« Business Insurance
Working from a home office or doing business from
your home can be a great way to earn extra income and has a number
of intangible benefits: less stress, no commute, time with the kids,
etcetera. But it is important to remember that the home business
is just that a business. It needs to be insured like any
Is my in-home business covered under my homeowners
Not sufficiently. Many homeowners policies provide
only a limited amount of coverage for business-related exposures.
Depending on your policy, your homeowners insurance may cover your
business, but probably only to a maximum of $2,500 for business
equipment in the home and $250 for equipment away from the premises.
A stolen business credit card, a power surge causing the loss of
important computer data and a lawsuit over a business-related matter
are not covered.
How can I get the most appropriate coverage
for my home business?
There are three ways. First, you may be able to
add a home business endorsement to your existing homeowners policy.
Coverage generally includes business property coverage; business
liability, including product, personal injury and advertising liability;
loss of business income protection; valuable papers coverage; and
Second, you can purchase several individual business
insurance policies to provide the various coverages you need, such
as business property, general liability and business income insurance.
Third, you can purchase a businessowners package
policy designed for smaller businesses, which combines the necessary
property and liability insurance coverages you need in a single
I run a day-care service in my home. Does my
homeowners liability insurance extend to my business?
No. Care providers must purchase liability insurance
specifically for their business. You can, at anytime, be held liable
for injuries that are proven to be the result of events that occurred
while the child was in your care. An occurrence policy will cover
you at any time in the future should you be held liable for a child's
injury. You also may get coverage for children's injuries that do
not fall under liability. Accidental/medical insurance will cover
injuries that are not due to negligence on the part of the provider.
What other types of insurance should I consider
for my business?
If you use an automobile for your business activities,
be sure that your automobile insurance will protect you from accidents
which may occur on business-related errands. You may need to purchase
a separate business auto insurance policy depending on your type
of business and the kind of vehicle you own.
You'll also need health insurance to cover medical
costs if you become ill or injured, and disability insurance in
case you become unable to work because of sickness or injury. Also,
you may want to consider a small group insurance program if you
If you hire an employee, you may need to buy workers'
compensation insurance in the event that the employee is hurt on
the job and needs medical treatment and income. Under certain state-specific
circumstances, workers' compensation insurance also may extend coverage
to you in case you are injured at work.
Be sure that your in-home business is properly
and adequately insured. Our agency can help you get the most appropriate
coverage for your home business.
Any other questions? We'll be glad to help. Call