What is Commercial Property Insurance?
Commercial property insurance is designed to protect your premises, as well as contents where required, from a range of potential risks.
There are two aspects to commercial property insurance. One cover’s the actual building itself, the other its contents. You can buy these separately or combined into a single policy.
In the event that an incident occurs at the property and either the building or its contents are damaged or subject to a theft, then a commercial property insurance policy could meet the costs for repair or replacement.
How much does commercial property insurance cost?
There are so many factors involved in calculating a premium that its impossible to generalise. We are here to help you understand the different covers available to protect your business against the risks it may face.
Factors that typically impact on the cost of business premises insurance can again be split by the building itself and then the contents:
Commercial contents insurance
From plant and machinery through to computers, office equipment and stock the total replacement cost of your business equipment is a major investment which needs adequate protection. Business equipment can be protected in two different ways:
- Replacement as new – Straightforward replacement of an item that have been lost, stolen or damaged beyond repair with a new one.
- Indemnity basis – basically taking into account wear and tear and replacing the item at its current value.
Commercial building insurance
Commercial buildings insurance is not normally a legal requirement, but if you rent premises your lease agreement may well require you to arrange insurance cover. Similarly, if the property is mortgaged, your mortgage provider may well insist on you having the cover in place. Even if you own the premises outright you would probably want to arrange insurance to protect your investment.
When calculating the cost of your commercial property insurance, insurers will consider the age and location of the property, it’s construction, rebuild value and of course any adverse local features such as proximity to water courses or history of flooding or subsidence in the local area. There are many other factors which need to be considered, so why not speak to one of our team, we will be able to obtain a range of quotes from a number of insurers to provide you with the protection you need.