Do you make extra money running a home daycare, or by selling on eBay? If you work from home – whether full time or part time – you should take steps to ensure that your business is covered. However, many small business owners overlook Commercial Insurance in Tyler TX; almost 60% of home-based businesses have either insufficient coverage or none at all. Below are listed some of the insurance categories you should consider.
Business Equipment
When purchasing commercial insurance, you should consider the worth of your business assets. Your homeowner’s policy may only cover up to $2500 in property, leaving you responsible for the balance. Commercial coverage can help you replace things lost to theft, fire, vandalism and other causes.
Liability
If someone is injured on your property or while using one of your products, you may face legal action – and businesses creating products such as food or toys are especially vulnerable. Most homeowner’s policies do not cover liability for businesses; you’ll need Commercial Insurance in Tyler TX to be fully protected.
Industry-Specific Risks
There are many types of home businesses, and each has certain risks. For example, professional liability coverage protects consultants who may give misleading or inaccurate advice leading to losses; attorneys and financial advisers can also benefit from this type of coverage.
Insurance for Home Businesses
The type of insurance needed for your small business depends on your situation and your insurer. Your earnings and the nature of your business can affect your need for commercial insurance. There are three options from which to choose:
* Add a rider to your homeowner’s policy – For very small businesses, an endorsement to a homeowner’s policy may be adequate. Some cost $100 or less per year, and protect businesses earning $5000 or less.
* Purchase a home business policy – These commercial insurance policies were created in response to significant growth in home business. Such policies start at $200 per year, and cover liability, income losses and business assets. You can insure your assets for up to $10,000 and get liability coverage up to $1 million.
* Buy a package policy – If you run your home business full time, make a lot of money and host clients, Kit Parkhill Insurance Agency may recommend a BOP, or business owner’s policy. These cover businesses with up to $3 million in yearly sales, and cost up to $1000 per year.
