Continued advances in technology make it easier for business owners to run their companies from home. With 38 million home-based businesses in the U.S.—and growing—there are many unique financial exposures. Some of the more crucial insurance gaps are created when business and personal property are intermingled; think of storing inventory alongside household goods or using a phone or computer for both personal and business activities. Where does the typical homeowners policy stop and a business owners policy begin? And how do you protect your business and personal assets?
The most common owner-occupied home insurance policy has limitations for business losses, and likewise your business policy has a limitation for personal exposures. Make sure your insurance professional knows that you have a home-based business. This will allow your agent or broker to make important coverage suggestions. You don’t want to miss crucial protections, such as business income loss and property damage.