Protecting Your Home Business Ass-ets Sedalia MO

As a home-based business owner, you work hard to establish your market, attract customers, and generate a profit. Don’t let the mistake of assuming that your homeowners insurance policy adequately covers your business operations, resulting in your losing all you have worked to create. Another common mistake home-based business owners make is relying on an umbrella policy to cover their business operations for both property and liability coverage.

Mid Usa Insurance
(816) 224-8700
2054 North West South Outer Road
Blue Springs, MO
 
American Family Insurance Holly Stifflerwilson
(636) 379-9170
115 W Pitman St
O Fallon, MO
 
Huelskoetter Agency
(636) 916-5005
117 First Capitol
Saint Charles, MO
 
Allstate Insurance G Dean Arthaud
(573) 875-5500
108-3 Green Meadows Rd.
Columbia, MO
 
Allstate Insurance Doug Reece
(573) 635-1600
520 Dix Road
Jefferson City, MO
 
Dental Care Usa
(816) 505-7868
5775 Northwest 64th Terrace
Kansas City, MO
 
Allstate Insurance Clint Woods
(816) 373-0404
4212 S Hocker Dr #220
Independence, MO
 
Rick Fruend Insurance
(636) 978-2629
1073 East Terra Lane
O Fallon, MO
 
American Family Insurance Agent Teresa Zucchini Mcclish
(417) 883-3044
3050 East Battlefield Rd
Springfield, MO
 
Allstate Insurance
(636) 240-3223
1012 Rock Creek Elementary Drive
Ofallon, MO
 

Protecting Your Home Business Ass-ets

Provided By: 

Don’t Make the Fatal Assumption That Your Business is Covered by Your Homeowners Policy
By Richard Maturi

As a home-based business owner, you work hard to establish your market, attract customers, and generate a profit. Don’t let the mistake of assuming that your homeowners insurance policy adequately covers your business operations, resulting in your losing all you have worked to create. Another common mistake home-based business owners make is relying on an umbrella policy to cover their business operations for both property and liability coverage. Most personal umbrella policies exclude business-related activities and leave you vulnerable.

“It’s important to evaluate your insurance needs in light of your particular home-based business. Work with an insurance broker or advisor that understands your business and the unique nature of your exposure,” says Ms. Erin Plaziak, director of Product Management for Met Life Auto & Home in Rhode Island.

Begin with Property Insurance

First, you need property insurance to cover your assets such computers and other office equipment and inventory. Depending on the type of business, you may also need coverage for machinery, shop supplies and raw materials.

Most homeowners policies have a small amount of business property coverage ranging from $1,500 to $3,000. Some insurance companies offer specialty riders with higher coverage limits for certain types of home businesses. For a nominal amount, you may be able to increase your property coverage to up to $10,000 in increments of $2,500. For example, my homeowners’ policy carries a specialty rider with $5,000 on the premises property coverage and $1,000 off the premises property coverage for items in transit. Since my business also includes buying and selling rare movie star items on EBAY, I also carry a specialty collectibles insurance policy specifically for those items.

“Businesses have special issues, and the insurance agent needs to have worked with businesses like yours in order to give you the best advice. If you store inventory, carry replacement insurance on it. Make sure that computers are not excluded from coverage since replacing damaged computers can represent a large uncovered exposure,” advises Christine Moriarty, a Bristol, VT financial expert with over twenty years experience coaching small business owners.

Liability Protection
Next, you need liability insurance to cover someone getting hurt on your premises in connection with your business. For example, a delivery person, supplier, or client could slip and fall in your office or shop and leave you open to a lawsuit. Standard homeowner polices do not provide liability coverage for business-related operations, and an endorsement specialty rider may only provide a limited amount of liability coverage.

“In general, homeowner polices don’t do the job for a home-based business. The limited property coverage provided by the typical homeowner policy, ev...

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