For Consumers

Insurance and your home business

If you run a business out of your home, you might be uninsured and not realize it. Many business owners mistakenly believe their homeowner policy will provide coverage for their home-based business operations and property.

Don’t wait until you have a loss to find out if you're covered. Discuss your situation with your agent or broker.

Types of coverage to consider

  • Business-related personal property coverage (covers computers, furniture, etc.)
  • Inventory
  • Off-premises coverage for business-related personal property located somewhere else
  • Business property of others
  • Accounts receivable (up to a specified limit)
  • Liability coverage, which may include personal injury, products and completed operations, incidental contractual liability, and general commercial liability
  • Electronic data-processing coverage
  • Valuable papers provides coverage for your business records and other essential information
  • Business interruption
  • Extra expenses

If you want to make sure you and your business are fully protected, contact your agent or broker.

Add-ons to your homeowner coverage

Most insurance companies that offer homeowner coverage may also offer a rider or extension of your homeowner policy. This broadens your coverage to include your home-based business.

When to consider buying commercial insurance for your business

If you employ full-time workers or you generate a sizeable income, you may want to buy a commercial policy for more complete protection. Commercial policies are separate from your homeowner policy. Your insurance agent or broker can help you decide your coverage needs and what coverage is available to you.

Where to go if you can't find coverage

Ask your agent or broker to help you find other coverage.

If he or she can't find other coverage, they can get you an insurance quote through the Washington FAIR (Fair Access to Requirements) Plan (www.wafairplan.com). It provides basic property coverage up to $1.5 million for people who can't get coverage.