Many people are self-employed, whether they’re running a small business from home or just trying to generate some extra income. This can be a great way to have more control over your work schedule and not have to commute every day. But it also comes with risks that you might not think about when you start out on your own.
One of those risks is having your home office damaged by fire, theft, vandalism or other disasters. Homeowners insurance is probably something you’ve heard of, but does that policy apply when it comes to your home business? Here’s what you need to know about homeowners insurance and whether or not your home office is covered.
What Is Homeowners Insurance?
When most people think about their homeowner’s insurance, they think of the coverage on their actual house itself. If the house catches fire or is damaged by a windstorm, you’re going to want homeowners insurance to pay for repairs. And if your house gets burglarized, a homeowners policy might cover your lost possessions as well.
But that’s not all it covers. Many people don’t realize that they also have personal liability coverage on their homeowner’s policy that can protect you if you accidentally injure yourself or damage property.
What Your Homeowners Insurance Won’t Cover
There are a lot of things that your homeowner’s insurance won’t cover for business use of your home, including:
- Business Property: This includes equipment and inventory used in your business. So if you damage tools or supplies, they won’t be covered under your policy.
- Damages Caused by Employees: Generally, employers are responsible for injuries that happen on the job because it’s part of their business. While you can purchase Employer’s Liability Insurance to cover this, if your employees are family members or friends working for free, it won’t be covered under your homeowner’s policy.
- Hired Equipment: Any rented equipment must have its own insurance policy through the rental company because it isn’t covered under your homeowner’s policy.
As you have seen, there are aspects of your home business that won’t be covered under a homeowners policy. So, if you want to protect yourself and your investment in Pittsburgh, PA talk to an agent from Daniel Carinici Agency LLC. We can help you find the right coverage for your home business.
