Protecting Your In-Home Business

Many businesses know they need to have business insurance, but if you are just starting out and you have an in-home business, do you know if you are insured. When having a business it is essential to get business insurance so you know your property is insured and you have liability insurance. You will also want to get insurance to protect the building and property that the business is on, this includes home businesses.

Many people with home businesses believe that their homeowner’s policy covers their business insurance. Yes, some homeowner insurance policies do cover some aspects of insuring a home business; it still is not enough protection. Most home insurance policies that cover home businesses are limited to about $2,500 for business equipment and property within the home, and only about $250 of it that is outside of the home. This means that if your computers, fax machines, printers, copiers, or anything for your business is damaged, insurance won’t cover all of it.

For business insurance, it is normally good to have property coverage, and liability coverage. Property coverage is just that, a policy that helps protect your building, property, equipment, and other business possessions from fires, floods, and thefts. Liability coverage means that if you have to owe money to someone for bodily injury, or property damage because of your business, then your insurance will help cover the cost as it is outlined in your policy. Double check before giving the OK on a business insurance policy that both coverage plans are there.

Some insurance companies have a specific type of insurance policy for in-home businesses. These normally put homeowners and business insurance into one policy. This policy should cover liability, loss of income replacement, and homeowner’s coverage for fires, theft, floods, and personal liabilities. Some policies will also cover the business car; certain policies may cover a personal car that is sometimes used for business. Some companies also offer identity restoration and data compromise coverage, which help in the event that someone hacks your system and you or your employees become victims of identity theft. Double check with the company which you plan to get your policy with to make sure they cover what exactly you need covered.

You may also want to consider getting health and life insurance if the in-home business is your full-time job. Having these insurance policies allows you to have benefits for you and any of your employees. You want to make sure your have these policies because anything can happen and you want to have the best insurance possible just in case.

Starting a business can be new and exciting, even if you have had the business for a while; it is still fun and interesting. You want to make sure you, your business, your employees, and of course your home is covered by your insurance policy. That may mean you have separate home insurance and business insurance, but you just want to have the best protection possible.

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