Types of Insurance for Freelancers

If you've established your freelance writing as a business, have you thought about carrying some kind of insurance, such as indemnity or liability insurance?

Indemnity Insurance for Errors and Omissions

This kind of insurance is also called professional liability insurance or professional indemnity insurance and protects you against expensive litigation by clients or former clients claiming that your writing or the product you made was somehow negligent due to an error or accidental omission.

This insurance is similar to the malpractice insurance doctors hold. It covers you and limits your liability while you are in the process of doing your job. This is a type of insurance that is very often carried by consultants and independent contractors. 

Liability Insurance for Freelancers

This is "slip and fall" insurance. That is, it's insurance that covers you were someone to be injured on your premises. Other scenarios include dog bites, etc. Obviously, if you're not having clients or subcontractors visit your house, this may not be an issue. However, bundling insurance policies can often lead to a significant discount. You'll want to be able to invite people to your house in a pinch, so do give this insurance a second look.

Home Insurance for Freelancers

If you write from a home office, consider checking in with your home insurance agent. Make sure your home insurance also covers your home office and the items inside it. Two laptops and a printer could cost up to $5,000 to replace were they damaged in a fire or lost in a robbery. Your insurance may require a rider or separate policy and you wouldn't want to find that out as you're recovering from a tragic event. If your home insurance doesn't cover you, evaluate the cost of contents insurance for what's in your office.

Auto Insurance for Freelancers

If you use your vehicle to visit clients, get to meetings, or do marketing tasks, check with your car insurance agent to make sure these uses are covered under your vehicle insurance.

Business Interruption Insurance for Freelancers

This kind of insurance ensures a consistent income if your business operations are interrupted by some type of natural disaster. Arrangements vary, but could save you lots of grief.

Disability Insurance for Freelancers

Freelancers aren't covered by employers like the rest of the working world. Disability insurance ensures you'll continue to have an income if you were hurt or injured and couldn't write. Freelancers Union is a source of affordable insurance worth investigating.

Health Insurance for Freelancers (and National Insurance)

Brush up on the details of health insurance for freelancers and find out if you are able to join a partner's plan. If you just left a full-time position, you may qualify to extend your company insurance for 18 months through COBRA, but this is typically the most expensive option. In addition to Freelancers Union, investigate what your professional trade associations offer. The Affordable Care Act provides solutions for freelancers, but the number of options varies by state.

Dental Insurance for Freelancers

Freelancers Union offers some affordable dental insurance options as does the Affordable Care Act's Marketplace. In your search for freelance health insurance, these same pools and providers may be helpful for locating dental insurance.

Life Insurance for Freelancers

If you have children, life insurance makes sure your death isn't an undue financial burden on your family and can provide a stream of income to replace yours. Freelancers Union offers some affordable rates.

Media Insurance for Freelancers

"Media perils" insurance offers protection against defamation and libel suits, which may not be covered by your writing clients. It's insurance to cover the legal fees associated with fighting such charges.

The Bottom Line

Covering yourself now helps to avoid a lot of issues later. Assess your needs, do your homework, and you'll end up with business and personal coverage that's right for you.