Are you self-employed? Whether you’re a freelancer, a business owner, or you just run your own side hustle, you need to make sure you’ve got all of your bases covered. As a self-employed worker, you have a lot on your plate already. Purchasing insurance might be the last thing on your mind when you have to worry about running a business. However, you always need to be prepared for what life might through your way.
One of the reasons many people are hesitant to ditch their 9-5 traditional job in favor of self-employed living is insurance. Let’s face it. Insurance is complicated. Figuring out what you need and how to get it on your own takes time and stress. What if you pay too much for insurance? What if you never need it? What if something goes wrong and you don’t have the right coverage? In reality, we can’t know 100% what will come next. That’s why we need to take action today to protect ourselves.
“Insurance doesn’t have to be complicated
or expensive. There are more options
than ever when it comes to
self-employed insurance.”
The good news is insurance doesn’t have to be complicated or expensive. There are more options than ever when it comes to self-employed insurance. It’s possible to find what you need without the stress or high price tag. This guide will share the types of insurance you need if you’re self-employed so you can run your business with a new peace of mind.
1. Self-Employed Health Insurance
The first type of insurance you need is self-employed health insurance. There’s a lot of stigma around health insurance in the United States. It’s too complicated to figure out, regulations are always changing, and it’s downright too expensive. While these things might be true on some level, they don’t have to be your reality.
First, it’s important to realize that health insurance isn’t optional. While you no longer have to worry about a government penalty if you don’t have insurance, the risks are simply too high. You have to be healthy and physically able to run a business. If you don’t have your health, you don’t have anything.
Because you’re no longer paying for health insurance through an employer, you’ll be paying for a lot more of it yourself. You can browse the best health insurance plans online through an insurance marketplace to find just what you need. You might be eligible for a low-cost plan through the federal government or your state, or you might be able to purchase a group plan on your own. You won’t know until you start your search.
2. Business Insurance
It comes as no surprise that you also need business insurance. It doesn’t matter what your industry is or what you do. There’s always some level of risk. Even if you’re just blogging online, you could always face some kind of lawsuit.
You want to protect yourself against any of these risks associated with your job. There are four types of business insurance to choose from:
- General Liability Insurance – This is protection from liability if someone chooses to sue you. For example, if someone slipped in your store or if you break something while on the job.
- Professional Liability Insurance – This is also called errors and omissions insurance. If a client is harmed by your service or advice, this will protect you. It’s mostly protection against financial loss.
- Business Owner’s Policy (BOP) – BOP coverage combines many types into a single package at a reduced rate. It’s a flexible option if you need multiple types of coverage.
- Workers’ Compensation – Finally, if you have any employees, this type of coverage is mandatory under the law. It will cover employee’s lost wages if they’re injured at work as well as medical expenses.
3. Long-Term Disability Insurance
If something happens and you’re no longer able to run your business, you need a way to provide income for your family. Long-term disability insurance does just that. Though over 51 million adults in America today are working without disability coverage, it’s important you protect yourself from this possibility.
Short-term disability is an option that covers you for around three months or slightly more. While this is a good temporary solution, it does nothing to help if you find yourself in a situation where you’re unable to continue working your job or running your business. The cost of disability insurance will depend on the level of risk you’re placed in within your industry, but it’s always a must-have.
“You need to protect
yourself so you can protect
your business.”
Protect Your Business
You need to protect yourself so you can protect your business. Start with your own health insurance. From there, take preventative steps to protect yourself from legal action and disability.
These are the bare minimum types of insurance you need if you want to avoid problems in your business. While we all would like to believe nothing will ever go wrong, we simply can’t know that for certain. This is the peace of mind your business deserves.
Have you protected yourself and your business with insurance?
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