Working from home changes use, not the building
Working from home doesn’t alter the bricks or the roof, but it does change how the property is used. That distinction matters to insurers. Home insurance is priced around domestic use. Once work enters the picture, insurers start asking different questions.
Most of the time, the change is modest. Occasionally, it isn’t.
Light home working versus running a business
There’s a clear difference between answering emails at the kitchen table and running a business from the spare room.
Insurers usually draw the line based on activity rather than job title. Computer-based work with no visitors is treated very differently from stock storage, client visits, or regular deliveries.
When insurers usually don’t mind
Many policies allow low-impact home working without any changes.
- Office-based or administrative work
- No customer or client visits
- No business equipment beyond laptops or monitors
- No changes to the structure of the home
In these cases, insurers often see working from home as an extension of normal living.
When insurers expect to be told
Insurers usually want to know if working from home increases risk or changes liability.
Regular visitors, specialist equipment, or business-related storage tend to trigger disclosure requirements.
Business equipment and contents limits
Standard contents insurance often limits cover for business equipment. Laptops owned by an employer may sit outside the policy altogether.
Items owned by the homeowner but used for work can be subject to lower limits unless specifically noted.
Employer-owned equipment
Many people assume their home insurance covers work-issued equipment. Often, it doesn’t.
Responsibility usually sits with the employer’s insurance, but that depends on employment arrangements and contracts.
Liability considerations
Once people visit the property for work purposes, liability exposure changes. A client slipping on the drive is treated differently from a social guest.
Public liability linked to business activity is rarely covered under standard home insurance.
Changes to rooms and layout
Converting a room into an office usually doesn’t affect insurance. Structural alterations can.
Removing walls, installing cabling, or changing access points may need to be disclosed, regardless of whether the space is used for work.
Increased daytime occupancy
Being home during the day can reduce some risks. Theft during working hours may be less likely.
Insurers don’t usually discount for this, but it can influence how claims are assessed.
Claims involving work equipment
When a claim involves work-related items, insurers look closely at ownership and use.
A damaged personal laptop used for work may be treated differently from an employer-issued device.
Common misunderstandings
- That any home working must be declared
- That employers automatically insure home offices
- That business visitors are covered as guests
- That business equipment counts as normal contents
Mortgage lenders and home working
Mortgage lenders rarely concern themselves with working from home unless it affects the structure or use class of the property.
Insurance questions usually arise before lending issues do.
Why small details matter
Working from home sits on a sliding scale. At one end, nothing changes. At the other, the property functions partly as business premises.
Home insurance responds to where on that scale a household actually sits, not how casually the work arrangement is described.