Is Your Home-Based Business Covered by Your Homeowner’s Insurance Policy?

You might be surprised and alarmed to learn that the answer to the above question is likely to be “no”. Most homeowner’s insurance policies protect your home, its contents and structure, and offer liability coverage to protect you from exposure should a guest have an accident or incident on your property. Homeowner’s insurance was not designed for business operations, which means that equipment, supplies, and incidents involving individuals who visit for business purposes are not covered through traditional homeowners’ insurance.
 
Small businesses make up more than 90% of all business operations in Canada and Canadian Kennel Club members embody this national entrepreneurial spirit. From breeder operations to grooming, training, professional handling and more, CKC members are active, engaged members of the dog business community. To support our members and their dog-related businesses, we recently spoke with Kris Gaetano, Vice-President & Associate, BFL Canada and received some great advice.
 
“It is critically important that your homeowner’s insurance company knows about your home-based business. Every home insurance policy has a ‘disclosure clause’, which means you are responsible for notifying your provider. If you don’t disclose, your insurance provider can cancel your coverage leaving your business and your home without coverage.”
 
Once a business owner has fully disclosed their home-based business activities, the insurance provider may respond in one of several ways:
  • Offer you extended coverage for an increased premium
  • Offer to continue standard homeowner’s coverage if you can provide proof of coverage on your business
  • May recommend you find an alternate provider to cover your home and business
 
If any CKC member finds that their home-based business is not covered and is in need of information and advice, CKC invites you to contact Claire Cosme. Claire is our dedicated CKC Member representative with BFL Canada.
 
Claire Cosme, Client Service Representative
Email: ccosme@bflcanada.ca
Direct Phone: 416-849-3102
Phone: 1-800-668-5901
 
Kris Gaetano, Vice-President & Associate
Email: kgaetano@bflcanada.ca
Direct Phone: 416-849-3080

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