Home Business Insurance

More than half (58%) of the nation's 11 million home businesses don't have the insurance they need — and one out of 10 of these businesses report a loss — according to the Independent Insurance Agents & Brokers of America (IIABA).

If you operate a business out of your home, your Homeowners and Personal Auto insurance will not cover you. In fact, running a home-based business without the proper coverage could result in cancellation of your Homeowners insurance.

However, a Home Business Insurance policy can protect your income, providing security and peace of mind while you grow your business.

Home Business Insurance Coverages

The coverages under Home Business insurance are similar to those of a Small Business Insurance policy.

Property Coverage

Includes coverage for losses from covered perils to your building and premises, business personal property and contents (furniture, fax machines, computers, software, business stock, etc.), and valuable papers and records (print or electronic). You'll also have coverage against losses from crime, and for income lost when your business can't operate at full strength (Business Interruption/Extra Expense).

Liability

Covers damages to your business for losses to third parties from:

Bodily Injury — people injured on your premises or by a product you manufacture or sell.

Personal Injury — violations of privacy, false imprisonment, wrongful eviction, etc.

Advertising Injury — for losses due to alleged slander, libel, or copyright infringement by your or your employees.

Optional Home Business Insurance Coverages

For an extra premium, you can beef up your Home based Business insurance policy by adding:

Umbrella Liability — protects your business against the costs of catastrophic lawsuits. Errors & Omissions — covers liability based on your professional activities.

Home Business Insurance Premiums

Your type of business will be the main factor in setting your premium. Home Business insurance tends to be the least expensive Small Business Insurance policy because these operations seldom have walk-in and client traffic (many municipalities will only grant you a residential business license if you promise not to allow any walk-in traffic). What's more, your insurance premiums are usually tax-deductible as a business expense.
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Top Ten Signs You're Taking Your Job Too Seriously

10. You use the term “value-added” without falling down laughing.

9. You believe you never have any problems in your life, just “issues" and “improvement opportunities.”

8. You calculate your own personal cost of capital.

7. You explain to your bank manager you prefer to think of yourself as “highly leveraged” as opposed to “in debt.”

6. You give constructive feedback to your dog.

5. You can explain to somebody the difference between “re-engineering,” “down-sizing,” “right-sizing,” and “firing people.”

4. You actually believe your explanation of number 5.

3. Your “deliverable” for Sunday evening is clean laundry and paid bills.

2. You refer to your previous life as “my sunk cost.”

1. You start to feel sorry for Dilbert's boss.

Resources

Federal Trade Commission
Internal Revenue Service
United States Small Business Administration