Creating a Risk Assessment for Your Freelance Business

As a freelancer, you're not just a specialist in your craft—you're also a business owner. Whether you're a designer, consultant, writer, developer, or contractor, the risks you face are real and unique.

That's why building a risk assessment is one of the smartest moves you can make to protect your freelance business.

At Bunker, we've worked with thousands of 1099 contractors, and one thing is clear: Understanding your risks is the first step to protecting your income, reputation, and future.

🔍 What Is a Risk Assessment?

A risk assessment is a formal process of identifying potential hazards to your business, analyzing how likely they are to occur, and evaluating the damage they could cause.

In short, it helps answer the question:

"What could go wrong, and am I protected if it does?"

A solid risk assessment helps you:

• Make smarter insurance decisions 
• Comply with client contracts 
• Avoid costly surprises 
• Sleep better at night 

⚠️ Common Freelance Risks (You Might Be Overlooking)

Every freelance business is different, but here are some risks that show up across industries:

1. Professional Errors

You miss a deadline, deliver work with a mistake, or your client isn't satisfied with the outcome.

📌 Insurance Solution: Professional Liability (Errors & Omissions) Insurance
This covers legal fees, settlements, or damages if you're accused of negligence or subpar work.

2. Property Damage or Injury

You meet a client in person, or visit a job site, and accidentally cause damage or someone gets hurt.

📌 Insurance Solution: General Liability Insurance
This protects you from lawsuits or claims involving third-party bodily injury or property damage.

3. Cyber & Data Risks

You store client files, send sensitive data, or run your business online.

📌 Insurance Solution: Cyber Liability Insurance
Covers you in case of data breaches, hacks, or accidental data loss.

4. Stolen or Damaged Equipment

Your laptop, camera, or tools are essential to your work. What happens if they're lost or stolen?

📌 Insurance Solution: Business Personal Property (BPP) Coverage
Protects the gear you use to run your business.

5. Regulatory or Contractual Non-Compliance

Your client requires a COI (Certificate of Insurance), or state law mandates workers' comp—even if you're solo.

📌 Insurance Solution: Workers' Compensation & COI Services from Bunker
We help freelancers stay compliant and avoid losing gigs due to missing paperwork.

🧠 How to Create a Risk Assessment for Your Freelance Business

Here's a simple 4-step process to get started:

Step 1: Identify Your Assets

Make a list of everything critical to your business:

• Laptop or hardware 
• Client data or intellectual property 
• Your time and deliverables 
• Brand reputation 

Step 2: Spot Potential Threats

Ask:

• What could go wrong during a project? 
• Could someone sue me? 
• Could I lose access to my tools or workspace? 
• Could I violate a client's contract? 

Step 3: Evaluate Impact & Likelihood

Not every risk is equal. Rate each threat by:

• How likely it is to happen 
• How much damage it would cause 

Focus on the high-impact, high-likelihood items first.

Step 4: Get Covered Where It Counts

Once you understand your risks, match them with the right insurance coverage.

At Bunker, we specialize in tailored insurance for independent contractors. You can compare policies, get instant quotes, and generate COIs all in one place.

✅ Bonus Tip: Revisit Your Risk Assessment Often

Your freelance business evolves. So do your risks. Make it a habit to review your risk profile at least once a year—or whenever you take on new types of projects or clients.

💼 Why Bunker?

We've built our entire platform around the needs of 1099s and freelancers. That means:

• 📄 Instant Certificates of Insurance (COIs) 
• 💰 Affordable monthly or annual coverage 
• ✅ Compliance with client contracts 
• 🔐 Policies backed by A-rated carriers 

🎯 Final Thought: Don't Let Risk Catch You Off Guard

As a freelancer, you don't have a legal team or HR department to fall back on. That's why proactively assessing and managing your risks is essential.

At Bunker, we make it easy to protect your business—so you can focus on growing it.

👉 Ready to assess and insure your freelance risks?
Contact us at support@buildbunker.com or start at buildbunker.com