Insurance if you work from home
Roughly 38% of Brits – or 20 million people – work from home at least some of the time, with 1/8 of people working from home all the time.[1]
You need the right cover level if you're one of those who work from or run a business from home.
Below, we discuss:
Is working from home covered by home insurance?
It depends on what you do.
We cover clerical work, like using a computer or taking phone calls. You should let us know if you're working from home and doing something that isn't clerical work.
Always tell your insurer if your circumstances change. They'll normally be happy to help and answer whether you need extra cover.
Is running a business from home covered?
It depends – you'll need to let us know.
Always contact your insurer if you're running a business from home, as cover will vary on a case-by-case basis.
Not letting an insurer know may invalidate your policy.
Does home insurance cover my garden office?
Most home insurance policies don't cover your home or outbuildings if used for business. You’ll need to tell your insurer if you’re running a business from one.
For example, you'll need to tell your insurer if you're using your shed as a workshop or teaching yoga lessons in your garden.
As mentioned, you'll have cover for clerical work, just not for running a business.
Find out more in our guide on sheds and home insurance.
Do I need to tell my insurer if I’m working from home?
You won't need to tell your insurer if you're doing clerical work from home. If your at-home job isn't clerical, then contact them.
Do I need to tell my insurer if I'm running a business from home?
Yes, you'll need to let them know.
You might not need additional cover, but updating them means you don't risk invalidating your policy.
Noel Summerfield, Head of Admiral Home Insurance, says:
"In recent years, an increasing number of people from all professions working part or full-time from within the four walls of their own home.
Flexible working has become more common, and the rising awareness and importance of finding a comfortable work-life balance with employers and employees have seen traditional ways and places of working change to reflect that.
It's important that people set the right foundations in place before they start using their home as a place of work. Having the wrong insurance in place could prove costly for everyone involved, so making sure that the right policy is in place is crucial and means that people can enjoy the many benefits of working from home with the peace of mind that their property and contents – or those of their employees – are sufficiently covered.
There is such a variety of professions and range of businesses set up from home that the only way to be sure that your existing policy covers you is to check with your insurer."
Find out more about the surprising ways you can invalidate your home insurance.
What insurance do I need if my business is based at home?
Insurance for home business includes:
Professional indemnity insurance
This cover protects you when offering advice to customers professionally and you make a mistake.
For example, it'll kick in if you make a mistake that causes a client to suffer financial loss and they claim compensation.
Public liability insurance
This insurance protects your business if someone sues you due to:
- injury
- property damage
Tools of the trade
This covers any specialist items you store at home for work. They fall outside of most contents insurance policies due to their value or uniqueness.
We don't offer this as we don’t cover business or work equipment at home.
However, if you use something for clerical work, like a computer, and it isn’t your employer’s property, you could have cover under your contents insurance.
[1] Working from home and hybrid working statistics (finder.com)
