It’s relatively simple to buy self-employment insurance. Generally, you just need to have a home insurance policy and run a business from home. Additional coverage is added to your home insurance policy. However, some insurers use a separate policy.
Adequately protecting your business property
Unlike the home insurance policy, self-employment insurance covers all business property anywhere you do business, whether from home or elsewhere.
The policy covers:
- Loss or damage to property being transported or temporarily located off the premises.
- Damage to stock related to the insured’s business activities, such as crafts produced for a crafts fair or a bazaar.
- Software and cost of reconstituting or recovering data (as per the amount selected when the policy was signed).
If the value of your business property increases, adjust your policy. For example, if you purchase a photocopier and your $10,000 coverage is no longer sufficient, you can increase it. Just let your agent or broker know.
The self-employed workers insurance policy
Generally, your insurance policy for self-employed workers has three sections:
Was your self-employment insurance policy added on as an endorsement to your home insurance policy? If so, you’ll often have the same coverage for your business property as for your personal property. For example, do you have an All Perils policy that covers you against theft, fire, vandalism, windstorms, hailstorms, and tornadoes? If you do, then your business property is covered for these perils just like your personal property.