Everything You Need to Know About Insuring Your Home Based Business

Everything You Need to Know About Insuring Your Home Based Business

Think your home insurance will cover your business at home? Think again! This is a big mistake that many newbie home-based business owners tend to make that could end up costing them thousands in losses – and even their entire business. That’s why it is imperative to get the right coverage to provide the proper protection that’s needed from any risk when working from home. Whether you’re thinking of starting your own business or are already operating out of your home, here are some essential things you need to know about insuring your home-based business.

Liability & Product Liability Insurance

Do you have customers or employees coming to and from your home for business purposes? If so, liability insurance is a must. If someone gets injured on your property, this will protect you from lawsuits in case they decide to sue. Also, if you are or plan to sell products from your home-based business, you’ll need product liability insurance to safeguard your operations in case something goes wrong with your product.

Errors & Omissions

Errors & omissions insurance is another must-have for your home-based business. If there’s an error in something that you provided to a client and they suffer a loss because of it, you could face a lawsuit. E&O insurance will protect you if a mistake occurs and you have to cover a loss on behalf of your client.


Cyberattacks are on the rise, and they’re becoming a serious threat to small, medium, and larger businesses. If a hacker gains access to your system, they could destroy your entire business and reputation instantly. Any business these days that’s based online with valuable and sensitive data should be protected against cyberattacks.

Business Interruption Insurance

Disasters can strike when you least expect them to. And if something happens that puts your operations on pause, business interruption insurance will cover it. This will help cover your expenses if you need to close up shop for a short period of time or purchase new items to get back up and running.

Fire, Water, and Theft

Homeowners insurance typically won’t cover business-related equipment that gets damaged during a fire, flood or due to theft. So if you use any specialized equipment, make sure to get these added to your policy. Getting the right coverage for your home-based business is one of the most important steps for safeguarding it against unforeseen damage and threats. Contact MLS Insurance today to get all the coverage you need to protect your business and gain peace of mind.

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