Commercial property coverage is a type of commercial insurance policy that provides protection to businesses against loss or damage to their physical assets.
This includes damage to buildings from fire, vandalism or natural disasters. It also covers your business personal property like tools, equipment, inventory, furniture, and fixtures, from damage caused by events such as fire, burglary and theft.
Whether you lease your space or own your own building, business property insurance can help provide you peace of mind, knowing that your property is protected in the event of an unexpected disaster.
A commercial property insurance policy typically covers a wide range of risks, including fire, theft, vandalism, natural disasters (like hurricanes or earthquakes), and accidents.
It applies to your business’s physical assets, whether owned or leased. This includes your business’s contents, such as equipment, furniture, and inventory. Coverage can also include outdoor signs, fencing, and additional property structures.
Claims under your commercial property insurance policy can be settled either on a replacement cost basis or an actual cash value basis (ACV). Replacement cost policies provide reimbursement sufficient to replace the lost or damaged property with new items. Whereas ACV takes into account depreciation of the property.
Commercial property insurance policies can be customized with additional coverages for your business, such as business interruption insurance, which compensates for lost income and extra expenses incurred while the business is recovering from a damage-related shutdown.
