If you are running your business from home, you should not neglect the risks and insurance protection. Home-based business insurance is often overlooked. Many people who run home-based businesses assume that their home insurance can cover the business activities.

This assumption is not true because houseowner/householder Insurance policy is generally not designed to insure your business. It is also possible that operating a home business without the insurer’s knowledge may void your houseowner policy.

Home-based business owners should ask themselves a few fundamental questions to know what kind of insurance to get.

• What type of home-based business am I operating?
• Do I keep inventory or supplies in my home?
• Do I store customers’ records on my computer or in the cloud?
• Do customers or suppliers come to my home?

   

Here are some types of business insurance to consider.

Public Liability
When home-based business owners allow their customers or suppliers to go to their home, this naturally opens up to potential liability for slips, falls and accident risks. Public liability insurance will cover injuries if clients or suppliers fall and injure themselves while visiting.

Fire & Burglary
This insurance covers your contents from loss and damage to your business-related assets, inventory or supplies kept in your home due to fire and/or burglary.

Cyber Liability
This insurance covers the cost to recover from a data breach or cyber-attacks. It also covers legal claims.

Professional Indemnity
If your home-based business provide services like accounting or auditing, then you will need a Professional Indemnity insurance. This insurance protects you if your customer claims to have suffered damages and financial loss due to your professional negligence.

To ensure you have the right insurance for your home-based business, it is important to get advice from an insurance provider.

ibizcover.com provides information on a number of business insurance packages and options for your business. To learn more, go to the products pages at www.ibizcover.com.

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