Insuring Your One-Person or At-Home Business

If you run a home-based or one-person business, most of the information presented in this guide applies to you, as well. Do not assume that your homeowners or renter’s insurance policy will cover the professional equipment in your home or your liability needs. Most homeowners and renters' policies specifically exclude coverage for property used in a business.

If your home-based business involves products, inventory or walk-in customers, you will need a business insurance policy. A business policy will insure you separately with property and liability coverage as though you were renting space for your business.

Many insurance companies have developed special insurance policies for at-home businesses. With the help of a good agent, your property and liability needs may be easy to meet.

If you want health coverage, you may have to shop around for an individual policy or an HMO until you qualify for a small-group policy (see “Small Employers Health Care Access Act” on p. 14). If your spouse works for an employer that offers health care coverage, you may be insurable under his or her employer’s plan. You may also be able to take advantage of group insurance through your membership in associations or professional organizations.