Homebased Business Insurance
Business is booming, sales are up and everything is justright...except for one little detail. Have you examined yourbusiness insurance policy lately?
According to Jeanne Salvatore at the Insurance InformationInstitute, a nonprofit communications organization in New YorkCity, you should consider updating your policy whenever you make achange in your business.
"If you buy new equipment, even something as simple as alaptop computer, you should immediately contact your agent to makesure you are covered," says Salvatore.
The type and amount of coverage you need depends on yourbusiness, Salvatore adds. If you have a simple, part-time business,you might want to get minimal coverage by adding endorsements forspecific equipment onto your current homeowners' policy. To getadditional coverage, you should buy a separate business owner'spolicy.
给你最保险的选择the least costis a "homework" policy. This combines the homeowner andstandard business-owner policies into one entity, eliminating someof the coverage duplication you might have if you buy two separatepolicies. For example, in some states, both homeowner andbusiness-owner policies include structure insurance; if you buyboth, you are paying for the same coverage twice. Unfortunately,the homework insurance option is not offered in all states nor forall businesses. To see if this is an option for you, call yourstate insurance office or the National Insurance Consumer Helplineat (800) 942-4242.
"Once a year, evaluate your insurance needs,"Salvatore suggests. Changes that might require additional insuranceinclude hiring an employee, buying new furniture or equipment, orhaving messengers coming in and out of your home.
Sales growth also increases the need for coverage, as does aloss of business income. "This is especially important for ahome business," says Salvatore. "You want to make sureyou can still make a living if a disaster [strikes] yourhome."
The Insurance Information Institute offers a free booklet,How to Insure Your Homebased Business; to obtain a copy,send a legal-sized self-addressed envelope with 32 cents postage to110 William St., New York, NY 10038. You can also access theinstitute on the Internet: http://www.III.org
