If you own your home and have a business, then you may have heard that you will need to have two separate policies in order to have everything covered properly. Home insurance is designed to cover risk exposures that are related to a person’s personal home. A business will need its own policy in order to be protected correctly. Here are a few reasons why you will need two different policies.
Why You Need Two Policies for Your Home and Business
- A business has a lot more risk exposures that need to be covered by a business policy. Most personal line agents may not write any policies for insurance companies where the applicants home is the place of business.
- A business policy carries a higher liability limit than a normal home policy. In most cases the lower limit starts at one million in coverage and can be increased to cover the increased customer exposure.
- A normal home policy only covers personal belongings so if you have a business in your home, then none of the companies merchandise would ever be covered should there be a total loss.
- Your home policy will have limited coverage for high dollar items. A business policy is more comprehensive in what it covers.
If you live in the Wayzata, Minnesota area and have questions about your home policy or a business policy, then you need to contact your independent agent today. As your agent we can help answer all of your questions that you may have about your insurance options. It’s important that you give us a call so that we can give you specific details for your circumstances and help you get the policy that you need for your business and home.