You cause damage to a third party. Your home insurance policy doesn’t provide coverage in this case. However, when you buy self-employment insurance, you add civil liability coverage.
Most common exclusions
- Production or processing of dangerous materials.
- Businesses with several employees.
- Damages for which you are liable under a contract made with your client.
- Damages related to your professional responsibility.
And what if you unintentionally cause damage not directly related to your professional activities? Then civil liability coverage kicks in. Watch out for exclusions! A self-employment policy, like any insurance policy, also contains exclusions.