Home Based Business Insurance

Having your own home based business can be a dream, but are you protected?  Many people remember to purchase business insurance, because often a home based business is not covered by a homeowners insurance policy.  However, were you aware that your auto insurance may not protect you if you are driving for your home based business? 

The first thing you should do if you have a question about whether your individual auto insurance covers you for the business driving that you do is to discuss the type of driving performed with your insurance broker.  However, if you do significant amounts of driving for your home based business, you have others that do driving for you, or you own a business related vehicle, you will probably be encouraged to purchase commercial auto insurance for your home based business.

So what does commercial auto insurance for your home based business cover?  Basically, it will offer you the same type of coverage that your individual policy offers.  Liability, collision, comprehensive, personal injury, and uninsured motorist coverage are all normal aspects of your commercial auto insurance policy.  However, if your employees driver their own cars for your business, you can obtain a “non-owned” endorsement to your commercial auto insurance for your home based business. You will want to sit down with your auto insurance broker to make sure you have all the coverage you need.

Make sure, though, that you remain a smart and savvy shopper for commercial auto insurance for your home based business.  You need to make sure you obtain at least 3 quotes from different auto insurance companies so that you can compare price and levels of coverage.  Discuss your situation with a broker rather than an agent so that you can obtain more than one quote in a single sitting.

You will also want to check the financial stability of the companies you are considering, so check with A.M. Best, Fitch, or Standard and Poor’s to make sure you commercial auto insurance company is highly rated.  Finally, check with your state insurance department to check consumer complaint ratios and obtain recommendations from other business owners.

Doing your research will allow you to save money on commercial auto insurance for your home based business, but insurance is not necessarily an area on which to skimp.  Auto insurance provides necessary protection should an unfortunate accident occur while you or your employees are driving on company time.

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