Home based business means that you are operating some or all of your business from a home. Homeowners insurance polcies do not cover business related claims or coverages.
Home based businesses may impact other insurance policies you carry. For example, some homeowners insurance policies restrict or do not allow home based businesses and could result in the cancellation of your homeowners insurance.
Use of personal assets in business ventures could impact coverage as well. For example, using a personal vehicle in your business could result in claims challenges or change in coverage.
If you have a Personal Umbrella Policy, opeating a business within the home, may impact that coverage as well.