By Cross Insurance | Nov 01, 2012

Are you running a business out of your home?

 According to surveys, nearly one in four Americans operates some form of homebased business. These range from relatively small, often parttime pursuits (such as tax preparation and small appliance repair) to larger, fulltime enterprises, such as construction companies and real estate offices. You might be one of the thousands seeking success in multilevel marketing, or possibly automation consulting. Maybe you've turned your hobby of furniture refinishing and restoration into a lucrative flea market booth.

No matter what your business or the time spent on it, if you operate out of a home office, or have your headquarters in your home, consider special insurance coverage. Your Homeowners insurance, although it's one of the most comprehensive policies ever developed, was never designed to include broad coverage for business activities.

For example, the policy might include some coverage for a certain amount of your business property (computer, filing cabinet, desk, chair, etc.); but this is usually limited to a small amount. Homeowners insurance offers even less coverage if you take the property away from your house (for example, a laptop computer). Finally, if your home business includes selling, the chances are overwhelming that any sales inventory on the premises won't be covered. Because these limitations can vary by company and policy, check with us for specific details, as well as your options, if any, for expanding Property coverage and/or increasing the provided amounts.

Standard Homeowners policies, with few exceptions, exclude all liability claims arising from your business. This exposure represents far too large a risk of loss to leave to chance. What would be the point of all your hard work in developing your business, if you lost it all in an expensive lawsuit or injury settlement? Add the need for certain specialty coverages not included in your policy, such as Professional Liability, Advertising, or Publication Liability, Customer Property left in your care (for repair or refinishing), and Workers Compensation for injury to your employees.

For more information on protecting your home business, please feel free to get in touch with us.

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