If you own commercial real estate, you need to be able to protect yourself and your business from unexpected events while managing your tenants and building. Commercial property insurance, or Lessors Risk Insurance, is a type of insurance for building owners who rent out commercial or office space. It provides liability coverage that compensates for damages to tenants or guests or damage to property due to a specified event. You can also choose property coverage, which covers the building itself and its exterior fixtures, if needed.
Commercial property insurance covers:
General Liability: Pays for medical expenses and damaged property of guests who visit your premises when they cause bodily or property damage.
Commercial Property: Pays for damage to your business premises or its contents from fire, natural disasters (hurricanes, hail), or vandalism.
Business Loss Coverage (Business Income): Reimbursements for losses incurred when business operations are interrupted due to an accident specified in the policy.
When you need commercial property insurance:
When a guest on your premises slips or falls due to a safety hazard (liability insurance will cover attorneys’ fees and guest medical expenses incurred after the accident).
When a guest or tenant’s vehicle is damaged by a tree or other external structure under the management of the premises.
When normal business operations are impossible while the premises are being repaired due to fire or hail damage.
There are many factors to consider when finding the right coverage, including the size of the building and the type of business your tenants are in.
