Home Staging Business Insurance

Best Insurance for a Home Staging Business

General liability insurance is — generally speaking — one of the most important insurance policies for home staging businesses. 

Some of the risks general liability insurance covers are:

• Bodily injury
• Property damage
• Medical payments
• Legal defense and judgment
• Personal and advertising injury

Moreover, your home staging business could also need protection from other risks. These are the types of policies such a business is likely to need: 

• Commercial property coverage: This type of insurance provides coverage for the business’s property, including furniture, equipment, and supplies. It can protect against losses due to theft, fire, or other types of damage.
• Professional Liability Insurance: This coverage protects home staging businesses from claims of negligence, errors, or omissions that may result in financial losses or damages to clients.
• Workers’ Compensation Insurance: If a home staging business has employees, it may be required by law to carry workers’ compensation insurance. This coverage provides benefits, such as medical expenses and lost wages, to employees who are injured or become ill while on the job.

When it’s time to purchase coverage, you will generally have a choice between the following two types of insurers:

• Traditional brick and mortar insurers: This group of insurers, like State Farm and GEICO, mostly distribute their products and services through in-person contact. As a result, routine processes, such as renewals, are more cumbersome than they could be. 
• Online insurers: Insurtechs, like Bright Health and Next, often provide a better digital experience, with online platforms that allow customers to purchase and manage policies, file claims, and get support. This approach is ideal for basic coverage and policies are generally less expensive.

Cost of General Liability Insurance

The average home staging business in America spends between $400-$700 per year for $1 million in general liability coverage.

Compare the average cost of general liability insurance for a home staging business to other professional industries using the graph below.

Several factors will determine the price of your policy. These include your:

• Location
• Deductible
• Number of employees
• Per-occurrence limit
• General aggregate limit

You may be able to acquire general liability insurance at a discounted rate by purchasing it as part of a business owner’s policy (BOP) rather than as a standalone policy.

A BOP is a more comprehensive solution that includes multiple forms of coverage, such as business interruption and property insurance.

Find the Best Rate

Discover the best coverage at the lowest rate in our affordable business insurance review.

Common Situations That General Liability Insurance May Cover for a Home Staging Business

Example 1: An employee is staging the home of a client. While vacuuming the main living room area, she accidentally sucks up the edge of an antique Persian rug, and a section of it unravels. The damage is going to be extremely expensive to repair, and the rug may need to be replaced. Your general liability insurance policy covers damages your business causes to your customer’s property.

Example 2: A potential client is visiting your place of business to talk to you about staging his home. While walking into your office, he slips on a patch of ice and falls, breaking his arm. Your general liability insurance policy will likely pay for his medical treatment.

Example 3: Employees carrying a large sofa into a client’s home for staging do not see the client’s husband as they are rounding a corner outside of the home. They run directly into him, knocking him to the ground. He sustains a concussion and decides to sue your business. Your general liability insurance policy will cover the cost of your legal defense and a settlement if necessary.

Other Types of Coverage Home Staging Businesses Need

While general liability is the most important type of insurance to have, there are several other forms of coverage you should be aware of. Below are some of the most common types of coverage:

Commercial Auto Insurance

The automobiles that you use primarily for business should be covered by a commercial auto policy. In the event that your vehicle is involved in an accident caused by you or your employees, your commercial auto policy will pay for the damage to your vehicle and any other vehicles in the accident. It will also pay for the medical care for all vehicle occupants injured by the accident.

Professional Liability Insurance

Professional liability insurance covers your company when you are determined to be liable for mistakes or failure to perform. For example, if a client decides that your staging work was responsible for poor sales results and takes legal action against your business, your professional liability insurance would pay for your legal fees.

Commercial Umbrella Insurance

An umbrella policy will pick up where your general liability insurance policy leaves off. If you are in a situation where your general liability limits are exceeded, like if you lose a big lawsuit, you can rely on your umbrella policy to pay once the general liability policy stops paying, up to the limits of the umbrella policy.

Workers’ Compensation Insurance

If your business has employees, workers’ comp insurance will allow you to help them if they are injured on the job. It pays for work-related injuries, including medical care for treatment and helping with lost wages if the employee is unable to work while recovering.

Additional Steps To Protect Your Business

Although it’s easy (and essential) to invest in business insurance, it shouldn’t be your only defense.

Here are several things you can do to better protect your home staging business:

• Use legally robust contracts and other business documents. (We offer free templates for some of the most common legal forms.)
• Set up an LLC or corporation to protect your personal assets. (Visit our step-by-step guides to learn how to form an LLC or corporation in your state.)
• Stay up to date with business licensing.
• Maintain your corporate veil.