Home Based Business Insurance

According to the National Bureau of Labor Statistics, 3 out of 10 homeowners operate a business out of their homes. More than 66% of the estimated 20.7 million people who work at home are self employed and run a home-based business. It’s estimated that more than half of home-based business owners are underinsured and the Independent Insurance Agents of America (IIAA) say nearly 40% of those they surveyed are uninsured primarily because they thought their homeowners policy covered their business.

However, a typical homeowners policy usually only covers damages up to $2,500 on the premises of the home-based business, and $250.00 off the premises. In addition your homeowners policy won’t typically cover liability arising from your home business, for example if a delivery person slips and falls when delivering a package.

Your home based business insurance gives you property and liability coverage:

• Endorsements

  Depending on what type of business you operate, you can usually get an endorsement on your homeowners policy that has higher limits or covers specific perils or risk.

  Some companies have started offering endorsements that include property and limited business liability coverage. Endorsements are typically only available for businesses that generate $5,000 or less in annual receipts.

• In Home Business Policy

  The insurance industry has responded to the growing number of home-based businesses by creating "in-home business" insurance policies. For about $200 a year you can insure your business property for $10,000. General liability coverage is included in the policy. A business owner can purchase a $300,000 to $1 million in liability coverage.

  If your business is shut down because of damage to your house, your in-home policy will cover lost income and ongoing expenses such as payroll for up to one year. The policy also provides limited coverage for loss of valuable documents, accounts receivable, off-site business property and use of equipment.

Whether you are seeking a free comparative no-obligation quotation or an in depth assessment of a report on your insurance needs, complete the inquiry form, speak to one of our business & commercial insurance experts
954-742-0550 / 954-742-0550 or request a free call back today.