What Does Business Insurance Cover?

4/17/2019 (Permalink)

If your building in Henderson, CO, suffers water damage, you don't want to have to pay the entire cost of the repair and restoration out of pocket. Business insurance is necessary to cover the costs of certain accidents that occur suddenly and cause damage to your building. A good property policy can protect you after a wide variety of accidents happen.

Accident Types

While property insurance doesn't usually cover large-scale flooding caused by major natural disasters, it typically can help pay for damages caused by issues such as broken pipes or HVAC leaks. Some of the damage covered by most business insurance packages include:

  • Fire
  • Vandalism
  • Theft
  • Leaks

If you live in an area that floods frequently, it may be helpful to add flood insurance to your package. This can help make sure your water cleanup costs are fully covered.

Items Included

When many people think of property insurance, they often assume it covers water damage remediation to the building itself. The average policy covers more than that, though. It also covers the items in your building as well as a few structures directly outside it. Office supplies, equipment, furniture and inventory can be restored or replaced. The landscaping, signage and fencing outside may also be covered.

Premium Factors

Your monthly premium can vary according to several factors. If your area is prone to frequent or seasonal storms, your premium may be higher than in other regions. Your industry can also have an effect. A restaurant, for example, carries significantly more risk than a general office building, so the premiums may be higher. Finally, your commitment to safety plays a role. If you are in compliance with fire codes and have a working security system, your premiums are likely to be lower. If you upgrade to fireproof materials or the latest, safest plumbing and electrical system, you may save some money on insurance.

Fire and water damage don't have to break the bank. With a good business insurance policy, you can rest assured that most of your remediation costs are covered.