I looked into it for a medical device I had an idea for. The insurance co wanted 30k per year. Depends a lot on exposure I think, like the insurance coverage for someone who makes a frying pan might be less than someone who makes a spine implant.
In the end if someone wants to come after you and your capital investments, and they have cash to pay a lawyer, you will be in a world of hurt money wise regardless of if you did something wrong or not.
The costs to defend yourself can be crippling. LLCs only protect you so far, and putting things in the wifes name only works in certain states.
In AZ when a doctor is sued for malpractice his wife is sued as well, same goes for business suits. Some guys I know have all of their assets listed in their mothers name, or childrens name as part of a living trust, that seems to be the best way I've seen.
Damn lawyers have made it hard for everyone.
Don't get me started.....
