A typical homeowners policy usually only covers business property up to $2,500 on the premises of the home-based business and $250 off the premises. Without the right coverage, a business could be financially responsible for property damage, lawsuits, employee injuries, or other losses. Be sure to check with your specific homeowners carrier to see what coverages and limits are provided.
If you have a business in your home, you may want to consider the following:
- A customer visiting your home for business slips and falls. Will you have coverage since the customer was at your home for business purposes? A delivery person slips and falls when delivering a package to the business.
- Your home based Limited Liability Corporation suffers a power surge damaging your computer, telephone and fax. Will your homeowner’s policy provide coverage when the property was purchased and owned in the name of the LLC?
- You are working a trade show and someone trips and falls over your display. Will you have coverage in place away from your home?
- Does the homeowner’s insurance carrier know that you are providing child care for others – for a fee -out of your home? Is this business exposure covered or excluded?
A home-based business policy is designed to provide coverage for the unique exposures a business can present.
Please contact your Rue Insurance service representative at 800-272-4RUE to discuss your options.
