Is Your Home Business Properly Insured?
As more small-business owners work from home, there’s a growing need for special insurance to protect visitors against accidental injuries or illness associated with the business function of your home. Following are some things to consider:
Limitations: Many small-business owners are surprised to learn their traditional homeowner policies won’t cover accident and injury claims if visitors are a normal part of the daily business activity. Instead, it’s often necessary to purchase an additional liability insurance policy to protect business visitors, delivery drivers and even couriers conducting business at your property. Without proper protection in place, a simple slip by a delivery driver dropping off business items can turn your profitable home business into a major catastrophe.
Legal Considerations: Another commonly overlooked issue that results in coverage gaps involves zoning, health regulations, statutes and other legal considerations at the state or local level. Any claim arising from a location or business practice outside of the law is typically void, so it is essential to verify that all legal mandates are carefully followed.
Frequently Forgotten: Two of the most frequently forgotten areas of concern for the small-business owner include auto coverage and product liability coverage. Like your homeowner policy, most personal auto policies specifically exclude the business use of a vehicle. Likewise, product liability coverage is an especially important type of policy for those who create, design or manufacture an item – even something as simple as home-baked breads for resale. Protect clients and your assets against accidental injuries or claims by speaking with your agent today.