Small Home Business Insurance Types You Might Need

By Claire Bullerwell

Many companies and corporations take out insurance for their work. After all, no one can predict what will happen if the stock market suddenly slips, if a fire will suddenly wipe out an entire inventory, or if an important employee leaves the company.

Anything can happen in the real world, and a business can be prosperous and up and about one day, but dead and bankrupt the next. There are many types of insurance that companies and corporations can take out in order to account for all the different disasters that might happen.

Are you are a home business owner? Or are you planning to have a home business? Then you should also take out some form of business insurance.

For small home buisiness owners there are two important types of insurance to consider:

• Small Business Liability Insurance.  This insurance is compulsory by law if you have employees.

•  Employer Public Liability Insurance.Are you are in personal contact with your customers whether it be on your or their premises? Then you need this type of insurance.

What other kind of insurance is available? Although the insurance packages will differ from company to company, and even from state to state, you can be sure to find some general patterns on insurance offerings. If you are working out of your house, then you may also do well to check on your home insurance coverage. Your home-insurance may not cover damages simply by having a home office installed. When examining your home insurance, take note of what is missing from your package so that you can promptly substitute the missing aspects with other insurance packages.

What else could you require? You may need home office insurance, which can cover fires or theft. If you are looking at insurance coverage for your home office, take a note of what the requirements are. You may need to check if you have good electrical wirings, a good home office computer, and a stable house in the first place. You will also need to look at the home office insurance policy. How much do you need to pay for your premiums, how much will your payout be, and do you have to make staggered payments over a certain amount of time? What damages will home office insurance cover, and to what extent can theft be covered?

If you are doing deliveries, you will also need vehicle insurance. You can use your car insurance, but if you meet an accident that is not covered by your auto insurance, then you may be in a lot of trouble if something does happen. If you have the money, have a separate vehicle for your home-based business, and have it registered as a delivery vehicle. You could then take out a delivery vehicle insurance policy, which would cover different types of accidents.

If you have a warehouse for your products, you may also need warehouse insurance, which will cover fires and theft, among others. Please note that this is a separate insurance policy and you will likely need to pay a little extra.

Do you live in a part of the country that is prone to rough weather, such as tornadoes, hailstorms, or hurricanes? You may need to have a better insurance policy, or, for that matter, you will have a hard time getting an insurance policy. Don't be discouraged if you can't get insurance because of where you live, or indeed if you have to pay higher than average policy prices for your home office or home business insurance.

These are only a few aspects of insurance for your home based business. For more information, talk to an insurance agent, or to someone who has experience in handling insurance for home business. If you are able to account for all the potential trouble that you business may go through, you may be able to run your business better, and with fewer worries.