Serving Florida For Over 50 Years

  • Toll Free: (800) 293-0131

BRUENING

  • Home
  • Products
    • Auto
    • Business
    • Commercial Auto
    • Commercial Property
    • Commercial Umbrella
    • Condo
    • Contractors
    • Cyber Liability
    • D & O
    • Flood
    • General Liability
    • Homeowners
    • Life
    • Personal Umberlla
    • Professional Liability
    • Restaurant
  • Get A Quote
  • Blog
  • Make a Payment
  • Resources
    • Refer a Friend
    • Important Links
    • Calculators
    • Free Reports
    • Insurance Glossary
  • About Us
    • About Us
    • Our Locations
    • Our Services
    • Privacy Policy
  • Contact
  • Bruening Insurance
Home > Blog > Do I Need Commercial Property Insurance?
TUESDAY, JANUARY 3, 2023

Do I Need Commercial Property Insurance?

Every business owns some sort of property or equipment and it’s important to keep that property safe. Commercial property insurance provides coverage for common perils that face a business property. Even if you fully or partially operate business from home, a homeowner’s insurance policy typically won’t cover work equipment. 

Businesses that typically have the most to lose when it comes to commercial property fall within these industries: Business with open sign

  • Real Estate 
  • Construction 
  • Technology 
  • Retail/Distribution 

Commercial property insurance can come in many different business packages such as a business owners policy or you can purchase it alone. Keep in mind that commercial property covers physical perils and doesn’t include liability protection. 

What Does Commercial Property Insurance Cover? 
Commercial property insurance generally covers damages due to fire, explosions, theft, vandalism, burst pipes and storms. 

It can cover belongings such as: 

  • Business building 
  • Work equipment 
  • Computers 
  • Furniture 
  • Outdoor signs 
  • Fences 
  • Inventory 

What Does Commercial Property Insurance Not Cover? 
Commercial property insurance does not usually include earthquake or flood coverage. These are separate coverages you can add to your company’s commercial property policy. While commercial property insurance covers computers, it doesn’t cover the information on those computers. Nor does commercial property cover work vehicles, which require  commercial auto insurance.

Overall, items not covered beneath commercial property insurance are: 

  • Vehicles. Even if you use a personal vehicle for work purposes, you may need commercial auto insurance. Commercial property also may not cover equipment in transit. 
  • Cyberattacks. You can purchase cyber liability insurance to protect client information or assets stored digitally. Commercial property will cover the physical computer except in cases of normal wear and tear or hardware/software failure. 
  • Earthquakes or floods. Earthquake coverage and flood coverage almost always come as an additional policy. If your area is prone to either of these perils, you may want to invest in extra insurance. 
  • Embezzlement and employee theft. Commercial property insurance doesn’t help if an employee steals from the company or embezzles money. For this, you may need crime insurance. 
  • Liability. Liability insurance comes with most business policies but doesn’t involve commercial property insurance. Commercial property insurance only pays for damages to the physical property and won’t cover you if someone decides to sue. 
  • Medical expenses. If someone is injured on your property or by your equipment, you may need liability insurance to pay for the damages, as commercial property insurance won’t. 
  • Power failure. If damage or loss occurs due to a power outage in your area, commercial property insurance likely won’t cover you. 

How Does Commercial Property Insurance Work? 
When creating your commercial property insurance policy, take into account both the value of the company buildings and contents as well as the type of policy you want. There are two ways to receive compensation for items lost due to a covered peril: replacement cost and actual cash value. With replacement cost, you will receive the exact amount it would take to replace or rebuild the property or items lost. If you choose to receive the actual cash value of the items or building, you will receive payment that accounts for depreciation. In other words, if the value of your equipment goes down over time, you will receive the depreciated value when your claim is approved. Make sure your policy is the policy you want and need for your business. 

How Much Does Commercial Property Insurance Cost? 
On average, a business may pay around $200-$300 a year on a standalone commercial property policy. It may be more cost-effective to bundle it with a business owner’s policy, however, which is slightly more and includes liability insurance. 

Posted 8:26 PM

Tags: commercial property insurance
Share |


No Comments


Post a Comment
Required
Required (Not Displayed)
Required


All comments are moderated and stripped of HTML.

NOTICE: This blog and website are made available by the publisher for educational and informational purposes only. It is not be used as a substitute for competent insurance, legal, or tax advice from a licensed professional in your state. By using this blog site you understand that there is no broker client relationship between you and the blog and website publisher.
Blog Archive
  • 2023
  • 2022
  • 2021
  • 2020
  • 2019
  • 2018
  • 2017
  • 2016
  • 2014
  • 2013

  • business insurance(50)
  • bruening insurance(43)
  • commercial property insurance(37)
  • bop(22)
  • coverage(21)
  • insurance(20)
  • bop insurance(17)
  • business owners policy(16)
  • commercial insurance(14)
  • bruening insurance agency(12)
  • protection(10)
  • home insurance(9)
  • general liability insurance(7)
  • property insurance(7)
  • auto insurance(4)
  • homeowners insurance(4)
  • general liability(3)
  • workers compensation insurance(3)
  • professional liability insurance(3)
  • property coverage(3)
  • commercial property(3)
  • business liability(2)
  • flood insurance(2)
  • bruening insruance(2)
  • claims(2)
  • business auto insurance(2)
  • homeowners(2)
  • cyber liability insurance(2)
  • wc(2)
  • personal auto insurance(2)
  • preparations(2)
  • employers liability(2)
  • workers compensation(2)
  • employees(2)
  • hurricane(2)
  • auto liability(2)
  • liability(2)
  • wind coverage(2)
  • hurricanes(2)
  • auto(1)
  • taxes(1)
  • florida insurance(1)
  • sprinklers(1)
  • epli(1)
  • life insurance(1)
  • family(1)
  • cause of loss(1)
  • equipment breakdown(1)
  • risk management(1)
  • wind insurance(1)

View Mobile Version

Bruening Insurance Agency
Corporate Headquarters
1555 Bonaventure Blvd,
Suite 2006
Weston, FL 33326
Phone: (800) 293-0131

Bruening Insurance Agency
Jupiter Office
110 Front Street
Suite 300
Jupiter, FL 33477
Phone: (800) 293-0131

  • Facebook
  • Rss
  • Google

Copyright 2021. All Rights Reserved by Bruening Insurance Agency, Inc.

  • Terms and Conditions
  • Legal Disclaimer
  • Privacy Policy