HOME workers are being urged to think business when they renew their household insurance policy.

More than five million people now work from home, with a third running their own businesses from an office in their house.

Nearly three-quarters rely on the Internet as a vital business tool that is often part of a substantial investment in IT, with others storing stock and even keeping cash connected with their business at home.

Helen Blenkinsopp, of Darlington insurance broker BiB, urged home workers to consider how their business would operate if there was a burglary or fire.

She said: "A recent survey showed that 18 per cent of all homes in the UK contain a home worker, which means a lot of business is being done from people's houses. A typical household contents policy will cover loss of computer equipment, so it is vital that home workers at least ensure they have this cover in place.

"However, if your computer is stolen and that prevents you from working, you will not be covered for the loss of income. Likewise, cash kept at home and goods in transit will not normally be covered under a normal contents policy. If clients visit you at home, you also need public liability cover."

Ms Blenkinsopp said home workers could consider a working from home insurance policy to cover loss of business income for up to a year, as well as protection for outstanding debts where business accounts are lost.

A policy will usually meet legal expenses resulting from contract disputes, property disputes and employment disputes and will provide protection if an employee is injured in a robbery.