Do you own a home based business in Florida? What about just your primary residence? If so, then it is important to know the types of insurance coverage needed for both. For many business owners, if they have a physical location to their business, they may be required by law to get commercial liability and property insurance. This is usually not the case with small business owners who use their homes as workspaces or offices.
What is home based business insurance?
The term “home based business” is often used to describe a business owners policy that offers protection for home-based businesses. Protection includes liability, property and medical coverage. Home based business can be classified as sole proprietorships, partnerships, limited liability companies (LLCs) or corporations. A homeowner’s insurance policy may not protect a home-based business if the owner does not have at least one personal residence on the premises in addition to the commercial space.
A small business owners policies can be customized to offer more protection for home-based business owners by increasing deductibles and adding specific coverages such as: Business Income with Extra Expense Clause; Loss of Use due to Breach of Contract; and Additional Living Expenses.
Why do I need it?
Home-based businesses are on the rise. According to Forbes, self-employment is at a 15 year high with over 48 million Americans working for themselves in 2015. The U.S Bureau of Labor Statistics reports that this number will continue to grow as more people choose the entrepreneurial life. But if you’re thinking about opening your own business and want to be able to protect it from financial loss and liability, then you need business insurance!
How much does it cost?
Every business owner knows how important it is to always have the proper business insurance. The costs vary from company to company and depend on a lot of factors such as location, type of business, number of employees and more. The cost for home-based will be lower than the cost for larger offices, but you may still need higher limits because your inventory can’t be insured by your landlord’s policy. For example, if you sell jewelry at craft fairs or online, you’ll need enough coverage so that if someone steals all your inventory in one day, they won’t bankrupt you financially.
If you would to like to discuss your options for home-based business please call us at 561-732-9305 our quoting hours are Monday through Friday from 8:30 AM to 5:00 PM. In addition, you can request a quote online. Please remember, We Handle All the Work, While You Save!
Robert Macoviak is the President of Oyer, Macoviak and Associates. Oyer, Macoviak and Associates is the oldest independent insurance agency in Boynton Beach and has been in business since 1953. Oyer, Macoviak and Associates are vested members of the community who are committed to doing business face-to-face and being your insurance advocate in times of need.