In most cases, no. Standard homeowners policies exclude liability connected to a “business pursuit,” and New York courts have interpreted that term broadly enough to reach routine business-related visits, not just formal client meetings. A delivery tied to your home business can fall inside that exclusion.
What counts as a “business pursuit” under my homeowners policy in New York? New York courts have defined it as an activity carried out with continuity and a profit motive, established in Home Ins. Co. v. Aurigemma, a 1965 New York Supreme Court decision. It doesn’t take a storefront or a license, just an ongoing activity intended to make money.
Does the exclusion only apply to paying customers on my property? No. Courts have applied it broadly to anything connected to the business, not just the money-making act itself. A delivery driver, a courier, or a vendor visiting in connection with the business can all fall inside the exclusion, even though none of them are a customer.
Doesn’t a “Business Pursuits” endorsement fix this? No, despite the name. That endorsement is built for people who do business-related work for someone else’s business, outside sales or clerical work, for example. It specifically excludes any business the policyholder owns or controls, so it does nothing for a home-based business owner.
How much does a standard homeowners policy cover for business property? Very little, typically a few thousand dollars for business property kept in the home, and less for anything kept off premises. That’s a property limit only, and it says nothing about liability.
What protects a home-based business owner in this situation? Usually an in-home business endorsement for smaller operations, or a standalone business owners policy or general liability policy for anything beyond the smallest side venture. The right fit depends on what happens at the property, deliveries, client visits, equipment on site, and how often.
For a broader look at insuring a home-based business, see Do I Need Insurance for My Home-Based Business in New York?
We’ve been doing business this way in the Hudson Valley for more than 80 years. If you want to talk to a real person about your home-based business, call us. No phone tree, no pressure, just a straight answer.