Commercial Insurance On Your Home? Situations Where This Definitely Applies
Most people purchase homeowner's insurance for their homes and commercial insurance for their commercial properties. However, you may not have known that there are situations where commercial insurance covers your home and home insurance just becomes extra. These are unusual situations and they do not apply to everyone.
Your Business Is Home-Based with an Office in Your House
This is probably the first situation that comes to mind when someone says their commercial insurance covers their home. You own and operate a business out of your home, with a clearly defined office space in your house, similar to old country doctors who would dedicate a "parlor" to their medical practices and services. Then your commercial insurance covers the whole of the building in which you have full ownership and conduct your business affairs.
Your Property Is Zoned for Commercial Use
When your property is zoned for commercial use and you have a studio space or separate office on the property, then your commercial insurance may cover your home as well. Certain circumstances, such as a fire that originates in your studio or detached office and spreads to your house, may be covered under your commercial policy. However, a fire that starts in your home and spreads to your studio or office may not be covered because of the origin of the fire. Just double-check your policy before you buy to verify special circumstances.
You Operate a Bed & Breakfast Establishment or Rent Rooms to Boarders
Many empty-nesters find that they have a lot of space available in their homes after their grown children have moved away. Wanting to make a little money, they rent rooms to boarders or, if their homes are especially nice, they start a B&B (bed and breakfast) establishment. If this applies to you, and you stay on the property and in the house, then commercial insurance will cover this too.
Your Home Has Been Commandeered by Government Agencies
During natural disasters, surviving properties are often commandeered by government agencies so that offices can be set up to conduct business. In times of war, this is also true. In the event that your home temporarily becomes office space for government employees (or a triage hospital), then you should look at switching your homeowner's policy to a commercial policy to protect your house and the people who are floating in and out of it for work every day.
For more information, contact companies like Paris V Mastroddi, Inc.