Does my homeowner’s insurance coverage cover my home based business business?
Homeowners insurance is designed to cover your personal property and your personal liability. But once your hobby or business is making more than $2000 a year, it is no longer adequately protected by that coverage. You need a home based business insurance policy. It will provide coverage for your business property, both on and off your home premises, and provide business liability insurance .
Imagine a representative for Pampered Chef has $2,700 in inventory in their home and the inventory is destroyed when a fire damages their home.
Picture a teacher that tutors children in math throughout the year. Imagine that a student trips and falls at the teacher’s home resulting in injuries of $42,000.
How about your crafts that you sell throughout the year at craft shows? What if an attendee slips over the display and falls into the neighboring booth causing $10,000 in injuries and $2,500 in damaged inventory at the booth next door?
After these events take place it not the time to discover that you don’t have the proper protection with just your homeowners insurance policy.
You need to be properly insured your home based business now with Huff Insurance.
The insurance premium for home based business insurance is less than $300 per year on average. With premiums this low you cannot afford not to have your home based business covered?
All types of home based businesses can be insured such as:
- Direct Sales (Avon, Pampered Chef, Mary Kay, Tastefully Simple, Cookie Lee or Leas Sophia, Tupperware to name a few)
- Services such as accounting, tutoring, appraisal services, barber/beauticians, clowns/magicians , DJ’s, and interior decorators
- Person to Person Sales such as Energy or manufacturer’s representative
- Retail sales such as antique shops, bakeries, computer sales, furniture , glassware, collectibles, etc. (whether done in person or over the internet on sites such as Etsy, Ebay, Facebook Marketplace, Craig’s List, Amazon, etc.).
Home based business insurance coverage is designed for small, home based businesses with exposures that are either limited or excluded by the standard homeowner’s insurance policy. Traditionally the standard homeowner’s policy only provides $2,500 of business personal property at your home and $500 away from home. And home insurance does not provide any business liability insurance coverage.
Do You Set Up at Craft Fairs or Trade Shows? You Need Event Liability Coverage
Many home-based business owners sell their products at craft fairs, trade shows, farmers markets, or pop-up events. We see a lot of home based businesses each Spring and Fall at the Cesapeake High School craft fair and the Maryland Home and Garden show at the Timonium Fair Grounds.
These venues are great for exposure and sales—but they also come with risks.
Most event organizers require vendors to show proof of liability insurance. Even if they don’t, you should have coverage in place to protect yourself. Why? Because accidents happen. A customer could trip over your display, damage could occur to someone else’s booth, or your product could cause an injury or allergic reaction.
Real-Life Claim Scenario: A Costly Trip at a Craft Show
A vendor was selling handmade candles at a local craft fair. Their display table had a power cord running underneath to power string lights. Unfortunately, a customer didn’t see the cord, tripped, and broke their wrist.
The injured person filed a claim for medical expenses and pain and suffering. The vendor’s general liability insurance covered the $18,000 claim—without it, they would’ve had to pay out-of-pocket.
Even simple setups can lead to unexpected accidents. Event liability coverage can save your business (and your bank account) from a major hit.
Event Liability Insurance Can Cover:
- Bodily injury to a customer or passerby
- Property damage to the venue or other vendors
- Legal fees if you’re sued for something that happens at the event
- Medical payments for injuries
This type of insurance can often be added to your home-based business policy or purchased as a short-term policy for specific events. Either way, it’s a small cost for big peace of mind.
Our products offer:
- Liability coverage up to $1,000,000
- Business personal property coverage up to $100,000
- Off premises coverage (To cover you at someone else’s home, at a trade show or at a flea market)
- Loss of business income coverage
- Optional coverage for money & securities
- Professional errors & omissions sub limit on some classes
- Satisfies most show and event liability requirements
To be eligible for a home based business insurance policy:
- Gross annual sales up to $500,000
- Businesses with no more than 1 employee in addition to the owner
- No more than 2 business claims in past 3 years
- Will consider businesses that are a sole proprietorship, partnership, LLC or corporation
Huff Insurance is here to help protect your business by having the correct protection. Having the proper in home business insurance is critical to your business survival. Do you currently have this protection?
Here are two reasons to get started right now with Huff Insurance:
- Make sure that you and your employees are protected from lawsuits that could close your business.
- Get started right away with a no-risk quote. Just fill out the short form above, and we’ll get back to you with an insurance policy that offers you full protection.
To ensure that you have the right coverage you need, please fill out the quote request form above or contact Huff Insurance at 410-647-1111
Huff Insurance is a full service Trusted Choice® Insurance Agency. We have been dedicated to Protecting Lifestyles™ since 1960. We offer a full array of Personal Insurance, Commercial Insurance and Life Insurance products.
