Do you have a home office or do you work from home? This is what you need to know.
At first glance, it is important to understand that your home insurance aims to cover activities pertaining to your personal life and not commercial activities carried from your home. This includes any work you are doing for clients or any paid work for an employer carried out from your home. It is important to keep in mind that the maximum coverage for all your property used for professional use is $ 2,000.00, this includes furniture, equipment, losses, damage, etc., and again, it will depend on the cause. loss, damage or damage. This is therefore very limited for most self-employed and home workers to cover civil, professional or rental liability.
What to do for additional coverage?
You could add it to your home insurance by means of an endorsement (separate additional coverage).
Homeworker’s insurance could cover:
- Damage or injury to other people during your work (liability).
- Your furnishings, materials and work equipment.
- Loss of profit and of exploitation – think of a fire or a water damage… a forced shutdown!
- Loss of commercial, accounting, documents and archives, or other data and / or the costs necessary to recover them.
What about personal prejudice or publicity lawsuits, product liability and finished work? This insurance endorsement is often suitable for a micro business, but it is important to notify your insurance broker. If the insurer predicts that the risks are too great to be linked to your home insurance, it may be better to opt for a commercial insurance.
Do you use your automobile for work?
And what about auto insurance if you use it in your business? Should an endorsement also be added to your auto insurance for the vehicle or its partial use, or should it be included in your commercial insurance?
These are all situations that must be declared to your insurer, no matter what income you make from this work, otherwise you risk being only partially compensated or, worse, not at all! These are considerations you should discuss with your licensed insurance broker in order to be properly protected according to your actual needs.