Wasn't planning on getting licensed right now. Maybe in the future. Just trying this out right now and seeing where it goes. Again this is a side business and not a sole means of income. I just want it to be as legitimate as it needs to be.
If something goes wrong and you are sued without insurance, are you
judgement proof? Or do you have a bank account, or investments, or own real estate or a vehicle? If you have non-exempt assets, those might be lost.
I'm not licensed but i have an insurance quote for $2 mill worth of coverage for $800 down and $100 a month. I understand things can happen but i don't plan on taking any jobs that could possibly cause that much damage. I'm a firm believer in better to have it and not need it than to need and not have but I'm just questioning whether I need that much or any at all for what I'm going to be doing. I do have an established LLC to protect my personal interests if that makes any difference.
Bear in mind that a benefit of liability insurance is not only that it will pay for damage or injuries for which you are responsible, it also will pay the attorney fees to defend you against a claim, including frivolous claims.
While you may not foresee potential damages of any large amount, consider the possibility that some fool walks toward you while you are working, and a wood chip flies and blinds them in one eye. Unlikely? Yes. Possible? I worry about unlikely but possible events. How much is an eye worth?
You have the LLC to protect your personal assets, but would it be effective, or would a court allow a plaintiff to
pierce the corporate veil and hold you personally liable? If you would be unlicensed and without insurance or substantial corporate assets there may be two strikes against you. Lots of people lack the discipline to keep personal and LLC assets separate and to keep proper records, which can make the protections of the LLC worthless.
You seem to be in a tough spot. The cost you were quoted for insurance may be more than your income would be from this work. Cutting back to $1M would probably save something, but perhaps not much.