Did you know that 1 in 3 small businesses faced big hazards last year?

When it comes to insuring your business, it can be overwhelming with so many different types and offers out there. It can be stressful knowing what the requirements are and what is the best way to cover your company. Your building could be the most important part of your operations.

So, should your business have property insurance? What does it cover? How much does it cost? All your questions will be answered in our guide to business property insurance.

What Does Business Property Insurance Cover?

If you have business property insurance, your buildings and the contents inside the buildings are likely covered. If you are out of business and have a loss of income due to a claim, that will be covered too.

Standard coverage will cover the repair costs of the building and also protection for the likes of:

Burst pipes.
Flooding.
Fires.
Riots.
Storms.
Thefts.

There may be enhancements you can make to your policy that extends your primary coverage. Most insurers will offer bonus coverage for events such as:

Covering damage due to earthquakes or other natural disasters.
Covering smaller items, like fire blankets or extinguishers due to a fire.

Is My Business Required To Have Property Insurance?

By law, there isn’t a requirement for commercial buildings insurance. However, it is strongly recommended to have as it will protect your businesses income from any costly repairs or rebuilding needed from events such as storm damage, flooding, fires and vandalism.

What Is Excluded From Commercial Property Insurance?

Different policies have different coverages, so you should check your policy to see what is included in your service. However, there are some common exceptions when it comes to property insurance. Typically, you won’t be covered for:

General wear and tear
Poor craftsmanship
Unoccupied properties
Damage caused by pests or animals

How Much Does Business Property Insurance Cost?

Of course, the price of commercial property insurance will depend on numerous factors that can have different impacts on the costs. Some of the factors that can influence the price include:

How old the property is.
Security measures such as locks and any other methods of security the premises has.
The industry or field your business is in.
The level of cover that you require.
Where you live and what company you choose.

Some other factors that can affect the price include:

Where the commercial property is located, as it could be in an area that is prone to flooding, or it may be a listed building that would be a lot harder to repair.
The number of properties that you need to have insured.
Your claims history.

It is recommended to speak to different companies for quotes on your business property insurance to make sure you get the price that is best for you, as well as the coverage that you need. There are many companies online that can compare prices for you.