From Rush PR News Wire,
Over time, anyone you conduct business with, whether it’s a client, delivery person or vendor, could sustain an injury while on your property. For instance, if a customer comes to your home and slips on the ice on your driveway and breaks their leg or arm, it’s highly unlikely that your homeowner’s policy will cover their hospital bill as the visit was business related.
Covering third-party hospital expenses could hurt both your business and bank account if you do not have the right insurance coverage.
Conventional rental and home policies are unlikely to cover any unforeseen legal expenses pertaining to your home-based business, like claims of libel, negligence, or even IP theft. For instance, if you store business data at home and there happens to be a technological failure or security breach, a client might sue you. Unfortunately, small businesses are easy targets for lawsuits and so, it is imperative to have proper protections in place.
Insurance Options For Home Based Businesses
In order to determine which business coverage will work best for your case, you need to consider the type as well as the size of your business. You should ideally take a look at your current policies and see what is and what’s not covered. That being said, here are some common home-based business insurance options to consider.
General Liability Insurance
This is a policy that protects you and your business from an array of claims including accidental damage to your vehicle or property, claims of slander and libel, as well as the cost of defending lawsuits.
Most entrepreneurs and business owners carry this policy no matter where they’re based and as an independent contractor, it is essential to have a form of general liability insurance so that you can protect your livelihood. This form of insurance is relatively cheap, ranging between $200 and $500 annually for a $1 million policy.
Source: Why You Need To Have Commercial Insurance For Your Home-Based Business –
See also 25 Awesome Ways to Make Money as a Stay at Home Mom  for more information on home based businesses.