Home-Based Business and Liability Insurance

Are you thinking of starting a home-based business? One of the many things you need to consider before officially opening your business is your California business insurance coverage. There are many business insurance options to choose from, and most are a clear choice, but an important policy that may be overlooked is liability coverage.

The basic categories of business liability:

•    Bodily injury: This is when a client or customer sustains an injury while on your business premises, or sustains physical harm by you at their home.

•    Personal injury: This type of injury involves the reputation of a business or individual, such as copyright infringement, libel, slander and other similar forms of damage.

•    Product liability: This type of liability is when your completed work causes a loss to a client or customer. For example, you accidentally infect a customer’s computer with a serious virus through software created by you.

•    Advertising injury: Advertising liability coverage offers financial protection against losses caused by your written or spoken advertising.

Lawsuits can be prolonged and extraordinarily expensive. Without liability coverage, a lawsuit may have the potential to bankrupt your business. It’s a smart idea to assess all possible liability risks involved in your business, and purchase the appropriate California business insurance to help financially protect your business.