Yes, you can't register a company at your home address, but no one will ever deny you coverage if you do clerical work at home. At least every single insurance and rental I had in UK had a special provision for this - if you need to stay at home and work remotely, that's 100% covered. It just can't be your principal place of work.
Plenty of people register businesses at their home address. It entirely depends on the nature of the work as to whether it requires a change of use from the planners or invalidate insurance etc
