Is Your Home-Based Business Properly Insured?
Many small business owners operate from home and assume their homeowners insurance will protect their business. Unfortunately, that is often not the case.
Whether you’re a consultant, online retailer, accountant, designer, or contractor, running a business from home comes with many of the same risks as operating from a commercial location.
Five Risks Every Home-Based Business Owner Should Consider
1. Lawsuits
If a client slips on your property, a customer claims your product caused damage, or someone alleges you breached a contract, you could face a costly lawsuit. Most homeowners policies do not provide coverage for business liability claims.
2. Damage to Business Property
Computers, equipment, inventory, and business records can all be damaged by fire, theft, storms, or other losses. Many homeownerspolicies provide little or no coverage for business property.
3. Loss of Income
What happens if a fire, flood, or power outage forces you to stop operating for weeks? Business Income Coverage can help replace lost revenue and keep your business afloat after a covered loss.
4. Employee and Owner Injuries
If you become injured and can’t work, your business income may stop immediately. If you have employees, Workers’ Compensation coverage may be required by law and can protect both your business and your workers.
5. Cyber Attacks
Even small businesses are targets for hackers. A data breach involving customer information can lead to significant expenses, legal costs, and loss of client trust. Cyber Liability Insurance can help protect your business from these growing threats.
The Bottom Line
Operating your business from home can save money and offer flexibility, but it doesn’t eliminate risk. In fact, many home-based businesses have insurance gaps they don’t discover until after a claim occurs.
At Brewster Allen Wichert Insurance, we help home-based business owners identify those gaps and find affordable solutions to protect their livelihood.
Need a business insurance review? Contact our office today to discuss coverage options such as General Liability, Business Owners Policies (BOP), Cyber Liability, Business Income Coverage, Workers’ Compensation, and Professional Liability Insurance.
