No matter how small your home-based business, make sure you’re protected with the right coverage. There are three main property and liability options for home-based business insurance:
Homeowners Policy Endorsements
Adding an endorsement, also known as a rider, to your existing homeowners policy is often the simplest and most affordable way to insure smaller home businesses that don’t manufacture products on the premises or use a lot of equipment. Endorsements are also a good fit for solo entrepreneurs with few business-related visitors.
In-Home Business Policy
Combining home and business insurance into a single plan, this type of policy offers more specific types of coverage. This policy is a step up from a basic homeowners policy endorsement, offering a greater range of coverage for a growing business. If your in-home business has developed into a mid-level operation with more visitors, equipment, and output, this may be the policy for you. Such a policy may include more extensive property and liability coverage than endorsements, as well as business interruption coverage, which protects your income in the event your business is disrupted because of a disaster. If you conduct in-person appointments at your home and use certain rooms in the house as dedicated office space, this might be the policy for you.
Business Owners Policy
Often referred to as a BOP, this type of policy is the most comprehensive form of coverage for small-business owners. It offers protection for claims brought by contractors and customers in addition to protection for business property and business interruption. Not all home-based businesses qualify for a business owners policy.
Nationwide Insurance, a Texas REALTORS® benefits partner, can help you with all you insurance needs. Connect with a Nationwide agent.