Although working as a freelancer allows you to have a great deal of freedom in your professional life, it doesn’t eliminate all the concerns that come with being a business owner. When you have an employer, they will assume most of the financial risks associated with running a company. However, if you freelance, you are responsible for anything that goes wrong. This is why it’s just as important for freelancers to invest in business insurance as it is for any established organization. Below are some of the reasons you need to make sure you’re adequately covered.
Why Business Insurance Is Important for Freelancers
Protect Yourself Against Liability Claims
General liability insurance will protect you in the event you’re sued after someone is injured on your property. This is a potential threat if you ever receive business deliveries or have clients come to your residence. Coverage will pay for your legal fees and any judgment awarded to the injured party. A standard homeowners insurance policy won’t typically cover incidents related to a home business. Additionally, freelancers should consider professional liability coverage. This type of business insurance will protect you from claims asserting you made an error in your professional services or advice.
Protect Your Business Property
Property insurance will cover the loss of your business property and equipment. As a freelancer, it’s likely you rely on certain items to get your job done each day, and if any them were stolen or become damaged, you could lose a great deal of income. Without coverage, you would be responsible for repairing or replacing these things out of pocket. Again, your homeowners insurance may cover the contents of your home, but it may not extend to the equipment you use for work.
With the proper freelance business insurance, you can avoid significant financial burden. The agents at MP Davis Insurance Agency will help you compare policies for your needs. They understand there is no one-size-fits-all solution and will take the time to understand the risks specific to your industry to determine which type of coverage will best protect your professional and personal assets. Call (336) 498-7606 to explore your options, or visit them online to learn more about the variety of products they offer entrepreneurs in the Piedmont Triad area of North Carolina.