Should You Get Insurance for Your Internet Business?
For many business owners, internet business insurance is not one of their first concerns. While no traditional small business owner would consider operating without insurance, many internet start-ups do just that. In addition to retail, there are a number of types of online-only businesses, including service-based businesses such as writing, coaching, and designing. As with any sort of business, business insurance is a smart investment for the protection of your online business.
If you work from the comfort of your own home and run your own online business, it’s hard to imagine that simply doing your job might land you in a courtroom. But it happens more often than you’d think. For a home-based business, a number of things could go wrong, including:
- A client or visitor could get injured, meaning your business could be held liable for paying their medical bills
- A project could go wrong and sink your business.
- There could be a miscommunication. A misunderstanding could lead to a contract dispute.
- A data breach could happen.
The best way to protect your business is with a few insurance policies!
- General Liability Insurance
This coverage can protect your business against third-party personal injury and property damage claims, as well as advertising injuries.
- Professional Liability Insurance
Often known as Errors and Omissions insurance, this policy has you covered if you make a mistake in rendering your professional services. If you regularly outsource work to contractors, it’s also a good idea to ensure they have their own E&O policy. This way, if a contractor makes a mistake, their policy should be able to cover any resulting legal expenses.
- Cyber Liability Insurance
Cybercrime is on the rise and data breaches can happen to any business, large or small. If a project you work on results in customer data being stolen, you could be looking at a substantial lawsuit.