Insuring Commercial Properties

Insuring Commercial Properties

commercial real estate insurance

A business has many assets, and smart management teams invest in commercial real estate insurance as a way of protecting their physical structure and location. Property insurance is beneficial for a company, whether big or small, because it safeguards a business from financial ruin in the event of property, structural or equipment damage.

Every Business Needs Coverage

Coverage options are as diverse as the businesses which seek assistance. Retail services, not-for-profit organizations, medical groups or manufacturers all rely on policies which provide financial compensation or repair support in the event of theft, vandalism, fire, explosions or internally-caused water damage.

No Two Policies are Alike

When deciding on policy coverage, business operations, location and property value are only a few of the considerations for underwriting. Specific needs may be associated with the industry, and additional endorsements or deductibles might be required for certain risks or perils. These additional areas might include:

  • Flooding
  • Earthquakes
  • Hail or storm damage
  • Equipment malfunctions
  • Lost revenue
  • Per-unit clauses (associated with multi-unit rental properties)

Clarify Policy Specifics

Before committing to a policy with an insurer, find out if claims will be handled through replacement cost assessments or total cash value. Inquire if coinsurance is necessary for lower limit sections and total loss applications. Identify areas or incidents that are excluded from coverage and clarify your options if an incident occurs.

Commercial real estate insurance should be a priority for any business owner. It protects the physical assets and property of a company, by providing funding for replacement or repair in the event of a disastrous experience.