For many entrepreneurs, the house is their office. Home-based business owners can save money by not renting commercial space. While the savings can help startups grow faster, a standard homeowners insurance policy may not cover these types of operations. Here are a few reasons to get coverage that is specifically designed to protect a home-based firm.

Why Your Home-Based Business Needs Insurance

1. Protects Against Liabilities

If the home-based operation serves customers, a business insurance policy will protect the owner from liabilities. These include a customer who is injured while on the premises. Most plans will pay for their medical expenses and any legal claims.

2. Fills in Loss of Income Gaps

It’s common for home-based entrepreneurs to rely solely on the income generated from their business. Unfortunately, there may come a time when income gaps occur. A business insurance policy can include loss of income coverage to cover those periods. Depending on the plan, there are certain eligibility requirements, including one that says the business owner must rely on the home operation’s income to financially support the household.

3. Provides Additional Vehicle Coverage

Personal vehicles are typically used for home business activities such as client meetings and package deliveries. Standard car insurance may not cover these types of tasks. A business insurance policy that provides specific coverage for vehicles used for business-related duties is essential. It will cover employees, passengers, and other drivers involved in accidents.

4. Covers Office Equipment

From laptops and fax machines to furniture and mobile phones, home-based business owners use a range of office equipment. Business insurance will cover these items if they’re damaged or stolen. Most carriers pick up the tab for the repair and replacement costs.

You’ve worked hard to launch a home-based business. Protect it from unforeseen risks with the proper insurance coverage. Bradford Hegler - State Farm Agent in Villa Rica, GA, is Carroll County’s trusted source for affordable and customized policies. He has more than 25 years of experience helping clients get the best coverage. To learn more about home-based business insurance, call (770) 456-4000. Visit the website for more information on the agency’s list of services.