What type of insurance must applicants provide for licensing?

The requirement for applicants to provide general liability insurance for licensing is crucial because this type of insurance protects the business against claims related to bodily injury and property damage that can occur as a result of the services provided. In the context of professional services, including security and protection, general liability insurance ensures that the business has the financial resources to address potential legal claims, which can help maintain trust and credibility in the marketplace.

This type of insurance not only demonstrates to regulatory bodies that the applicant is serious about managing risks associated with their operations but also serves as a safeguard for both the business and its clients. It identifies that the applicant is prepared to handle incidents that may arise during the provision of their services, showing responsibility and professionalism essential for acquiring a licensing status in the security industry.

While health insurance, property insurance, and workers' compensation insurance are important forms of coverage for different reasons, they do not specifically fulfill the licensing requirement for general liability in the context of security services, which focuses on interactions with third parties and the protection against claims that might arise from these activities.