Why Creatives Shouldn’t Ignore Insurance Audits
If you're in the
business of writing lyrics or building music income, an insurance audit
probably isn’t the first thing on your mind. But skipping it could leave your
finances and your creative work wide open to loss.
An audit helps you:
- Find missing protection for your
intellectual property
- Avoid paying for things you don’t need
- Realign your policies with your income
streams (like royalties or licensing deals)
What Exactly Is an Insurance Audit?
An insurance audit is
a thorough review of the policies you already have—or should have. It looks at
your:
- IP protection
- Royalty coverage
- Liability risks
- Business structure compatibility (LLC or
Sole Proprietor)
Think of it like a check-up
for your creative business. If you’re writing, licensing, or performing
your own lyrics, you’re running a real operation. That operation deserves
insurance that works.
Benefits for Lyricists and Creators
1. Spot IP Coverage
Gaps
Your lyrics are your
property. Without proper copyright protection or royalty coverage, you’re
exposed to theft, plagiarism, or contract disputes.
2. Save Real Money
Many lyricists are
sold generic plans. An audit helps cut down on unnecessary extras and lets you invest
smarter in protection that matters.
3. Strategic
Business Growth
Planning to expand
your music on Spotify or license to a film studio? Your insurance should grow
with your income. Use the audit to prep for your next leap.
Related: These Lyricists Earn Passive Income on Spotify
4. Tax Clarity
Some insurance
expenses are tax-deductible. An audit helps you understand what
counts—especially if you're running as a sole proprietor or LLC.
See also: LLC or Sole Proprietor? Best Business Setup for Lyricists
Your Creative Audit Checklist
Before calling any
insurance advisor, prepare this quick list:
- Do I have any form of copyright or IP
insurance?
- Am I earning royalties that aren’t
covered?
- Do I operate under an LLC or as a
freelancer?
- Is my liability policy up to date?
- What would happen if someone claimed I
copied their work?
More reading: Lyric Theft Insurance – Is It Worth It?
Where to Go for Help
Platforms like Hiscox and Thimble cater to freelancers
and creatives. Meanwhile, music-rights groups like Songtrust or ASCAP provide royalty guidance
and may refer you to insurance options suited for lyricists.
Upgrade Your Strategy, Not Just Your Rhymes
You wouldn’t release a
song without editing your lyrics—so don’t run a creative business without
reviewing your coverage.
An insurance audit
isn’t just a safety net—it’s a growth tool. It helps smart lyricists
protect income, grow with confidence, and avoid costly mistakes.
.png)
0 Comments
Please don't enter any spam link in the comment box