The United States Small Business Administration estimates that half of America’s 33 million small businesses are home based. Examples of home-based businesses include (but is not limited to): accountants, daycares, artists, repair/handyman, musicians, tutors, contractors, caterers, cleaning services, wedding planners, dog groomers, lawn care specialists, software writers and bloggers. In most (if not all) cases, your homeowners policy likely lacks the necessary coverage for you and your home based business.
In many cases, home based businesses are eligible for a Business Owners Policy (or BOP). These are packaged policies that bundle general liability, commercial property and business interruption coverages. Other home-based business insurance coverage options (depending on your business type, revenue, number of employees, etc.) may include - commercial umbrella, cyber liability, employment practices liability and workers compensation.
Even if you consider your at home business to be a “side hustle” or it isn’t your primary source of income, your homeowners policy is likely insufficient. Additionally, “working from home” is typically different from a “home based business”. If you have questions or concerns about your home based business, please reach out to us or your agent to review!