Knowing the difference between homeowners insurance and business insurance is very important when opening an in-home business. In the event of theft or a fire, your home valuables will most likely be covered under your home insurance but anything business related could be gone for good. This scenario applies if you operate an adult care home where you reside. If your home is damaged due to a fire and you currently carry homeowners insurance, most insurance companies will deny to pay for your claim. The majority of homeowners policies state that coverage is null and void if a business is run out of the home. When purchasing business insurance, ask your current insurance agents questions about what will be covered, all insurance companies will cover differently, but be sure you get quotes from other companies to get the best prices and coverages.