This Is the second posting, as everyone Answered Who Seemed to Understand What I Was not Asking:
I am starting a home-based business in WV. I Have Obtained The required licenses in my state and Have Registered With The WV Secretary of State's office.
There are no empolyees Almost all activity and Pertaining To The Business is Conducted Elsewhere (at shows, flea markets, etc..) However a physical address required to register The WAS business, so i used my home address.
Question: What does this do to my Homeowners' insurance?
I Will Purchase A separate policy specifically for The Business, The social aspect IS Covered liability. This question is Only About the Homeowners' insurance ...
My policy states clearly "That right now it is for residential only. A commercial policy IS 3x What the residential Costs. Does Registering a business to mean my home That I must get a commercial policy?
Maybelle Hironaka says...
Well, it's up to the homeowners insurer. Most, for that kind of business, as long as you have a seperate GL policy, will ask you for a copy of it, and happily keep writing your homeowners insurance.Some still won't want to write your homeowners policy.It's up to the individual companay, and their underwriter, to make that choice.
No, having that business there does NOT "automatically" mean you need a commercial policy, with the type of business you have(no foot traffic, and no hazardous business property on site).
Regarding your house burning down.The insurance company can decline to pay for any contents used for your business. I don't think they flat out have grounds to deny the claim, assuming that they haven't asked you if there was a business on the premises lately.If you don't lie, you should be ok.
Most people with internet based home business don't worry about insurance.Most of the time, they don't have a problem.
The only time a problem happens, is when a claim is filed.MOST people, don't have claims.
Posted on October 16, 2010
