Types of Insurance for Your Commercial Property
Though it’s not something any business owner likes to think about, your commercial property can be damaged in an accident or suffer damage due to extreme weather. This type of disaster can result in significant business interruption and financial losses if you’re not prepared with the right types of insurance coverage. Make sure you have the proper commercial property insurance by following this guide on types of insurance for your commercial property.
Understanding the Different Types of Insurance
It's important to have the right insurance coverage on your commercial property, whether you own or lease it. Commercial Property Insurance covers your property in case of damage or loss, such as a fire or windstorm. Flood Insurance covers you in case there is a flood, a type of coverage that most General Property Insurance does not include. Business Interruption Insurance protects your income in case your commercial property needs to be closed for repairs and your income is reduced or eliminated during a commercial repair project.
Understanding Commercial Property Insurance
You can insure your property to ensure that you are covered in case of damage or loss. Commercial Property Insurance does exactly that. It is meant to protect your company’s physical assets like your building, signage, furniture, and equipment, from fire, explosions, burst pipes, storms, theft, and vandalism. In case you need commercial repair services, this type of insurance will be critical to protecting your business.
Understanding Business Interruption Insurance
Business interruption coverage is sometimes offered through your property owner’s policy, but you can also purchase it separately. Because a commercial restoration can take several months to complete for very large losses, this kind of insurance ensures that you don't lose important business revenue during that time period.
Understanding Flood Insurance
Flood insurance is different from Commercial Property Insurance and can sometimes be forgotten by business owners until it's needed. It is meant to protect your property in the case of a loss directly caused by flooding. According to FEMA, a flood is an excess of water on land that is normally dry, affecting two or more acres of land or two or more properties. If your commercial property is in a high-risk flood area, federally regulated lenders will require that you pay for this coverage. If your property is in a moderate to low risk area, you will not "technically" need it. Yet, if a flood does occur, you could run the risk of losing your business if you are not insured to pay for commercial restoration services.
If you are ever in need of commercial restoration services, SERVPRO of Houston County is available 24/7 to help you quickly make your commercial property damage "Like it never even happened." Call us today at (478) 224-4148
And for more on Examining Commercial Policies Ahead of a Disaster, be sure to read our other blog post here.