If you work from home, you need the right insurance for your home-based business.
Are you are a contractor, freelancer, or self-employed and work from home? You need business insurance that protectors you and your company/business.
The Office of National Statistics has estimated that almost 14.8% of UK workers were self-employed in March 2019 that is 65,000 more people than the year before.
If that's you, it is important that you have the right cover to work from home.
Do I need home-based business insurance?
You need business insurance if -
Business-related guests visit your property more than once a month
You have paying guests staying there
You’ll need public liability insurance if you have customers who visit your home regularly. Public liability will cover you if someone has got injured on your property.
And, you will need employer liability insurance if you have people working for you from your home. Employer liability will cover the legal fees if an employee was to sue against you.
If you give out any advice that could cause your client to lose money, professional indemnity insurance is a must and will cover you for any claims they bring against you.
Do you have regular business visitors to the property?
If you're a beautician, hairdresser, chiropractor or accountant etc working from home or anyone that has clients visit. You will need to tell your insurer that you have regular visitors to your place.
That applies even if you’re an Airbnb host.
As an example, If you are welcoming guests as an Airbnb host, your insurer might charge an extra premium or put restrictions on the cover provided.
Theft may be excluded unless there are signs of a break in. There are specific Airbnb policies available which are worth looking into if you’re thinking of becoming a host.
Adding regular business visitors to your policy could see your premiums increase, as your home and contents will be at a higher risk of damage or theft.
You’ll need public liability insurance if you have customers regularly visiting your home
Other business use.
If you’re something like a carpenter and you have a workshop in your house or outbuilding, this might fall under other business use.
If you are not sure how to define your home working situation. Get in touch with your insurance provider who can help you.
Am I covered under home insurance?
Business buildings insurance covers your home for business and personal use if there's a flood or fire.
A business buildings policy could replace your buildings insurance.
However, your business equipment won’t be covered under a home buildings or contents policy, so you need something more specialist.
If you use a laptop, printer or other office equipment, check your home insurance policy for ‘Clerical use’.
If you are employed but based remotely, your employer will have insured your equipment so double check with them before you buy.