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Home insurance, business use or not?

edited 30 November -1 at 1:00AM in Insurance & Life Assurance
6 replies 887 views
IwanttobefreeIwanttobefree Forumite
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edited 30 November -1 at 1:00AM in Insurance & Life Assurance
Hi

Wife's a mobile hairdresser, she doesn't fall under business use as in not doing peoples hair at our house.

But she does store her equipment at our house, would this class it as business use?

Many thanks
The way things are going, soon we are all going to be victims of something or other.

Who will we blame then?

Replies

  • FutureGirlFutureGirl Forumite
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    No the property is not used for business use if she's not actually doing peoples hair at your home.

    Her business items likely won't be covered under the home insurance either so make sure she has separate cover for her business items (scissors etc).
  • IwanttobefreeIwanttobefree Forumite
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    I thought the same, I also asked two insurance companies.

    The response I got from AXA has made me decide to avoid them, if they can't understand a simple question like this, I'm not going to risk having my home insured with them.

    RIAS on the other hand responded with the following (Asked exactly the same as my original post)
    We email to confirm our underwriters would require us to have the below questions answered in relation to your to your spouses business.

    We understand that you have only had a quotation at the moment in time but these are the questions are underwriters would require answered to be able to make a decision.

    If not the PH, what is their relationship to the PH?

    What is their occupation?

    Do they live at the property full time?

    How many visitors come to the property per week in connection with the business?

    What is the total value of business cash that is kept on the property at any one time?

    How often is the business money banked?

    What business equipment is kept at the property?

    If any, what is the value?

    What stock is kept at the property? If so what is its value?

    Where is it kept?

    Are there any employees? If so how many?

    Does the business have liability insurance?

    Where does this occur (i.e. in the house, in a outbuilding?)

    Is the property advertised in any way? If so, how? (Locally, nationally etc.)

    We hope this information is helpful with your quotation.
    The way things are going, soon we are all going to be victims of something or other.

    Who will we blame then?
  • marlotmarlot Forumite
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    Aviva gave us 'minimal business use' cover for no additional charge (deliveries to the home for wife's customers). Few or no business visitors to the home.
  • IwanttobefreeIwanttobefree Forumite
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    Axa just got back to me (after I responded politely asking them to answer the question I asked :) ) saying I don't have to declare it, but non of her business stuff would be covered under contents, which is fair enough as she has liability insurance etc anyway.

    Rias looks the best out of all of them. £137 for the year, the cheapest was Admiral, but when you looked into it, for the extra £13 I get a lot more. for example Admiral only covered emergency accommodation up to £30000 (might have been £25000) and gave no cover for my shed whereas Rias covered me for £100000 emergency accommodation and £5000 from my shed.

    It's interesting how I can reduce additional excess on contents from £250 to 0 and it only ads £2 to the year, building on the other hand I saved about £30 a year by upping from £100 to £250
    The way things are going, soon we are all going to be victims of something or other.

    Who will we blame then?
  • IwanttobefreeIwanttobefree Forumite
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    RIAS said the underwriters have stated that I do have to say its used for business.

    But Like Marlot, it didn't change the quoted price at all, there is an exclusion on the policy that excludes any of my wifes business equipment/money.

    Very happy, total price with legal protection £135, a little better than the £360 Direct line quoted me as an existing customer who has never ever made a claim in his life.
    The way things are going, soon we are all going to be victims of something or other.

    Who will we blame then?
  • IwanttobefreeIwanttobefree Forumite
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    Going through the paper work it says, quote
    Have you or any resident living in the property been declared bankrupt or had a County Court Judgement

    And it was filled in as "no".

    When I used a comparison site to get quotes, the site asked something along the lines of "have you had a CCJ in the last 5 years or any uncleared CCJs" (my words, cant remember the wording)

    The wording on my policy implies they want to know if I've ever had a CCJ.

    Criminal Convictions asks if I've had "Unspent Criminal Convictions" or "Pending Prosecutions" which makes sense, but the CCJ one implies "ever".


    I have had one, I think it was in 1982, obviously not relevant, but I don't want say my house to burn down and them not pay out because the paperwork says I never had one.

    So I phoned, expecting them to laugh and say not to worry.

    I was put on hold while they spoke to their manager, then they came back and said they need to speak to their underwriters, then came back and said the underwriters said they would make a note that I've had one and it's now satisfied.

    I paid it off something like 35 years ago, I can't believe they needed to make a note of it.

    Technically if my house did burn down, I suppose they could have refused to pay out because I didn't declare it?

    I don't trust insurance companies, hence I make sure they know everything so there's no getting out of it (that said, never made a claim on home or contents in my life)
    The way things are going, soon we are all going to be victims of something or other.

    Who will we blame then?
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