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How to Get Business Insurance as a Freelancer

One lawsuit or equipment theft can cost more than years of income. Learn which types of business insurance freelancers actually need and where to get affordable coverage.

By FlowFund TeamJune 28, 20263 min read

Why Freelancers Need Business Insurance

One lawsuit, one equipment theft, or one data breach can cost more than years of freelance income. Business insurance transfers this risk for a manageable monthly premium.

Types of Business Insurance for Freelancers

Professional liability (errors and omissions): Covers claims that your work caused financial harm to a client. Essential for consultants, designers, developers, financial professionals, and anyone whose advice or deliverables could be blamed for client losses. Cost: $500-2,000/year.

General liability: Covers bodily injury and property damage claims. If a client visits your home office and trips, general liability covers this. Required by some clients before they will contract with you. Cost: $300-1,000/year.

Cyber liability: Covers costs if a data breach exposes client data. Increasingly important for freelancers handling sensitive client information. Cost: $500-1,500/year.

Equipment and business property: Covers theft, damage, or destruction of your laptop, camera, or other business equipment. Cost: $200-600/year.

Business owner policy (BOP): Bundles general liability and property insurance, often at a discount. Good starting point.

Where to Get Coverage

Hiscox: Popular with small businesses and freelancers. Online quotes, good coverage options.
Next Insurance: Specifically built for self-employed and small business. Fast online process.
Freelancers Union: Group insurance options for members in some states.

Do You Need It?

Professional liability: If you provide professional services or advice, yes.
General liability: If clients visit your workspace or if your client contracts require it, yes.

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