Renters insurance won’t cover home-based business at all, or for a very low amount, depending on your insurer. If they do cover business property, the sub-limit is $2,500 – enough to cover your computer, desk, filing cabinet, and other similar business items.
A default renters insurance policy also is very unlikely to cover any liability associated with your home-based business. If a UPS delivery person slips and falls while delivering business-related goods to your house, you wouldn’t be covered.
If your home-based business is located in a detached garage, or some other building on your property, it won’t be covered at all.
Some insurance companies will allow you to purchase additional insurance, known as an in-home business rider, which may increase the sublimit covering your personal property, but is still unlikely to grant much liability coverage, if at all.