your home.
|Cost per Month||Cost per Year|
|General liability insurance||$44||$528|
|Professional liability insurance||$52||$624|
|Workers compensation insurance||$62||$744|
|Business owner’s policy||$48||$576|
|Cyber liability insurance||$55||$660|
Expect to pay $44 per month or $528 per year for a $1 million general liability insurance policy. Note that this is just an estimate.
The private investigator insurance cost you incur will depend on varying factors about your business. Specifically, your quotes will be calculated based on the information you provide, including the following:
Years of experience
Number of employees
Annual gross revenue
For a better idea of private investigator insurance costs, take a look at this table showing the rates of the recommended companies:
|Cost per Month||Cost per Year||Best for|
|NEXT||$11||$132||Best overall; Fastest general liability insurance for private investigators|
|CoverWallet||$18.41||$220.92||Private investigator insurance online quotes comparison|
|Tivly||$21||$252||Comparing private investigator insurance quotes over the phone|
|Xinsurance||$30||$360||Customizable private investigator insurance|
|El Dorado||$41||$492||Workers' compensation policy for private investigators|
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These are the best private investigator insurance companies. Read to know their pros, cons, and rate for a $1 million general liability insurance.
Get an online proof of insurance and send as a text message, email, or social media post
Fastest general liability insurance for private investigators
Great customer service and reputation
Issues an online proof of insurance instantly
Outstanding value for money
Bundle two or more insurance policies and get a 10% discount
Couldn’t find any
Launched in 2015, NEXT is a go-to for smaller private investigation business owners looking for cheap insurance online. NEXT's standard insurance package for private investigators includes the following:
With NEXT, you can purchase private investigator insurance for as low as $11 per month or $132 annually. This is underwritten by Tivly.
Best for: Best overall; Fastest general liability insurance for private investigators
Average cost: $11 per month
Our rating: 10/10
Compare private investigator insurance quotes online
No hidden charges
Cancel a policy anytime
Not an insurance company but an insurance broker
CoverWallet is an insurance broker that sells private investigator insurance products from different insurance companies, such as Chubb, CNA, and Liberty Mutual. Policies you can get from this company are general liability, cyber liability, workers' compensation, professional liability insurance, and more.
This company’s general liability insurance for private investigators has a $1 million per occurrence limit with a $2 million aggregate. You also enjoy a $100,000 rented premises liability coverage, $2 million products and completed operations coverage, and $5,000 medical payments coverage.
Before getting covered, use CoverWallet’s online quotes comparison platform to see the best offers. You can buy a quote online or with the help of a representative. Once you’re insured, CoverWallet creates an account for you. Use this to pay premiums online, manage policies, or download certificates of insurance.
Best for: Private investigator insurance online quotes comparison
Average cost: $18.41 per month
Our rating: 10/10
Compare private investigator insurance quotes over the phone
Responsive customer service
A partner of many reputable insurance companies
You need to call to get a quote
Tivly (formerly CommercialInsurance.NET) covers a wide range of businesses. Therefore, it might provide coverage even though it doesn’t have a specialized packaged insurance program for private investigators. Call Tivly now to talk with a representative and compare private investigator insurance quotes over the phone.
Best for: Comparing private investigator insurance quotes over the phone
Average cost: $21 per month
Our rating: 10/10
Available in all 50 states
All-in-one approach with private investigator insurance that covers all exposure under one policy
You can purchase customizable liability insurance coverage
Bail coverage is only offered as reimbursement and attracts an extra charge
No modifications to firearm allowed
XINSURANCE, powered by Evolution Insurance Brokers, offers a number of specialty insurance for individuals and businesses alike.
Other than offering private investigators customizable general liability insurance, XINSURANCE also offers specialized policies for private investigators. These coverages can have up to $10 million or $20 million:
Invasion of privacy insurance
Assault and battery insurance
Errors and omissions insurance
Firearms liability and concealed weapon insurance
Commercial auto insurance
Best for: Customizable private investigator insurance
Average cost: $30 per month
Our rating: 7/10
El Dorado has firsthand knowledge of the insurance needs of professional private investigators
Full protection insurance packages ensure you can carry out an investigation without fear of litigation
A special team of private investigators is onboard, which comes in handy when developing the tailored cover for your private investigator business
50 years of experience working with private investigators
El Dorado lacks an extensive agent pool which can make it difficult to gain information on the policy
Since 1968, El Dorado Insurance Agency, Inc. has been offering insurance to hard-to-insure businesses, including private investigator insurance. The insurer has in-depth knowledge of their unique insurance needs as it works exclusively with professionals across the security industry.
This insurer has long-term relationships with some of the nation's most trusted insurance carriers, including First Mercury Insurance and CoverX Specialty. Additionally, El Dorado has a strong relationship with Texas Mutual Insurance company which means that you get a leading workers' compensation policy in the market.
The private investigator insurance offering from El Dorado includes the following:
Employee Practices Liability Insurance, EPLI, that protects your employees in the event of cases of wrongful termination, sexual harassment, discrimination, or retaliation
Umbrella coverage that goes beyond limits that you'd typically find in your average PI insurance. The umbrella policy gives the policyholder additional limits in the event that a claim amount exceeds the total limits of the standard coverage
The private investigator insurance from El Dorado Insurance Agency starts at $41 per month or $492 annually. As a prospective policyholder, you are advised to visit the company's website to utilize the quoting tool and obtain a quote within minutes.
Best for: Workers' compensation policy for private investigators
Average cost: $41 per month
Our rating: 8/10
Lonnie Bell Insuranker
Policy Type: Business Insurance
Company name: Employers Insurance
Use anyone except Employers. Period. They are non-transparent and shameful. After I complained long enough to warrant a call from a supervisor, the supervisor called back from a PRIVATE NUMBER (no caller ID), left a message that they are not reversing their decision (without any communication with me), and failed to leave a phone number for me to call back. She was hiding! They also fact find via email and phone calls, which is terrific for speed and communication. However, after setting a precedence of email or phone calls, they send time sensitive information via email, without any heads up... they are hoping you miss it and forfeit via expiration. Evil policies. Go elsewhere.
This place is an absolute joke of a company and should be ashamed of the way they conduct business. I was hurt on the job at the end of July and it took them just shy of 7 weeks to issue out a paycheck to me. Yes the amount was back dated but still. Not many have the luxury of not receiving a paycheck for almost 2 months. To top it all off, the original adjuster marked me down for the wrong state which caused a problem from the get go, I've had 3 different adjusters now since each one can't seem to figure out the simplicity of my claim. All my paperwork which includes, my job, house, and drs visits all are from the same state and city but yet some how I have been filed under a completely different state 1500 miles away. They do not answer your phone calls or emails no matter how many you leave. I've had to escalate my frustrations to the supervisors of each of these individuals in order to even get some kind of response. I've had more communication and information given to me about my claim from the customer service representatives then the actual adjusters.......... please tell me how that works?! A serious overhaul needs to happen here in order to serve your clients the way they deserve to be taken care of. 10/10 do not recommend this company to a single soul on earth
I have never had the displeasure of working with a more incompetent and disrespectful person in my life. I’m an injured worker and the adjuster that was assigned to my case was named Carrie Furgeson. In the past 6 weeks that I’ve been injured and out of work I have only been able to get ahold of her twice, not for lack of trying. I have left countless voicemails, countless emails, and she ignores them all. When I am finally able to get ahold of her I’m greeted with terrible customer service. She is rude, she talks over me and I’m hardly able to get a word in edgewise. She spelled my name wrong on my documents even after I spelled it for her properly countless times, this caused a whole new issue with my bank. I have bill collectors from the hospital calling me demanding payment and Carrie Furgeson won’t do a single thing to help, or to get them paid. All of my documentation is in Colorado, my job is in Colorado, my address is in Colorado, all my Dr offices and appointments have been in Colorado and Carrie still managed to hold my claim because she wasn’t sure what state she needed to file it under. It’s been 6 weeks since my Injury and my company still hasn’t received the wage paperwork to fill out so they can get me my correct wages. When she’s not ignoring me she’s answering my questions with “I don’t know” well I don’t know how she got this job, because apparently she doesn’t know anything about it. She is a disgusting morose individual inside and out and I genuinely wish her the worst in all of her future endeavors. I highly recommend you don’t use this company. Please if you are a business owner and your looking into this company please don’t use them. I’m sure they have the cheapest payment and that’s why companies use them in the first place, but you will be doing your employees a grave disservice by forcing them to venture into this absolute dumpster fire of a company. I would rate 0/5 if possible but 1 was the lowest I was allowed.
Their general liability insurance purchase process is simply the best online experience I've ever had in my life!
As long as they cover your line of business, you're literally covered! best rates, best coverage, best online experience, best professionals, can't be happier that I chose them!