What insurance do I need to run a business from home?

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1. Add coverage for business-related losses.

   If you have expensive equipment, special tools, or lots of inventory, you might want to add coverage to your home policy to cover those assets. Unless it’s just you and your laptop, a typical home policy won’t be enough.

2. Consider business interruption coverage.

   Business interruption coverage pays for lost income if your business is damaged by the events covered by your policy, such as a storm, theft, or fire. Some policies exclude epidemics, pandemics, or power losses that weren’t caused by a covered event.

3. Consider personal data coverage.

   If you store your customers’ personal data—such as medical or financial records—you may need to add data breach or cyber liability coverage.

4. Get coverage for deliveries.

   Your auto insurance probably won’t cover accidents that happen while you’re driving for your business. If you make a lot of deliveries or pick up expensive supplies, you might want to add a commercial auto policy.

5. Hiring new employees? Cover them.

   If your business is expanding and you need to hire help, that’s great! But your home policy probably doesn’t cover accidents related to a business. You may want to add workers’ compensation coverage, additional liability coverage, or an umbrella liability policy.

6. Talk to your agent or insurance company.

   If a few of these issues apply to your business, talk to your agent about adding a business owner’s policy. They can bundle together different coverages to protect your business. Questions? Call our Help Line at 800-252-3439.

Resources

• Starting a business? What you need to know about business insurance (video)
• Commercial property insurance guide 
• More information on business insurance