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Tiffany Said:

Help with Home Busines and Insurance?

We Answered:

There is more than one issue here. Does your father LIVE in the house as a secondary home? If not, it is nonowner occupied (even if a relative is living in it) & no longer qualifies for a homeowners policy, it needs to be on a dwelling fire policy. Then, you will also need to purchase a tenants policy to have coverage for your personal contents & personal liability. It is also going to make a difference if the business is in the house itself or a detached structure. If it is in a detached structure, there is absolutely NO coverage on your father's homeowners policy the second your business goes in there. That is an exclusion on the policy form.
You absolutely need to purchase a business policy on your business, however, you will need to tell your tenants insurance company about the business. Most of the time, insurance companies want both the personal & business policies with the same company when they are at the same location because that way, there is no argument between different companies if there is a covered loss if it was business related or personal. It may also be required that your father's dwelling fire policy be with the same company also. You will both need to find a company that writes your type of business (not all companies write all types of businesses) and personal insurance. Depending on your business, your father may need to purchase a commercial fire policy.
The only person that would be able to answer this properly is an agent in your area that writes both personal & commercial insurance. He or she will ask the necessary questions to properly cover you, your business & your father's house. It would be best to speak to an independent agent since they would have several companies to chose from to coordinate all of your insurance.
Good luck on your new venture.