Follow the link below for another great article that addresses many of the common and dangerous myths that policyholders believe.  Listed below are some more myths:

 “It’s better to pay small liability claims out-of-pocket rather than report them to the insurance carrier.”

 “Statute does not require me to have workers’ compensation, thus you (a higher tier contractor) can’t require it either.”

 “I pay him with a 1099.  He’s an independent contractor, not an employee.”

 “If a workers’ compensation injury is less than a certain amount, I do not have to report it to the insurance company.”

 “Flood insurance is only for those in ‘flood zones.’”

  More Insurance Lies Clients Believe 

 Source: Chris Boggs, Insurance Journal, August 2009