Property Insurance

A typical policy may cover:

• Buildings and structures
• Equipment, tools, and machinery
• Inventory and stock
• Furniture and office contents
• Outdoor signs and fixtures
• Loss of income from business interruption

Coverage generally applies when damage is caused by insured events such as fire, storms, or vandalism.

Business interruption insurance (often included or added to a property policy) helps replace lost income and operating expenses if your business must temporarily close due to insured property damage.

This can include rent, payroll, and ongoing expenses while repairs are completed.

Most policies have exclusions. Common examples include:

• Flood or earthquake damage (requires separate coverage)
• Wear and tear or gradual deterioration
• Damage to client property (covered by liability insurance)
• Business vehicles (covered by commercial auto insurance)
• Intentional or unexplained losses

Understanding exclusions helps ensure you have complete protection.

Any business that owns or leases physical space or assets should consider this coverage, including:

• Retail stores and restaurants
• Offices and professional services
• Contractors and trades
• Warehouses and manufacturers

Even small businesses can face significant financial loss if property is damaged or destroyed.

Commercial property insurance is not legally required, but it is often required by:

• Landlords in lease agreements
• Lenders or mortgage providers
• Business contracts or partnerships

Without it, businesses must cover repair or replacement costs out of pocket.

The cost depends on factors such as:

• Type of business and industry risk
• Property value and replacement cost
• Location (including flood or earthquake exposure)
• Security features and building condition
• Claims history

Policies are customized, so premiums can vary significantly between businesses.

Yes. Most policies include business personal property (BPP) coverage, which protects:

• Equipment and machinery
• Inventory and stock
• Computers and electronics
• Tools and supplies

This is essential for businesses that rely on physical assets to operate.

Yes. Fire, smoke damage, theft, and vandalism are among the most commonly covered risks under standard policies.

These are considered core “insured perils” in most commercial property policies.

Yes. Policies can often be customized with additional coverage such as:

• Flood or earthquake insurance
• Sewer backup coverage
• Equipment breakdown insurance
• Crime or theft coverage
• Ordinance or law (building code upgrade) coverage

Customizing ensures your policy matches your specific risks and industry needs.