Sole Trader - Theft of Money

NickCa

Hi all,

House was broken into while we slept. Car taken, but also the takings from a dance class. I am a sole trader. Insurance say they will not pay out on takings as they are business proceeds and therefore not covered under home insurance. Is this right? If so, when does money become income (hence covered) rather than being business proceeds?

Thanks.

Nick

InsideInsurance

It is never going to be clear for a sole trader as there is only one legal entity, you.

What is your normal practice? Do you have a business bank account or not? Do you normally bank all the cash or just the element for tax liabilities?

Ultimately, register a complaint and threaten the FOS if you arent happy with the response