Working From Home Insurance 6 March at 1:48PM in Insurance & life assurance 4 replies 109 views

DayDreamJay

We work from home full-time doing picture framing in a rented house. The landlord is concerned that his buildings insurance will be invalid if for instance there was some kind of damage or fire and the insurance company found out that the house was being used for business purposes. He has asked us to get insurance to cover our business and presumably any damage caused by our business to his property. What should I be Googling please? When I look up business insurance it just gives me results for public liability or for insuring business equipment. Thanks in advance.

user1977

I would have thought it makes more sense for him to amend his buildings insurance to cover the actual use - and then presumably ask you to pay the difference.

dunstonh

The landlord is concerned that his buildings insurance will be invalid if for instance there was some kind of damage or fire and the insurance company found out that the house was being used for business purposes. 

His buildings insurance company may or may not be concerned.   However, if they are concerned, then getting a homeworkers policy isn't likely to resolve that problem.  i.e. if the buildings insurance provider says no to work from home then a homeworker policy is not going to change that.    he should find out first what it is.

Homeworking tends to affect contents insurance.    So, at the moment, you either don't have contents insurance or there is a good chance you are paying for something that wont cover you.

Typically, most home insurance policies will cover work from home if it's admin/clerical only.   They become fussier (i.e. won't offer cover) if there is stock and materials and get fussier still if people come to your house.      The level of restrictions/refusals to offer tend to be greater at the budget end scale (i.e. top of the comparison site) and less with the quality cover.

So, first thing is to find out what the implications are for your current provider.    If they refuse cover then you are looking at home-worker home insurance policy or one of the better quality home insurance providers.

DayDreamJay

dunstonh said:

The landlord is concerned that his buildings insurance will be invalid if for instance there was some kind of damage or fire and the insurance company found out that the house was being used for business purposes. 

His buildings insurance company may or may not be concerned.   However, if they are concerned, then getting a homeworkers policy isn't likely to resolve that problem.  i.e. if the buildings insurance provider says no to work from home then a homeworker policy is not going to change that.    he should find out first what it is.

Homeworking tends to affect contents insurance.    So, at the moment, you either don't have contents insurance or there is a good chance you are paying for something that wont cover you.

Typically, most home insurance policies will cover work from home if it's admin/clerical only.   They become fussier (i.e. won't offer cover) if there is stock and materials and get fussier still if people come to your house.      The level of restrictions/refusals to offer tend to be greater at the budget end scale (i.e. top of the comparison site) and less with the quality cover.

So, first thing is to find out what the implications are for your current provider.    If they refuse cover then you are looking at home-worker home insurance policy or one of the better quality home insurance providers.

Thanks for this. The room that we work in is basically a converted barn that is attached to the house with a small door that has been knocked through from the house. It has its own separate outside door. I am wondering if this could be classed as a separate entity even though there is a door through from the house? We do have contents insurance but it's obvious to anyone who looks at it that they are two separate buildings albeit with access from the house. Does this change anything?

user1977

Whatever you do about contents insurance is up to you - I presume the landlord's only concern is buildings insurance.