The remote work revolution has transformed the Oregon Coast. Thousands of professionals have relocated to coastal communities, trading commutes for ocean views and running their businesses from home offices overlooking the Pacific. But many of these home-based business owners are operating with a dangerous insurance gap — their homeowner's policy does not cover their business activities, and they do not have a separate business insurance policy.

What Your Homeowner's Policy Doesn't Cover for Your Business

• Business Equipment: Standard homeowner's policies limit coverage for business property — typically $2,500 at home and $500 away from home. If you have a $5,000 laptop, a $3,000 camera setup, or $10,000 in professional equipment, you likely have a significant coverage gap.
• Business Liability: If a client visits your home office and is injured, or if your business activities cause damage to a third party, your homeowner's liability coverage may not apply. Business liability requires separate coverage.
• Business Income: If your home is damaged and you cannot work for several weeks, your homeowner's policy will cover your additional living expenses — but it will not replace your lost business income.
• Professional Liability: If a client claims your professional services caused them financial harm, your homeowner's policy provides no coverage. Professional liability (E&O) insurance is essential for consultants, designers, writers, and other professionals.
• Data and Cyber Liability: If you store client data on your home computers and suffer a data breach, your homeowner's policy provides no coverage for the costs of notification, credit monitoring, and legal defense.

Home-Based Business Insurance Options

There are several ways to address the home-based business insurance gap, depending on the size and nature of your business:

Home Business Endorsement: For small, low-risk home businesses, adding a home business endorsement to your homeowner's policy may be sufficient. This adds limited business property and liability coverage at a modest additional premium.

In-Home Business Policy: A standalone in-home business policy provides broader coverage than an endorsement — including higher business property limits, business liability, and business income coverage.

Business Owner's Policy (BOP): For larger home-based businesses or those with significant equipment, inventory, or liability exposure, a full Business Owner's Policy (BOP) provides comprehensive commercial coverage. Gerald Ross Agency can help you determine the right solution for your specific business. Learn more about our commercial insurance options.