Best of the Week
Most Popular
1. US Housing Market House Prices Bull Market Trend Current State - Nadeem_Walayat
2.Gold and Silver End of Week Technical, CoT and Fundamental Status - Gary_Tanashian
3.Stock Market Dow Trend Forecast - April Update - Nadeem_Walayat
4.When Will the Stock Market’s Rally Stop? - Troy_Bombardia
5.Russia and China Intend to Drain the West of Its Gold - MoneyMetals
6.BAIDU (BIDU) - Top 10 Artificial Intelligence Stocks Investing To Profit from AI Mega-trend - Nadeem_Walayat
7.Stop Feeding the Chinese Empire - ‘Belt and Road’ Trojan Horse - Richard_Mills
8.Stock Market US China Trade War Panic! Trend Forecast May 2019 Update - Nadeem_Walayat
9.US China Trade Impasse Threatens US Lithium, Rare Earth Imports - Richard_Mills
10.How to Invest in AI Stocks to Profit from the Machine Intelligence Mega-trend - Nadeem_Walayat
Last 7 days
IBM - Investing in AI Machine Intelligence Stocks - 25th May 19
Seasonal Dysfunction: Why Generations of Gold and Silver Investors Are Having Such Difficulty - 25th May 19
Employment - The Good and the Bad of Job Automation - 25th May 19
Gold Mining Mid-Tier Stocks Fundamentals - 25th May 19
Buy This Pick-and-Shovel 5G Stock Before It Takes Off - 25th May 19
China Hang Seng Stocks Index Collapses and Commodities - 24th May 19
Costco Corp. (COST): Finding Opportunity in Five Minutes or Less - 24th May 19
How Free Bets Have Impacted the Online Casino Industry - 24th May 19
This Ultimate Formula Will Help You Avoid Dividend Cutting Stocks - 24th May 19
Benefits of a Lottery Online Account - 24th May 19
Technical Analyst: Gold Price Weakness Should Be Short Term - 24th May 19
Silver Price Looking Weaker than Gold - 24th May 19
Nigel Farage's Brexit Party EU Elections Seats Results Forecast - 24th May 19
Powerful Signal from Gold GDX - 24th May 19
Eye Opening Currency Charts – Why Precious Metals Are Falling - 23rd May 19
Netflix Has 175 Days Left to Pull Off a Miracle… or It’s All Over - 23rd May 19
Capitalism Works, Ravenous Capitalism Doesn’t - 23rd May 19
The Euro Is Bidding Its Time: A Reversal at Hand? - 23rd May 19
Gold Demand Rose 7% in Q1 2019. A Launching Pad Higher for Gold? - 23rd May 19
Global Economic Tensions Translate Into Oil Price Volatility - 22nd May 19
The Coming Pension Crisis Is So Big That It’s a Problem for Everyone - 22nd May 19
Crude Oil, Hot Stocks, and Currencies – Markets III - 22nd May 19
The No.1 Energy Stock for 2019 - 22nd May 19
Brexit Party and Lib-Dems Pull Further Away from Labour and Tories in Latest Opinion Polls - 22nd May 19
The Deep State vs Donald Trump - US vs Them Part 2 - 21st May 19
Deep State & Financial Powers Worry about Alternative Currencies - 21st May 19
Gold’s Exciting Boredom - 21st May 19
Trade War Fears Again, Will Stocks Resume the Downtrend? - 21st May 19
Buffett Mistake Costs Him $4.3 Billion This Year—Here’s What Every Investor Can Learn from It - 21st May 19
Dow Stock Market Trend Forecast 2019 May Update - Video - 20th May 19
A Brief History of Financial Entropy - 20th May 19
Gold, MMT, Fiat Money Inflation In France - 20th May 19
WAR - Us versus Them Narrative - 20th May 19
US - Iran War Safe-haven Reasons to Own Gold - 20th May 19
How long does Google have to reference a website? - 20th May 19
Tory Leadership Contest - Will Michael Gove Stab Boris Johnson in the Back Again? - 19th May 19
Stock Market Counter-trend Rally - 19th May 19
Will Stock Market “Sell in May, Go Away” Lead to a Correction… or a Crash? - 19th May 19
US vs. Global Stocks Sector Rotation – What Next? Part 1 - 19th May 19
BrExit Party EarthQuake Could Win it 150 MP's at Next UK General Election! - 18th May 19
Dow Stock Market Trend Forecast 2019 May Update - 18th May 19
US Economy to Die a Traditional Death… Inflation Is Going to Move Higher - 18th May 19
Trump’s Trade War Is Good for These 3 Dividend Stocks - 18th May 19
GDX Gold Mining Stocks Fundamentals Update - 17th May 19
Stock Markets Rally Hard – Is The Volatility Move Over? - 17th May 19
The Use of Technical Analysis for Forex Traders - 17th May 19
Brexit Party Set to Storm EU Parliament Elections - Seats Forecast - 17th May 19
Is the Trade War a Catalyst for Gold? - 17th May 19
This Is a Recession Indicator No One Is Talking About—and It’s Flashing Red - 17th May 19
War! Good or Bad for Stocks? - 17th May 19
How Many Seats Will Brexit Party Win - EU Parliament Elections Forecast 2019 - 16th May 19

Market Oracle FREE Newsletter

U.S. House Prices Analysis and Trend Forecast 2019 to 2021

Self Employed? Understanding Business Insurance

Companies / SME Sep 19, 2017 - 04:17 PM GMT

By: Submissions

Companies

Joanna Stovic writes: The number of people choosing to become self-employed is gradually rising. Those people strive for independence, control and freedom from the stress inflicted on them by their previous employers. Since the start of the economic downturn, there has been a 10% growth in the self-employment sector. While venturing into self-employment has its own challenges, it can be rewarding if you know the right steps to take.


If you’re thinking about becoming self-employed or freelancing, there are a few fundamental issues that you need to consider before setting out. One of the most important but mostly ignored by many self-employed individuals is business insurance. Here are a few things you should know about business insurance for the self-employed.

Business Insurance is Tax Deductible

Business insurance is considered as one of the necessary costs of running a business. It is up to you to protect your business through public liability insurance. Freelancers and the self-employed can enjoy tax deductions from their business insurance when calculating taxes. A business expense is deductible if it meets two criteria:

  • It must be a common day-to-day expense in your line of work

  • It must be both appropriate and helpful to your business

Business insurance meets both criteria. While it may seem like an additional cost to you, business insurance is critical as most client contracts, industrial regulations and leases will require that you have coverage. Being able to write off business insurance costs helps you make additional savings as a self-employed.

Homeowner’s Insurance Doesn’t Cover Business Assets/Activities

Considering that a large number of self-employed individuals work from home, it’s important to understand that your homeowner’s insurance policy doesn’t cover your home-based business. Don’t assume you’re safe with your homeowner’s insurance. You need to have a separate business insurance to cover your home-business assets and activities.

For instance, if a delivery guy slips at your doorstep and breaks an ankle while dropping off a package, your homeowner’s insurance will not cover the injury. Without self-employed business insurance, you may as well be facing potential legal costs if someone sues you as well as unexpected medical expenses.

Insurance Requirements Vary with Business Industries

The type of business insurance you take may depend on your line of work. For instance, if you provide professional services like architecture, clients may require you to have professional liability insurance. This ensures that you’re liable for possible mistakes that may happen in your line of work such as failing to follow industry standards.

For general contractors, you’ll need to have general liability insurance to cover for potential mishaps or damages that may happen as you work. You may also be required to have your own worker’s compensation insurance to cover injuries on-the-job. Getting health coverage for the self-employed also offers additional cover.

Lawsuits Can Hit You Directly

Being self-employed can come with certain risks of facing potential lawsuits over a project or projects you worked on. Considering that a sole proprietorship business structure is less protected without separate business cover, it’s important to have business insurance to shield yourself from lawsuits that may target both your personal and business assets.

With business insurance, you can settle any disputes without worrying about losing your personal assets.

Conclusion

Anyone venturing into self-employment should follow certain rules on running a self-employed business, and this includes having business insurance. While you may be tempted to skip getting insurance for your self-employed business, because of the cost, going without coverage puts you at risk of losing everything in case something bad happens.

By Joanna Stovic

© 2017 Copyright Joanna Stovic - All Rights Reserved Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.


© 2005-2019 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in

6 Critical Money Making Rules