The U.S. has a growing number of "home-based" entrepreneurs. Operating businesses on a full-time or part-time, these entrepreneurs are business savvy and experts in their own fields. However, as much as they are on top of their game, these entrepreneurs still need to have their businesses covered. Of course, it's their source of livelihood.

They maybe experts in their various field but they get baffled by insurance coverage's and how to insure their businesses against calamaties (hurricanes, earthquakes) fire, theft and liability. Some even believe that their homeowner's policies cover al their business insurance needs. Thus a lot of these home-based businesses are not insured.

Insure your business

Here are some things that any entrepreneur needs to have covered:

Property and Liability Insurance.

Entrepreneurs need both property and liability insurance. Property insurance in case of robbery or a fire which destroys their equipment. Liability insurance for if someone gets hurt using their equipment of if someone gets hurt witching their premises.

Home-based business owners should not assume that their homeowners' policies will cover their business. For example, it doesn't cover business-related liabilities like if a client of supplier is injured on your property.

Homeowner's policies also do not cover your accounts receivables in case of damaged or lost business records and they replace your lost income you are unable to resume your business operations due to extensive damage to your home. There are three ways home-based entrepreneurs can get a home business insurance that covers their needs:

• You can avail of a Business Owners package to cover your business insurance needs. There are packages that are specifically designed for small businesses which combine in a single policy the necessary property and liability insurance coverage that you need.
  
• You can also avail of several individual business insurance policies to cover all your needs, e.g. Business Income Insurance, Property, General Liability, etc.
  
• Depending on the kind of business you operate in your home, you can ask for an endorsement of your homeowners policy. Some insurance companies offer property and liability insurance for "incidental" businesses(some, but not all insurance companies, define incidental businesses as those that gross not more than $5,000 a year) operated from your house.

Some insurance companies are starting to offer small business owners package policy. These are created specifically for home-operated businesses. Some of these cover loss or destruction of business property, either on or off premises; loss of important information or company records, personal injury personal injury and advertising liability; accounts receivable; money lost on and off premises.

Companies who offer these kinds of packages usually require that you purchase your homeowners policy and car insurance policy from them as well. Thus, extending the amount of personal property and liability coverage's on your home to your business, and covers expenses and lost income up to a year (in case of a calamity which renders it impossible for you to continue to run your business). Such package policies also eliminate the possibility of duplications gaps in coverage. But first, check with your state if such package policies are available in your area.

Car Insurance.

For businesses which utilize vehicles in their operations, make sure that your car insurance policy covers you from accidents which may happen during transactions or operations. Usually your personal car insurance can also cover the business use of your car. However, depending of the type of business that you operate or the number of vehicles you own, it would be a good idea to get a separate Business Car Insurance policy.

Health Insurance.

Health insurance is necessary to cover costs if you get sick or injured. Disability insurance also necessary if you are unable to work due to an injury or sickness. It is also advisable to check small group insurance programs if you employ a small group of people.

Injured Workers' Compensation.

If you have employees, check you state laws which regulate when you need to purchase Workers Compensation insurance. You can check this with your state insurance department of with your local agent. You will need these to cover costs if your employee is hurt on the job and require medical treatment. Workers compensation coverage's also supplement income until your employee is well enough to return to work. If you have already incorporated your business, Workers Compensation insurance also cover you in case you are injured at work.

Umbrella Policies.

Umbrella policies act as a "back up" or an extra liability insurance. An umbrella policy pays for the loss when you have reached your underlying policies limit. For instance, your employee is injured and the treatment cost is $150,000. You underlying liability insurance limit is only $100,000, the umbrella policy will cover the additional $50,000. However, remember that personal Umbrella policies that are attached to your homeowner's policy (or car insurance policy) will cover the liability that stems from your business operations and property only if covered by basic policies.

Find an agent.

To have little or no trouble at all when purchasing business insurance, find an agent of an insurance company representative who is knowledgeable on insurance for you specific type of business. Ask other home-business owners if they can refer or recommend one to you. Also remember to check with your state insurance department or national claims database for any complaints regarding your insurance company, as well as state or national trade association which covers owners of home-operated businesses like your own.

Discounts.

Ask your agent or your company for discounts that they offer. Some companies offer discounts to entrepreneurs who drive a certain number of miles each year or have installed security systems, smoke detectors and sprinklers in their premises. Ask your agent if your eligible for any of these kinds of discounts.

Company Growth.

Keep your agent or representative up-to-date with expansions on your business. Why? For example your business operation is more extensive now, and you added more equipment to your inventory, and you neglect to inform your agent or representative, you may be shocked to know that your policy limit is way below your possessions' current value.

State Insurance Department.

For every sate there is an insurance department. Your state insurance department regulates insurance companies and implements insurance law. Your state insurance company can help you get more information about insurance and about insurance companies.