Working from home or starting a business from the kitchen has never been so popular. A lot of employers let their employees spend some or all of their working week at home; not only does it save on travel costs, but workers are often a lot more productive when they don’t have to suffer a daily commute.
The same applies to home-based businesses. It is fantastic to have the opportunity to go from bed to the office in less than two minutes. You can work flexible hours and take the dog for a walk at lunchtime. But what about insurance – do you need to worry about insurance if you work from home?
Make Sure You Are Covered.
Just because you can sit at home tapping away on your computer while everyone else is stuck in traffic or crammed on to a crowded train like a sardine, you still need to make sure your home office equipment and any stock you have is protected from theft, damage and loss. Domestic home insurance policies are not designed to protect home based workers or home businesses, and if you make the mistake of thinking you are covered when you are not, your lapse in judgement could prove to be very costly.
Supplement a Standard Insurance Policy.
Some insurers will let you ‘add-on’ additional cover to a standard home contents insurance policy. This is useful if you regularly work from home using IT equipment provided by an employer. Some home insurance policies automatically provide cover for home workers, but check the small print on your policy to ensure your computer equipment is covered.
An ‘all-risks’ insurance policy will protect you if business equipment is damaged, lost or stolen, even if the loss occurs when you are not at home. So if you travel to a business meeting by public transport and leave your laptop behind on the train, you can claim for a new one.
Do Clients Visit the Premises?
You don’t need general liability insurance if your only visitors are friends and family, but if clients visit the property it is a good idea to protect your interests by investing in a general liability Insurance policy. With general liability insurance you are covered if someone suffers an accident or any type of loss visiting the premises in connection with your business. General liability insurance covers all manner of businesses from hairdressers to photographers, and in today’s ‘no win, no fee’ claims culture, it is not a policy you can afford to be without.
Professional Liability Insurance.
Freelancers working from home often work in consultancy type businesses, offering advice and providing business support to others. These businesses are, unfortunately, very susceptible to claims of negligence and poor advice, so it is wise to buy professional liability insurance if you set up a business working from home – click here for some ideas.
It isn’t always easy working out what type of insurance you need when working from home. There are so many different policies to choose from that the whole subject is a bit of a minefield, so make sure you take professional advice about the professional liability insurance cost if you are considering working from home.