Perhaps you think NH small business insurance is for a company that is well established with a few employees. If you are just starting out, how do you know when your business requires small business insurance?  Unfortunately, no one is going to tell you exactly when, but given you are investing time, energy and money into your business you want to be sure it is protected.

When Do I Need to Purchase NH Small Business Insurance?

Often times a new business will get insurance only when required by a contract; however it should be done sooner.  It is strongly suggested that you obtain a commercial policy when you start acquiring business property, sign a contract in the name of the business and/or transact with a prospect or client.  If you are holding yourself out as a professional, you can be held liable for your products and/or advice.  This is regardless if there is a signed contract in place.  The nature of you entering a transaction with another individual is enough to increase your responsibilities.

What if I Work out of My Home, Do I Still Need NH Small Business Insurance?

Yes!  Most homeowner insurance policies specifically exclude coverage for any business activity including any computer equipment, copiers, salesman samples etc.  This is regardless of whether you simply have a home office and never have clients come into your house or have a stream of clients coming and going regularly.  There would likely be a coverage issue with your homeowners insurance even if a UPS driver delivered a package related to your business and slipped and fell on your walkway, never mind if this happened to a customer.

Some insurance companies do offer an endorsement on the homeowners policy for a business but coverage is typically limited and designed more for those who generate very little income from the business.  Regardless, you need to notify your homeowners insurance company of any commercial activity from your home and see what, if any, options are available to you.

Do I Need Insurance if I am a Consultant?

Some people equate only needing insurance if you have a product to sell, but when you are a consultant you are essentially selling your expertise and hence need insurance to cover the consequences of your advice.  This type of commercial insurance is called professional liability or errors and omissions (E&O).  

You will also need a general liability policy to protect you when at a conference or client location.  This is in case you cause physical damage to the premises or cause bodily harm to someone else.  This may seem far fetched but we at HPM Insurance have seen several claims over the years with someone tripping over a laptop or projector cord.

How Much Does NH Small Business Insurance Cost?

This is going to depend on the nature of your business but many NH small businesses qualify for a business owners policy (BOP) with can incorporate the needs of many small businesses under one policy including liability insurance, business property, premises liability and loss of income all in one policy.  If you use your vehicle in business, you may also need to consider a commercial auto policy or if you have employees, you will need workers compensation.

The easiest way to decipher your needs would be to contact a local independent agency.  They can often educate you on what you need now and in the future should your company grow.