Many small home-based businesses are very viable, profitable businesses. But unfortunately, many home based businesses are either not insured or are not appropriately insured. Homeowners insurance will not cover a loss to your home-based business.
Business insurance is your protection when something goes wrong, whether in the form of a law suit, loss, or slip and fall. There are lots of insurance policy choices and different coverage options to protect you and your business. Here are some options that home-based consultants should obtain.
Incidental Business Endorsement
An Incidental Business Endorsement is an extension of business insurance coverage that can be attached to your homeowner’s policy. This usually covers replacement costs for equipment and designated office. It can also include general business liability coverage.
Professional Liability Coverage
Home based business consultants should take out Professional Liability coverage, otherwise known as Errors and Omissions (EO) insurance. For businesses that provide services, this type of insurance protects you and your business against claims by clients regarding your work performance.
Home and Business Owners Combination Policy
You may be able to purchase a combined policy that specifically covers both your home and your business in a single, comprehensive policy. These types of combo policies were developed specifically to address home-based business owners. This type of coverage usually provide general business coverage (including liability and the replacement of lost income), along with typical homeowners coverage (for theft and fire). It should cover incidents that occur at or away from the home office.
Contact TriState Business Insurance for information and options for your home based business.