Risks of working from home
2 February 2008
This article includes important tips and advice about the risks
from working from home. If you work from home, it’s possible that
you could be putting yourself at risk by leaving some gaps in your
home insurance cover. These gaps could apply if you see clients
from home, or even if you just keep business property at home such
as a laptop and printer.
Many mainstream home insurance policies are not designed for
people who work from home. Instead they are designed for people who
travel to a place of work each day, which is what the majority of
However, many professionals now work from home due to the
convenience and cost savings it offers, which can be helpful when
first starting out. However, this might leave gaps in your
So what are the risks?
The restrictions an insurer might impose on you, if you tell
them you now work from home, will vary from one insurer to the
next. Some might refuse to continue to offer cover altogether,
whilst others might restrict certain sections of the policy.
For example if you see clients at home they may restrict or
exclude the theft section, as well as excluding the public
liability section (which protects you if for example a visitor is
injured at your home). If you keep business equipment at home, this
may be excluded altogether or you may be asked to pay an additional
You may be tempted to ask at this stage – “do I really need to
let them know?”. Any change to the way you use your property would
be what insurers would call a “material fact”. This is a fact which
might influence them as to whether or not to insure you, and if so
at what premium and terms. Under an insurance contract, you are
legally obliged to advise your insurer of any material fact as and
when it arises. By not doing so, you could be at risk of having a
claim refused, even if it doesn’t relate to you working from
What you should do?
If you work from home, notify your current insurer. Your
mortgage lender may also require you to notify them, or your
landlord if you rent your home. If you advise your insurer, they
will advise what terms if any will apply to your policy.
If your current insurance no longer offers the cover you need,
Towergate will be happy to help you. We can offer you a household
policy which allows you to work from home without any restrictions
on your policy, and offers a price match against your current
We’d be happy to speak to you, whether you require a quote now,
or at your next renewal date. If your renewal is not due for some
time we’ll be happy to take your details now and give you a call
back to offer you a quote when it suits you.
We can be contacted on 0113 391 9591
for a quotation.
Need cover? Read about our household
insurance for solo professionals working from home or complete
an enquiry form.
*The price match offer is subject to our standard underwriting
acceptance criteria. The proposer must also be an existing
Towergate customer, over 30 years of age, and have had no household
insurance claims in the last 3 years. A copy of the existing
insurer's renewal notice will be required.