Commercial Property Insurance brokers and agents deliver simplicity for your business.
Property insurance for your business can replace or repair your building and its contents (such as equipment and inventory) in the event of fire, storm damage, and other types of occurrences, as listed in the policy. The definition of “property” can be broad and even include business interruption.
Even if you rent or lease a space, you may still obtain insurance on the contents of the building. Inventory coverage is based on the average inventory in the warehouse on a monthly basis. Depending on the policy, this insurance covers goods owned and in your possession, on consignment, or sold and not yet delivered. Confirm with insurance vendors on the coverage in place for stock ordered but not delivered to your location. Shipping terms may also determine responsibility for a loss.
Property insurance policies come in two basic forms:
1. All-risk policies covering a wide-range of incidents and perils except those noted in the policy;
2. Peril-specific policies that cover losses from only those perils listed in the policy. Examples of peril-specific policies include flood, earthquake, and business interruption insurance.
All-risk policies generally cover risks faced by the average small business, while peril-specific policies are usually purchased when there is high risk of peril in a certain area. Certain risks may require additional costs to upgrade a policy, such as the risk from heavy snow falls, which may not be covered in a basic policy. Consult your Commercial Insurance Agencies broker about the type of business property insurance best suited for your business.
Property insurance may cover the contents of the building, but can you or your business survive until it is back up and running?
Loss-of-business income policies will replace some of the business’s income if business operations are interrupted due to a covered loss, as well as certain other losses. Some policies begin paying after 30 days of the loss and others 60 days. It is important to know the policy details so you are not surprised at a time you can least afford it. Loss-of-income protection for a business can be added to a policy, but, for example, when a business is closed due to a flood and the policy does not contain flood coverage, the policy may not pay for loss of income in the event of a flood. Also, losses must be proven to be paid. Be sure to keep accurate and organized records of income and expenses.
What types of property do I need to insure?
Buildings and other structures (owned or leased)
Furniture, equipment and supplies
Money and securities
Records of accounts receivable
Improvements and betterments you made to the premises
Data processing equipment and media (including computers)
Valuable papers, books and documents
Mobile property such as automobiles, trucks and construction equipment
Signs, fences, and other outdoor property not attached to a building
Intangible property (good will, trademarks, etc.)