Starting a side hustle is an exciting venture—whether you’re tapping into your creative potential, turning a hobby into extra income, or launching the beginnings of a full-blown business. However, amidst managing orders, clients, and daily tasks, many side hustlers overlook one important question: “Do I need insurance for this?” If you’re thinking, “Nah, I’m too small for that,” think again. Even small operations have risks, and skipping insurance now could cost you later.
What Types of Side Hustles May Need Insurance?
Side hustles come in all shapes and sizes, but some carry risks that make having insurance a smart move. Here are a few examples of businesses that should consider coverage:
- Selling handmade goods on Etsy or at local markets – Your products are beautiful, but what happens if someone claims they were injured or harmed by an item you sold?
- Running a food delivery or catering service from home – Is your kitchen legally covered, and are you prepared for liability if food-related illnesses occur?
- Freelance work like graphic design, photography, or consulting – What if a client sues you over missed deadlines, a mistake in your work, or dissatisfaction with your services?
- Renting out property or vehicles – Property damage or misuse is always a lurking possibility.
- Offering beauty or wellness services – Nails, lashes, massage, or similar services often carry health and safety risks that could lead to customer complaints or even lawsuits.
Each side hustle is unique, but all share one common factor—risks.
What Are the Hidden Risks of Side Hustles?
It’s easy to think that insurance is just for bigger businesses, but even small projects can come with unexpected challenges, such as:
- Property Damage or Theft – If your tools, computer, or raw materials are damaged or stolen, replacing them could be costly.
- Customer Injuries or Liability – Something as simple as a spilled drink at your home-based catering gig can lead to injury or lawsuits.
- Lawsuits or Professional Errors – A dissatisfied client can claim professional negligence or even take legal action.
- Damaged Goods During Shipping – If your products arrive broken or defective, your customers may hold you liable.
- Uninsured Vehicle Use for Deliveries – Using your personal car for deliveries without proper coverage can be a major problem if accidents happen.
Without the right insurance coverage, these risks could leave you facing financial hardship.
But My Side Hustle Is Small—Do I Really Need Insurance?
It’s a common myth that small-scale or part-time operations don’t need insurance. The truth is, accidents and disputes don’t care how big or small your business is. Even a one-person operation can encounter large, unexpected costs if something goes wrong. For just a modest investment, business insurance provides peace of mind, letting you focus on building your hustle without constantly worrying about “what ifs.”
What Types of Insurance Should You Consider?
Depending on your side hustle, here are a few types of insurance that might be worth exploring:
- General Liability Insurance – Protects you in cases of bodily injury, property damage, or advertising claims.
- Professional Liability Insurance – Covers mistakes, missed deadlines, or negligence in your services.
- Commercial Property Insurance – Protects your tools, equipment, or workspace from damage or loss.
- Commercial Auto Insurance – A must if you use your vehicle for deliveries or other business purposes.
- Product Liability Insurance – Helps cover claims arising from defective or harmful products.
Each side hustle will have different needs, so it’s worth speaking with a professional for tailored advice.
Protect Your Passion Project
Your side hustle is more than just a way to earn extra money—it represents your creativity, skill, and determination. Protecting it with the right insurance helps ensure its success for years to come.
Running a Side Hustle? Uniserv Can Help You Protect It
Whether your business is big or small, Uniserv Insurance Services offers custom coverage options to protect your passion project.
We serve individuals and businesses across California. Call 888-698-6473 today or fill out the contact form to get the protection your side hustle deserves.
