A common though trend among millennials is the idea that "it will never happen to me". There is a belief that since nothing has happened so far, there is no chance of it happening in the future. This may seem illogical when read out loud, but it is a very real issue that is leaving many of the young business owners in our country unprepared for what lies ahead. This thought process leads young entrepreneurs to neglect the idea of thoroughly protecting their businesses, and can lead them to settle for cut-rate insurance. As a result, companies in new emerging industries such as cannabis and tech are being crippled and cratered by lawsuits that they are not being properly protected from.
The example I use to explain the illogical nature of this argument is a dark, yet effective analogy: Did you know that they did not install bulletproof doors on airplanes until after 9/11? Since nothing had ever happened prior that would warrant the installation, there seemed to be no evidence of risk. Unfortunately, it took a horrific tragedy for us to realize that this measure was necessary. Was it the fault of the engineers who designed the plane with the original door style? Of course not, it would be preposterous for us to think that they could assume every possible eventuality that could result from their decision. However, we still had to learn the lesson after thousands had been killed or injured. The point of this analogy is to show people that waiting until it is too late to try and protect something can result in a catastrophe that you may not fully recover from. Just because nothing has happened thus far, does not mean that there is no possibility of a loss happening tomorrow.
It is worth it to speak with your broker about how to properly cover your business. With the Cannabis Industry developing, lawyers are beginning to swarm the marketplace with litigious activity. An uncovered claim can result in the end of your business, don't make the mistake of waiting until it is too late to get protected.