What Doesn’t Commercial Property Insurance Cover?

Commercial property insurance provides a wide range of protections for your business. This type of insurance can provide support for physical assets that may be damaged by a covered event, such as a fire, vandalism or theft. These policies range widely though, in terms of actual coverage amounts, types of property covered and types of covered events. As a business owner, this form of business insurance is necessary, but it is not the only product you will need.

What Does Commercial Property Insurance Cover?

Depending on your policy, this type of insurance is likely to provide coverage for:

• Buildings occupied and listed on the policy
• Employees’ personal property on the site
• Off-premises property
• Business interruption coverage
• Equipment
• Inventory
• Most machinery, such as boilers and HVAC systems

In short, the physical assets of your company can be covered under this policy. That’s a good place to start, but you will also need to add to this since commercial property insurance doesn’t cover all risks a business is likely to face.

What Other Coverage Do You Need?

Discuss your specific risks with your independent insurance agent to determine what additional policies may be necessary for your company. In nearly all cases, you may need these additional forms of insurance.

• Liability insurance: It works to protect you and your business from financial loss due to a customer or client facing a loss from the mistakes of your employees, or from a loss related to slips and falls on your property. 
• Flood insurance: Often an add-on to property insurance, your business may need this coverage—especially if you are in a flood zone. Ensure it is not otherwise listed on your commercial policy. 
• Windstorm and hail insurance: If you live in a high-risk area, you may benefit from this additional plan as well. 
• Workers compensation: If your business employs people, workers compensation helps to cover the losses workers may sustain due to injuries obtained on the job.

What’s right for you? Commercial property insurance is the first investment for most companies, but you may need more coverage. Talk to your agent about additional coverage options, including policies specific to your location or industry.

Is your workplace covered? If you own a business in CA, NV, WA, or AZ, call JSW Insurance at (925) 737-1560 for more information on the Bay Area office building insurance among other coverages.