Imagine losing your job as a caterer with a local event catering company after being employed for 15 years. When the job search for other relatable jobs goes stale, you suddenly have a brilliant idea to become your own boss and set up shop at your home. Setting your own schedule and working at your pace in your own kitchen seem like great ideas until you begin your at-home catering business. Before you begin any business based out of your home, ask yourself whether your home-based business insurance is adequate.
What You Don’t Know CAN Hurt You
Working from home may sound great initially; however, you need to consider some essential aspects regarding the insurance for your home-based business. Without the proper insurance, you won’t stay in business long! Many people assume that their N.C. homeowners insurance policy provides coverage for accidents/situations that may occur, but it is critical to understand the policy provisions, conditions, limitations and exclusions set forth in your N.C. homeowners insurance policy.
Your N.C. homeowners policy specifically excludes coverage for losses that occur pertaining to business activities so it is imperative for anyone who is running a home-based business to acquire the right type of business insurance protection. It is estimated that almost 60 percent of home-based businesses have inadequate insurance protection which can spell financial disaster should any unfortunate situations like these occur:
- A customer slips and falls on your property while coming to pick up some goods
- All of your work materials/products are damaged and no longer useable
- Your customer is terribly dissatisfied with the goods you delivered or the service you promised
- Customers get sick/injured as a result of your merchandise/goods/product
- Your home (specific area locations where work is performed) is damaged/destroyed and business equipment destroyed
If any of these scenarios makes you anxious and has you wondering whether you have the protection you need, it is recommended you immediately contact your local N.C. independent insurance agent to discuss the nature of your business to determine if your protection is inadequate. He/she will be able to help you decide which type of insurance protection best suits your home-based business needs. You may simply need to invest in an endorsement to your existent N.C. homeowners policy or your business may need an entirely separate business owners insurance policy, depending on the scope of your home business.
Some Common Coverage Options to Consider for Your Home-Based Business, but Not Limited to:
- General Liability
- Property Coverage
- Product Insurance
- Commercial Auto Insurance
- Business Interruption/Loss of Income
- Accounts Receivable Protection
- Office Insurance
- Advertising Injury
- And More
For further information on the above listed coverage options, we recommend you contact us at Paramount Insurance Agency at 866-869-3335. We can assist you with your home-based business questions to assess what kind of insurance protection best protects your needs. All businesses are set up differently so while one person may need a simple endorsement added to his/her N.C. homeowners insurance policy, someone else may need a commercial insurance policy or a business owners policy (BOP). We understand that every business is subject to unfortunate situations that can and do happen and we want to ensure you have the protection you need for your home-based business at an affordable rate to you.