If you work from home running your own business as so many people do, then you may think that you can cover all of your insurance needs through your standard domestic insurance cover. This may not, however, be the case and you may need to consider a specialist home office insurance plan – either as a standalone product or as an extra benefit added to an existing policy.
Although you may not run a business office in the traditional sense, your home office is just as important. Most people wouldn’t dream of not insuring their business premises but many people running a home business fail to get the right cover. At the end of the day this could leave them out of pocket themselves and could even put their businesses at financial risk if they don’t have relevant protection.
So, what kind of specialist home office insurance benefits might you need? For a start, you need to consider whether you employ any other individuals to work for you. If you do then you must by law have employers’ liability cover in place to protect their interests (although there can be exceptions to this). You may also want to consider public liability insurance which protects you against any third party claim for damages or losses caused to the them or their property by you, an employee or while on your premises for which you are legally liable.
Other important factors that you may want to consider include:
your office equipment;
any stock you store at home;
any money you keep in your home office;
your business records;
professional indemnity insurance (this will protect you, for example, where a client sues you for wrongful advice);
Financial protection of this sort might be the difference between keeping your business trading and seeing it go under in the worst case scenario, should the unexpected happen.
Finally, you may also find that standard commercial policies may not suit your needs exactly – not all the features and benefits they offer may be necessary, meaning you are paying for cover you do not need. It may be worthwhile talking to a specialist home office insurance intermediary if you are at the stage where you need this kind of cover.
By James Clapton