Hello and welcome! If you have any other questions, please let me know or please click Accept.
This is an unfortunate situation.
They can ask you if you filed bankruptcy but you can call back and make sure they understand that it was a personal bankruptcy and not a business bankruptcy, but please understand that they probably were asking about personal as well as business bankruptcy because for small businesses, your personal bankruptcy is what usually happens as few small businesses actually file business bankruptcy.
Thus, if you were having financial difficulties, you could just close your business and file personal bankruptcy and that would eliminate your liability on your debts, both business and personal.
So at this point, you will have to disclose that you filed bankruptcy when asked or you risk them canceling you at any time and backdating the cancellation if they find it in an audit and bankruptcy is public record.
My best advice is to try to go back to your old insurance company and see if they will take you back
Please press Accept.
And if they (the old insurance carrier) refuse to take me back?? Is there any carriers out there that could help me"?..my business is working with high end clients and it is important I have liability insurance.
If they refuse to take you back, you just have to try every single carrier out there as each carrier has different requirements, but to make things easier, make sure to tell them that you have had a bankruptcy at the start.
You may have to pay more but at least you'll have insurance.
You're welcome and good luck!
DISCLAIMER: Answers from Experts on JustAnswer are not substitutes for the advice of an attorney. JustAnswer is a public forum and questions and responses are not private or confidential or protected by the attorney-client privilege. The Expert above is not your attorney, and the response above is not legal advice. You should not read this response to propose specific action or address specific circumstances, but only to give you a sense of general principles of law that might affect the situation you describe. Application of these general principles to particular circumstances must be done by a lawyer who has spoken with you in confidence, learned all relevant information, and explored various options. Before acting on these general principles, you should hire a lawyer licensed to practice law in the jurisdiction to which your question pertains.
The responses above are from individual Experts, not JustAnswer. The site and services are provided “as is”. To view the verified credential of an Expert, click on the “Verified” symbol in the Expert’s profile. This site is not for emergency questions which should be directed immediately by telephone or in-person to qualified professionals. Please carefully read the Terms of Service (last updated February 8, 2012).