Troubling the insurance waters
You have to be careful talking to insurance people. Big warning!! Telling them stuff can prejudice your policies.
Scenario: You are Joe (or Jo) Normal, and you love woodturning. You've got a little shop set up in your basement. Nah, not production or anything, just a few power tools, some wood, and you turn out the occasional run of gifts. Maybe you do the occasional craft fair, either for grins or for charity. You suddenly realize that you've got thousands of dollars of tools that may or may not be covered for loss or damage. You contact the insurance agent who hears "shop tools". Some of those agents are going to want to find out more info before they'll cover you. Do you ever sell any of your projects? Do you regularly sell your work? Do you use solvents, especially flammable solvents? Do you have proper storage facilities for them? Is your electrical service properly set up and inspected for such machinery? The list goes on. And on. And on. The determination comes back from the insurance company that they won't insure you unless you meet certain commercial level requirements. And not only that, unless you meet those requirements, your formerly normal householders insurance will be cancelled!
Second scenario: You're Joe/Jo Woodworker and you have some pipe breakage in your basement that causes substantial damage in your shop area. The adjuster comes out to see what's what, recognizes your shop, sees the 50 bottle stoppers that you've had in progress, and the can of lacquer finish and thinner. Tools and other things that look awfully like a small manufacturer to the home adjuster's eyes. Claim denied for improper inclusion of a commercial venture in a residential building and residential insurance!
I'm not saying that these are normal scenarios, but I know them to have happened to folks in my acquaintance. Telling insurance folks enough is important. Telling them all the right stuff can get tricky. You need to have a really good agent who is on your side and who really does understand this stuff.
Having specialized insurance riders is even better. The POP program would seem to fit that bill. Getting someone who understands is really important. Making sure that everyone is using the same definitions for "hobby shop" and "manufacturing" facility is vital.
A couple of months later when talking to her on another issue, she asked if I had received another ins carrier, and that they would need proof of my having that before they would give me next years house ins!!! So much for an inquiry!!! Forced the issue for me to get the AAW"s recomm ins. Was $406, and this yr was $395.