What insurance does a self-employed person in Sacramento need?

So you made the jump to go into business on your own. Now you might be wondering if you’re protected. That’s where self-employed insurance comes in. Luckily, we’re insurance experts, so we’re here to help you out.

Health Insurance

Usually, the number one benefit that employees receive, for which you will now be responsible, is health insurance. If your spouse has an employee insurance policy, then you can be added to it. But if your spouse doesn’t have an employment health insurance policy or you are single, then you’ll need to get your own. Depending on your income, you may qualify for the health insurance marketplace, Covered California. (If you’re not in California, you’ll want to check with your state to see where you can purchase health insurance).

Of course, if you live in California and would like someone to do the legwork for you to find you the best deal, you can fill out our California health insurance request form and we can get started on finding the best policy for you. There are so many things to consider when getting the right health insurance policy, but we have a simple Health Insurance FAQ to answer most of the basic questions.

Business Insurance

There are several parts to business insurance that a self-employed person might need, but in general, business insurance protects your company, i.e. you, from being sued and other financial obligations due to negligence, errors and accidents. Of course, it all depends on your business. Are you a freelance designer? Do you provide products or services to the general public? Do you prepare taxes and other accounting activities? You can see how your business model will affect the types of insurance riders or coverage that are needed. The most common types of business insurance that a self-employed person needs are:

• General Liability insurance
• Umbrella insurance
• Property and equipment insurance
• Cyber liability insurance
• Professional Liability insurance

Life Insurance

If you’re married, then it’s probably a given that you’ll want to have a life insurance policy. Make sure that you carry enough coverage to pay off all of your business expenses, including loans and other financial obligations.  If you have children, you’ll want to consider having enough so as to provide income for your spouse for several years. Your family will be dealing with the loss of you, and the last thing your spouse should have to worry about how to pay the bills instead of instead of providing comfort to your kids.

What if you aren’t married? Life insurance may still be an important aspect of your insurance portfolio. Do you have any loans out for business spaces? What about other loans where there is a co-signer? Do you work with someone else? What happens to your business if you die? You’ll want to make sure that you have enough coverage to pay off your loans and still provide some cushion to make sure all other expenses are covered. Funerals average about $10,000 in California (less for cremation), and someone will have to pay for that if you don’t have life insurance.

If you live in California and want to make sure that you have proper insurance coverage as a self-employed person, fill out our online California Business Insurance request form and we can get you covered!