Stocking items at home - Home insurance implications and more

[rajibear]

Hi

I have started a small business reselling health related products online. I would like to store them and my parents house where we have an outbuilding at the back of the garden. I can for see this being for a while until I can build revenue to rent out our own premises.


I am a bit confused about the insurance implications. Of course my parents have building and contents cover and I understand I will have to get separate product liability and public liability insurance (covers all stock value too). However will this affect my parents insurance in any way in that they wont honour a residential claim because of the business activities. In reality I will probably turn the outbuilding into a small office with area to keep the stock.

Also will I need to pay business rates to the council?

Cheers Raj

 

[makemoney]

You can hire storage space cheaply. A garden shed size space is around 15UKP a week, (shop around) and that is TAX deductible, and is insured and dry. An insurance company would not insure you if you keep it locked up at the end of a garden. Is there loft space available?

 

[rajibear]

The outbuilding is very secure and its more like a mini house in terms of construction. I don't want to store stock offsite and then go there everyday to pack items. I really want my office and stock storage in the same place if possible

 

[alanc]

It's possible to get home insurance policies that will list the stock as a 'valuable item' (just as if you owner a work of art). As long as it is valued and listed on the policy, they are quite happy. You might need an insurance broker to find such a policy.

 

[TheGuru2010]

Hi

I have started a small business reselling health related products online. I would like to store them and my parents house where we have an outbuilding at the back of the garden. I can for see this being for a while until I can build revenue to rent out our own premises.


I am a bit confused about the insurance implications. Of course my parents have building and contents cover and I understand I will have to get separate product liability and public liability insurance (covers all stock value too). However will this affect my parents insurance in any way in that they wont honour a residential claim because of the business activities. In reality I will probably turn the outbuilding into a small office with area to keep the stock.

Also will I need to pay business rates to the council?

Cheers Raj

Hi Raj,

In relation to this your parents need to speak with there home insurer to find out if it would effect there policy in any way with you trading as a business from there home address.

Under no circumstances should you assume you will be OK, Some insurers allow trading from home & some wont (its a mixed bag).

Jamie