When Working From Home Is Running a Small Businesses

When Working From Home Is Running a Small Businesses

More and more Americans than ever are working from home today. Companies are realizing that “remote workers” can be as productive, if not more so, that those who come into the office every day. Remote workers are still employed by their organizations, however. There are times, though, when working from home may actually be operating your own business. Here are some possible examples.

You Sell Products or Services You Produce

If you make hand-made items, create pieces of art or design jewelry at home to sell for a profit, you are likely operating a small business from home. Likewise, if you are operating a handyman service, walk dogs, perform landscaping or offer other services with your home as your office, it is likely a home business.

You Provide Contract Services.

More people are performing tasks at home to earn money as “free-lancers”. This can range from designing company logos and artwork to photography and writing. These freelancers are, in essence, conducting business from their own homes. The loss of any specific business related items from theft or damage like expensive cameras or computers may not be covered under a basic homeowners’ insurance policy.

You are Multi-Level Marketing

Multi-level marketing programs remain popular and range from health and beauty products to kitchen tools to cleaning products. If you are involved in such a program, be cautious. Holding business-related meetings in a home could lead to liability risks not covered under a home insurance policy. If you store lots of inventory of these products or have them delivered to your home they may also not be covered in a theft or other loss.

You Provide Childcare Services

While watching the occasional child is not probably going to be an issue, if you perform such duties regularly in your own home it could be considered operating a home business.

You should understand that although some municipalities and even HOA’s may have rules about conducting a business from a home, it is generally not a legal issue. It can, however, be an issue when it comes to liability. Some who conduct small business activities at home simply presume they will be covered under their basic homeowners insurance policy and that may not be the case. Contact your independent insurance agent to discuss business activities you may be conducting at home. While your accountant can assist you with tax ramifications of these activities, our agents can help protect you from losses due to fires, natural disasters and liability claims. Contact us today.


Do you have questions about your insurance? Find an insurance agent near you with our Agent Finder

Search All Blogs

Generic filters

Buzz Your
Insurance Agent

Search for a local agent with our agent finder map.

Agent Finder

Want to learn more about our blog writer?

Read more about KayLynn's background.

Click Here

Search All Blogs

Generic filters

Read More Blogs

Only One Earth: The Surprising History of World Environment Day

Happy World Environment Day! Discover how a 1972 global meeting sparked a movement that helps us protect our “Only One Earth” every June 5th.

Resilient Operations: Small Business Continuity in the Face of Summer Storms

If a storm knocked out your power for a week, would your business survive? Learn the essentials of Business Interruption insurance and storm-proofing your operations.

The Ultimate Seatbelt: Why Life Insurance is the Core of National Safety Month

You wear a seatbelt and a helmet—why wouldn’t you wear a financial safety net? See how Life Insurance fits into your National Safety Month goals.

Beating the Heat: Protecting Your Vehicle (and Your Rates) as Temperatures Rise

High heat means high risk for your car. Discover how a simple tire pressure check can prevent a high-speed accident and keep your insurance premiums low this June.

The June 1st Warning: Securing Your Sanctuary for Hurricane and Storm Season

Hurricane season starts today. Learn why you can’t wait until a storm is named to secure your home and why “Flood vs. Water Backup” coverage is the most important distinction you’ll make this year.

In Flanders Fields: Why We Wear Red Poppies on Memorial Day

Why the red flower? Discover the moving history of the Memorial Day Poppy and the woman who made it a global symbol of remembrance.

Beating the Heat: OSHA Compliance and Liability for Outdoor Workers

Summer is heating up. Protect your employees and your business from heat-related illnesses with our guide to National Heat Awareness Day.

Beyond the Holiday: Using Memorial Day to Discuss Family Financial Security

This Memorial Day, honor the past by securing your family’s future. A guide to transitioning from military to private life insurance.

he Great American Adventure: Preparing Your Policy for National Road Trip Day

Hitting the highway this Friday? Discover how to “road-trip proof” your auto insurance before you cross state lines for the long weekend.

Grilling Without Grief: Preventing Memorial Day Fire Claims

Firing up the grill this Monday? Make sure your Memorial Day BBQ doesn’t turn into a homeowners insurance claim with these essential safety tips.