Tom's Blog
Today, more and more people are operating businesses out of their own homes and while that sounds modern and convenient, it won’t be if an unexpected accident happens and you lack the right type of insurance needed. Many people don’t realize that their standard N.C. homeowners insurance policy provides limited coverage for their home-based business, so you need to find out whether you need insurance for your home-based business.
Accidents Happen
Imagine that you run a personal training business out of your home and one of your long-standing clients is at your home working out and injures his back performing an exercise. With no history of back issues, your client is now claiming he got injured as a result of your training session. With 6 months of chiropractic treatment, possible surgery and medical bills surmounting, you may be faced with a lawsuit. Do you have the right type of insurance to protect you should this happen? You need to KNOW the answer to this question to ensure you and your home-based business are properly protected.
Can You Answer These Questions?
If you are operating a business out of your home, you need to investigate your N.C. insurance options to get the protection you deserve. Begin with reading your N.C. homeowners insurance policy to see what is covered and what is excluded. Of course, it is always wise to discuss any questions you may have with your local N.C. independent insurance agent. Without this knowledge, you may be exposing yourself and your business to financial ruin. Below are just some questions you should be able to answer to ensure adequate business protection for your home-based business:
Do you store business data at your home? The loss of these valuable business documents could be devastating. Imagine losing your clients’ credit card information and other personal client information due to technology breakdown or breach of security. Business documents are typically excluded under a N.C. homeowners insurance policy, so separate insurance must be purchased. Failure to do so may lead to lost business and a costly lawsuit.
For business purposes, do you go to other customers’ homes or do they come into your home? You may be a hair stylist, personal trainer, professional organizer, or a pet setter to name a few, but you need to assess the type of insurance you need to prevent liability issues when going to or receiving home visits for business purposes. The standard N.C. homeowners insurance policy excludes third-party injury claims related to their work.
Do you have business equipment at your home used in the scope of your business? If the answer is “yes”, then you need a separate form of coverage, as your homeowners insurance policy excludes business equipment in your home that is strictly used for business operations.
Make sure you can answer the above questions before you speak with your N.C. independent insurance agent, to ensure you have the necessary coverage to protect your home-based business. You don’t want to be left with coverage gaps and risk your business, business assets, and reputation. Chances are, your homeowners insurance policy WILL NOT provide the coverage you need for business protection.
Contact our offices TODAY at 866-869-3335 for all of your home-based business needs or any other insurance questions you may have.
