Over the last few years, hybrid and remote working have shifted from being an emergency response to becoming a permanent feature of how many UK businesses operate. Staff splitting their time between the office and home, or in some cases working entirely remotely, has created a workplace that’s far more flexible, but it’s also introduced a range of insurance considerations that didn’t exist when everyone was under one roof.
The Home as an Extension of the Workplace
One of the biggest changes is that the definition of a “workplace” has expanded. A home office, spare bedroom or even the kitchen table may now be part of an employee’s working week. Standard business property insurance, however, usually only applies to your official premises. This means that if damage occurs in a home used for work purposes, whether it’s a spill on the carpet from office equipment or electrical issues caused by work devices, the claim might not be covered by your business policy. In many cases, a home-working endorsement or extension can close this gap, but it needs to be requested and agreed in advance.
Equipment that Moves with Your People
When laptops, monitors or specialist tools are used in an office, they’re typically covered by your business contents insurance. The moment that equipment is taken home, the situation changes. Loss, theft or accidental damage in a domestic setting may not fall under your existing cover. This is why it’s important to review your policy wording and ensure portable equipment is specifically included. In some cases, insurers may recommend a separate arrangement to protect these items wherever they are used.
Liability Beyond the Office Walls
It’s easy to assume that public liability risks vanish when employees work from home, but that isn’t the case. If an employee has a visitor in their home for work purposes, such as a client or a contractor, and that person suffers an injury, a standard liability policy might not have you covered. There can be exclusions for incidents that happen away from the insured premises. Businesses that rely on face-to-face interaction, even occasionally in home settings, should make sure their liability cover recognises this reality. Health and safety responsibilities also extend to remote staff, so providing clear guidance on safe working environments remains essential.
The Cybersecurity Challenge
Data protection and cybersecurity become more complex once work leaves the controlled environment of an office. Domestic internet connections may lack the same safeguards as corporate networks, and devices could be shared with other household members. Confidential conversations might also be overheard in shared living spaces. These factors can increase the risk of data breaches, which is why cyber liability insurance is becoming an important part of many businesses’ protection. Alongside insurance, staff should be encouraged to use secure connections, keep software updated and maintain strong, unique passwords. In some cases, insurers will expect to see that such measures are in place before offering comprehensive cover.
Remote Working Versus Running a Business From Home
It’s important to distinguish between employees occasionally working from home and businesses that are fully based in domestic premises. The latter often requires more tailored insurance that combines home and business cover, including buildings, contents and liability. Even for hybrid workers, insurers will look at how frequently home-working occurs, the nature of the tasks carried out, and whether any higher-risk activities or regular client visits are involved.
Building a Policy that Fits the Modern Workforce
The key to getting hybrid and remote work cover right is to be proactive. Start by taking stock of where your employees are working, what equipment they are using, and the type of interactions they have in those locations. Share this information with your insurer or broker so they can recommend appropriate extensions or endorsements to your existing policy. It’s also worth revisiting your risk assessments to incorporate the realities of remote work, from cybersecurity to ergonomics, and ensuring that all employees understand and follow the necessary safety protocols.
Preparing for the Long Term
Hybrid and remote working aren’t temporary trends. They’re part of a long-term shift in how businesses operate. By recognising the additional risks involved and making the necessary adjustments to your insurance, you can ensure that flexibility doesn’t come at the cost of protection. With the right advice and a carefully structured policy, your business can support modern working patterns while remaining fully covered.
At Ashburnham Insurance, we understand that no two businesses operate in the same way, especially in today’s world of hybrid and remote working. We can review your current policies, identify any gaps created by flexible work arrangements, and recommend tailored solutions to keep you protected wherever your employees are based. With our experience in arranging bespoke business insurance cover across the UK, we make it simple to adapt your insurance to modern working practices, giving you peace of mind that your company is safeguarded both in the office and beyond. Call us for FREE on 0800 1696137.