Every small business person knows there are a few realities to doing business that simply cannot be avoided. Bills have to be paid, employees have to be managed, customers have to be satisfied and the alternative to being properly insured is no alternative at all. Most small businesses operate on narrow profit margins and are heavily invested just to stay afloat. The last thing they can afford is the financial consequences that would accompany an accident, fire, or some other disaster for which there was no insurance.
One such insurance package, whether you own your property or lease, that is a necessity is Commercial Property Insurance. Such insurance for commercial properties enables a business to repair or replace both buildings and contents that are either damaged or destroyed in natural occurrences such as fires or tornadoes or through criminal activity such as vandalism, theft, or arson. Commercial Property Insurance is equally important for businesses that rent their property as those that own. The contents of a small business (including merchandise and equipment) are not covered by the building owner’s policy. And, tenant coverage is generally a great deal less expensive that building coverage.
There are two major types of commercial property insurance every small business owner cannot afford to be without:
General Liability Insurance: This insurance for commercial properties provides a small business protection from suffering financial loss due to injuries that occur on the property and other claims of negligence. While the building owner may have liability insurance, you as the renter and business owner, can also be held liable for accidents that may happen on the premises.
Business Property Insurance: This kind of coverage is usually defined by what is insured and what events that might cause loss are covered. Because this kind of insurance tends to be a package of general and specific coverages, it is important to consult with your insurance representative as to what kind of Business Property Insurance you need. With that said, Business Property Insurance generally protects a business’ contents, buildings, equipment, and other personal property.
Most policies will cover lightning and windstorm damage, fire, explosions, vandalism, and damage caused by vehicles and aircraft. Flood and earthquake coverage are often separate policies so, as always, consult your agent to make sure you have the coverage you need to protect your business and peace of mind.
