With the pandemic, we are seeing a rise in home-based businesses across the country. However, may feel that home-based businesses carry a lot of risks as it does not the benefits that of an office, like insurance coverages. However, you will be surprised to know about Home-based business Insurance, yes, an insurance policy tailor-made for businesses operating out of homes!
Understanding Home-based Business Insurance
Most home-based businesses are run by entrepreneurs from their homes. There is quite a misconception that homeowner insurance coverage extends to their business as well.
But that’s not the case. While homeowners’ insurance coverage is availed to protect your home, it does not insure any parts of your business. This is why you need to avail yourself of additional business insurance to protect your business.
The homeowners’ insurance plan that you have availed of will most likely not protect your business properties like:
- Professional equipment
- Data and files
So self-employed entrepreneurs must seriously consider home-based business insurance to safeguard and protect their business assets. Also, budding entrepreneurs must be careful that they don’t carry out any business activities without the knowledge of the homeowner. This can lead to the nullification of the personal liability coverage of the homeowner which can put both your residents and business at great risk.
Business insurance is very important for the growth of the business and reduce potential risks that may or may not come up. It will help you pay the cost of any legal claims made against your insured business. Without insurance, the costs of the claims will rest on the company which may affect the future performance of the business.
Need for Home-Based Business Insurance
Here are a few questions that can get an answer to it
- Do you keep any supplies or inventory in your home or do you keep them at offsite job locations?
- Do your clients or customers come to your home for business-related reasons?
- Would your income will be affected drastically if you had to close your business because of damage to your residents?
- Do you maintain a list of client or customers and their records on your computer?
If the answer to any of these answers is a ‘Yes’ then your seriously need to reconsider your present insurance coverage. You can contact the RH insurance agency and our team will be available at all times to help you choose the best plan for your business.
Types of Home-based Business insurance plans
We at RH Insurance agency can customize your insurance coverage and offer reduced rates depending on a variety of factors and the type of business you are doing. We provide both general liability insurance and professional liability insurance.
Let’s have a detailed look at the type of insurance plans that are available for a home-based business.
General Liability Insurance for home-based businesses
This is a very important coverage plan due to many reasons. The home-based business insurance plan protects the insurer from any claims made due to injury to a third party.
A general liability insurance policy on the other hand protects the insurer against claims of personal injury, like slander and libel claims. This policy also protects the insurer against any damage to other people’s spaces that have been rented to them. That can be a temporary office, a training area or a conference facility.
Since the business is home-based, the number of visitors you have is likely to be low, which also means lower risks for accidents. This can help us to consider lowering the insurer’s premiums in general liability.
Professional Liability Insurance for home-based businesses
Professional liability insurance is also an important part of home-based business insurance. This insurance coverage helps the insurer in case his business is sued due to any negligence. This policy will cover the insurer whether or not he has made any mistake. A lawyer will also be appointed by us and the legal fees will be covered till the policy limit is reached.
The home-based business insurance can be customized according to some specific business needs. For example, an amount of $200,000 will be added to all policies for IT workers for software copyright infringement. This is a huge relief for IT people who work from home, ensuring them protection against the common risks.
Business Owner’s Insurance for home-based businesses
Business owner’s insurance is an insurance plan that combines the general liability plan with the protection of the insurer’s business equipment like copiers, printers, computers, office furniture, etc. this can protect the business owner from a lot of risks that come from nature of the business as well as the risks associated with some of the infrastructures that are used for running the business.
Let us help you choose the best!
We at RH insurance can help you choose the best insurance plan for you depending on your business and its nature. We are an agency that has 20 different insurance companies under one umbrella, thus gets rid of the headache of comparing quotes.
Our team is committed to finding the best protection plan for your business. The insurance companies that we represent have a history of providing the best service to protect commercial assets.
We are a trustable insurance agency that provides the right insurance coverage, an insurance agent that understands the customer’s needs and guide them for a better future. We aim to earn your trust through quality service, a good reputation, and our experience of more than 20 years.