What is Business Property Insurance

What is Business Property Insurance

What is commercial property insurance? Business property insurance also known as commercial property insurance is one of the three main coverages in a business owners policy (BOP). Commercial property insurance is designed to protect the structure of the building your company is in, the contents within the building and some of the outside structures and signage as well.

Commercial property insurance definition

Commercial property insurance policies protect companies and their physical assets from fire and smoke, explosions, burst pipes, storms, theft and vandalism and more. Typically earthquakes and flooding are not included in a standard commercial property insurance policy. Although, you can always choose to add those perils to your policy. 

How much does commercial property insurance cost?

The cost of business property insurance is effected by many factors. The industry you’re in, the contents within the building, your business assets, and the structure of the building are some of the main variables when it comes to determining the rate you will pay for commercial property insurance. There are risk factors as well such as:

Construction:

If your business is built with fireproof materials and if you have new plumbing, HVAC or electrical wiring. How new is the building or how old is the building. The roof if new may help you to get a discount. 

Occupancy:

What industry are you in? Some businesses will come with added risk and some will be less risky. For example a real estate office may see a lower rate than a machine shop. 

Location:

The area you’re in will make an impact on your business property insurance rate. If the zip code has a high history of claims you may encounter higher rates. If the area is prone to natural disasters there is a good chance you may receive a higher premium on your commercial property insurance coverage. 

Fire and theft protection:

The distance of your business to the nearest fire station or fire hydrant can make an impact. If you have a fire sprinkler system set up you may be rewarded with lower rates on commercial property insurance. The same can be said for burglar alarms or security systems. 

What does commercial property insurance cover?

Business property insurance will help to protect your business, business property, outside structures and more. Some common examples of what commercial property insurance covers are:

  • Computers
  • Furniture and equipment
  • Exterior signs
  • Fence and landscaping
  • Important documents
  • Inventory
  • Others’ property

Business Property Insurance Quote

The best way to know you’re getting the best deal on commercial property insurance coverage is to shop around. The easiest way to shop around is to speak to an independent commercial property insurance agents such as Eugene C Yates Insurance Agency. Our agents have direct access to the top business property insurance providers available. They also have firsthand knowledge of the best commercial property insurance discounts on the market. This makes it very easy for them to shop around and find you the best deal for your situation.

If you would like a free commercial property insurance quote, please give us a call at 916 313 6100

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