NJ Home Based Business Insurance
Companies everywhere are being run by people who roll out of bed, brew up some coffee and get right down to business – in their home business. Photographers, accountants and consultants. People in varying industries have opted to run their business from home because it’s convenient, cost effective, peaceful and fulfilling. According to the U.S. Bureau of Labor Statistics, the number of home based businesses in the U.S. exceeds 18.3 million. And the number is growing every day.
If you run a business out of your home, no matter how small, you face the same risks as any other company. And despite what you might be thinking, your standard homeowners insurance policy isn’t enough to protect you from liability, loss and other damages. You need an in home business insurance owners policy to protect yourself against those risks, whether your home business is incorporated or you run it as a sole proprietor. NJ business insurance providers Sharer and Associates will assess your companies’ risk, and help you select the types and amounts of coverage you need.
Small Home Business Insurance
Here are some NJ business insurance options for home based business owners to consider as part of overall coverage:
General Liability Insurance
Will clients be visiting your home? What if they were to trip and fall on your property? You could be responsible for paying all costs related to their injuries. Your homeowners or renters insurance wouldn’t pay for it because that covers normal activities related to living in a home or apartment. Inviting the public to your home for business isn’t considered "normal." The general liability on your home based business insurance owners policy will also cover your activities away from the home office—visits to clients’ offices, tradeshows, client entertainment and networking.
Professional Liability Insurance
Even if you’re an exacting, responsible professional, you may make a mistake now and then. For the same reasons doctors and lawyers carry malpractice insurance, you should consider coverage against any errors, omissions or other negligence especially if you offer professional services. Errors & Omission insurance is the only coverage that will protect and insulate you if an unhappy client decides to seek revenge by bringing legal action against you. It’s a crucial form of in home business insurance that will protect your home and other assets from being taken away from you.
Products Liability Insurance
Do you distribute or manufacture products to the public? If so, your business owners insurance should include products liability. If the products you provide cause someone injury, you could find yourself in a lawsuit. Protect yourself and your business from costly court proceedings and a damaged reputation with products liability insurance.
Property Insurance
Protect your company's property and its contents against damage and loss with property insurance. Keep in mind that homeowners policies don’t cover structures used for business purposes. So, if you’re operating your business out of a renovated cottage on the backyard of your property, you might be out of luck if it burns down.
Business Interruption Insurance
If forces outside your control such as fire, hail, windstorms or vandalism force you to close shop for a period of time, business interruption insurance can keep the capital flowing through your company.
Workers Compensation
If you have employees, and/or you own a Sub S or C corporation and pay yourself a salary, then by New Jersey state law you’re required to carry workers compensation insurance (WC). LLC owners are able to opt out of WC. This important addition to your home based business insurance provides medical treatment, wage replacement and permanent disability compensation to employees who suffer job-related injuries or illnesses. It also provides death benefits to dependents of those workers who died as a result of their employment. Let Sharer and Associates help you protect the people who help drive your business.
Business-Related Auto Insurance
If you or your employees use a vehicle strictly for business or advertise the name of your company on your vehicle, you’ll need to purchase business auto insurance. Also, if you operate an unusual vehicle, haul special equipment, transport goods or people, or have other special needs, then you'll need commercial auto insurance. However, most home business owners use their vehicles for both business and personal use. It is therefore important to discuss this mixed use with your insurance agent to be sure the personal auto policy covers the business risk.
NJ business insurance providers Sharer and Associates will customize a small home business insurance plan that works best for you. By evaluating the size of your business and its operations, and your risk factors, we’ll help you make an informed decision on what types of coverage you require and how much you need. Contact us today.
