Business Insurance..?

Question

Why do I need busines insurance if I only trade at home through the internet (selling my own custom built software programs)? And what business insurance would I need to do this?
Also does anyone have any links - where I can get a quote on this sort of trading?
Thanks in advance.

Answer 1

If you employ anyone, you need employers liability.

If you are on your own, business interruption insurance could be advisable, to cover you if you fall very ill.

Also, insure your equipment and against your software being pirated.

Answer 2

To add to the postings before (which are correct- you should consider insuring yourself and your business for all those reasons).

If you already have personal insurance for your car and home, call that agent to get started. There are simple endorsements that can be added to your existing policies to add some basic coverages rather cheaply (but you get what you pay for).

Hopefully you are going through in independent agent that has access to several insurance companies. That way, your agent can shop around for the best price/coverage to fit your needs.

Finding professional liability for software design could be pretty expensive, as there are a large number of things that can go wrong when you sell software (as I am sure you are aware). Make sure to ask your agent if he/she is familiar with software programmers liability policies, as they are not that common. I have worked for two insurance companies and been in contact with many individuals from other companies, and that is pretty specialized insurance. If your agent hesitates, call around. If you know other people that do what you do, ask them about their insurance agents/policies.

Good luck and happy computing!

Answer 3

You don't, if you can afford to pay any claim presented against you without help, and can afford the attorney bills, too.
Just because you may not make a mistake, doesn't mean you won't get sued anyway. Insurance is there to protect you. If your software is alleged to cause a problem with graphics, games, etc, you have exposure.

As to what kind of insurance, call an independent agent. I don't think you can get a quote on line for the type of business you have.

Answer 4

You need professional and general liability insurance in case your program that your created does damage to someones computer or etc. Or you claim that your program does something and it does not. These will cover you for any professional advice you give as well as general damages or liability that you might occur.