Working from home can be a great thing, especially when the business you are working for is your own. A home office saves you money on many expenses, including travel expenses such as gas, as well as rent and d many other costs often associated with having your own business at another location. But there is one expense that many business owners who work from home often don’t think about or would ever think they’d need—business insurance.
However, many experts claim that even if you work from and own and operate a home-based business, it would still be a very wise choice to acquire business insurance. Even if you are the only one who ever works in our home office, there are still plenty of unforeseen occurrences that could devastate your business if you don’t have business insurance coverage.
What does business insurance cover?
There are various types of coverage available for a home-based business, much in the same way that you can choose certain levels of car insurance and home or renter’s insurance. But typically, a good business insurance policy will cover a wide range of circumstances, such as theft or damage of property, y accidents that occur in your home business office, and even any accidents that may occur that were seemingly unrelated to the business, such as a mailman delivering a package to your home office who accidentally falls and injures himself on your property.
Business insurance is also important because it isn’t just about a monetary loss you could face if n asset, such as a computer system, is damaged or stolen. It’s also about the potential sales income that could be lost as a result of such an incident. Business insurance ensures that you can quickly be up and running as soon as possible, with funds to purchase your new computer or any other equipment and supplies you might need to keep things running smoothly.
There are three basic types of business insurance:
1. The In-home business insurance policy
This is a good policy covering many contingencies, and might be considered if you also have additional employees. The business insurance will cover theft of items or documents, damaged equipment, theft of cash, and also any injuries sustained by you or your employees when working for the business. It is one of the more popular home insurance policies de to the range of things it covers as well as a reasonable monthly premium.
2. An add-on to your homeowner’s insurance
This type of business insurance is relatively inexpensive and simply expands upon your current homeowner’s or renter’s insurance, serving to cover the business as well. However, coverage in the event of an incident is minimal. It is a good choice if you are the sole employee of the company and you do not have a lot of expensive equipment to worry about.
3. Business Owners Policy
If you think you’d like to ensure that you have a lot of coverage (more than $10,000) should anything unfortunate occur, then you would do well to choose a Business Owners policy. This type of policy provides extensive coverage for a wide range of situations and incidences, and is similar to the type of business insurance retail establishments often utilize.