As an interior designer, you breathe life into people’s homes. With more people seeking personalized, functional spaces, your client list will likely grow. Whether you’re designing living rooms, kitchens, or home offices, the door is wide open for future opportunities.
That’s why it’s essential to safeguard your success with business liability insurance. The right interior design insurance helps protect you and potentially your clients from risks that can be associated with design projects.
In this guide, we’ll outline the liability insurance coverage you may need to protect your business. We’ll also review additional coverage options and share tips for helping you choose policies that work for you.
Understanding the Risks Designers Might Face
As an interior designer, you create beautiful spaces. However, every day isn’t always picture-perfect. Part of running a small business is preparing for the unexpected. Understanding a designer’s unique risks will better protect you and your clients.
Here are the different types of risks you may encounter:
Client-related risks.
When working in a client’s home, there’s always a chance that something can go wrong. You may not be able to prevent an accident from happening, but you can help protect your business with general liability insurance coverage. Depending on the policy, it can cover client-related risks, such as:
- Property damage to clients’ homes, furniture, or belongings
- Client injuries during consultations or installations
Business risks.
Not all business mishaps happen onsite. As an interior designer, there are other challenges to consider when getting insured. Here are the business risks you should be aware of:
- Damage or theft of design equipment and tools
- Business interruption due to unforeseen events, such as natural disasters
- Data breaches or cyberattacks that compromise client information
Professional risks.
You take pride in your work, but even the most careful interior designer can experience professional mishaps. With professional liability insurance, you can help protect your livelihood and reputation from:
- Claims of negligence, errors, or omissions in design work
- Legal costs associated with lawsuits (up to your policy limits)
It doesn’t matter if you’re a seasoned pro or new to the industry, and the risks for interior designers are real. For a deeper dive into how to protect yourself, check out our article, Liability Coverage for Interior Designers: When Accidents Happen on the Job.
Essential Insurance Coverage for Designers
Wondering what the best liability insurance coverage is for you? Your insurance needs may vary, depending on the nature of your business, but you can begin by reviewing these essential policies:
General Liability Insurance
General liability insurance coverage is typically an essential policy for any design business, regardless of size or specialty. This insurance covers third-party bodily injury and third-party property damage claims, which could arise if a client or vendor gets hurt on your premises or if you accidentally damage a client’s property during a project.
Professional Liability Insurance
Even the most experienced designers can face project disputes. Professional liability insurance, also known as errors and omissions (E&O) insurance, can help protect your business from claims of negligence, omissions, libel, and more. This insurance may cover the legal costs and potential damages if a client claims your services didn’t meet their expectations (up to your policy limits).
Workers’ Compensation Insurance
Workers’ compensation insurance (WC) is required in most states for businesses with employees, and it’s essential for covering medical expenses and lost wages if an employee is injured on the job. Having a workers’ comp policy helps to ensure that your employees are taken care of while protecting your business from potential lawsuits related to workplace injuries.
Inland Marine Insurance
Inland marine insurance protects your design equipment and other materials while they’re in transit or at off-site locations. Whether you’re storing tools at a client’s location for a project or moving items between locations, inland marine insurance provides peace of mind that your business equipment is covered.
How to Choose the Right Liability Insurance
Your clients rely on your design advice to help them achieve their dreams. When choosing interior design insurance, you also have an expert in your corner.
At Simply Business, we partner with insurers specializing in small business coverage to offer a range of policies tailored to your needs and budget.
We’ve helped insure over 1 million small business owners worldwide. You can get an interior design business insurance quote with our fast and easy online process in just 10 minutes. We also have agents available to answer your questions, Monday through Friday, 8 a.m.-8 p.m. (ET), at 844-654-7272.
Get Insured in Under 10 Minutes
Get an affordable and customized policy in just minutes. So you can get back to what matters: Your business.
Insurance by Design
You put careful thought into every detail of your work, and so do we. At Simply Business, we believe you can never be too prepared. That’s why our Resource Center offers valuable guides, tools, and tips to small business owners like you.
Here are three more articles to check out: