Did you know that more than half of all businesses in the US are home-based -- and the trend is heading upwards pretty fast?
Add to that the number of people who work remotely for their employer (telecommuting) and those of us who take work home or do some aspects of our job there, and that's quite a workforce.
No wonder a whole new sector of the insurance business has grown up in the past few years specifically dedicated to home business insurance.
But a lot of people don’t realize that working from home, whether as a business or employed by someone else, requires special insurance coverage.
This protection is available in one of four ways.
- Home workers who are employees may be insured by their employer. This depends on a number of factors and it doesn’t usually apply to independent contractors or freelancers. So it's important for both the home worker and the employer to know the status of their protection
- In a few cases, limited coverage may be available within the terms of a homeowners insurance policy. But, if it exists, this coverage really is limited and is usually inadequate for most needs. (Low-cost home business riders or policy endorsements can sometimes be added to an existing policy but, again, the coverage is limited.
- A Business Owners Policy (BOP). This may provide the needed coverage but it may be too broad and fail to address some of the specifics of an individual's needs, like health and disability insurance.
- Special home business insurance. This is a policy tailored to the type of work you do at home and the particular risks you face, but the level of protection may not be as high as with a BOP.
Not as straightforward as you might think, is it?
So, here's a question: Are you adequately covered for the risks you face while working at home?
Not sure? Just give us a call and we can quickly review your needs. Yes, we care about your business security as well as its success.