Commercial renters insurance is a type of insurance that many businesses should look into. Businesses who are renters and who want to protect themselves should have this type of insurance, no matter what size the company is, whether they operate from a high rise building in the middle of a big city or in a small rented out basement somewhere in the suburbs. The insurance is necessary in order to cover them for losses should something occur.
Coverage in Commercial Renters Insurance
Commercial renters insurance differs from other types of insurance because of the specifics of what the typical policies cover. Most commercial renters insurance policies cover numerous elements related to the cost of doing business. For example, coverage may include:
Boiler and Maintenance Insurance
This type of insurance is necessary to cover what the owner will not cover when it comes to the boiler used to heat your facility and the maintenance of your facility. The amount you will pay for this type of insurance will vary due to the fact that some of this type of coverage may be provided by the person the business is leasing or renting the land from. For example, the owner of the land may limit the extent of his boiler and maintenance insurance to the basic heating and cooling of the building in which the business operates and it is, therefore, up to the company to pay for the remainder of the boiler and maintenance insurance if they determine they need additional coverage for other pieces of machinery.
Business Interruption and Liability
The typical commercial renters insurance policy will also include insurance coverage for other business-specific concerns, like business interruption, environmental pollution, and employer liability coverage. This is not typical coverage offered by most insurance policies, unless the policy is geared towards commercial renters:
- Insurance for the business interruption covers damages that the company may experience from an unexpected loss in business production for unforeseen reasons.
- The coverage for environmental pollution offers protection for the company in case the company is ever assessed a fee or fine for environmental pollution in some way, shape, or form.
- The last part of commercial renter's insurance typically insures the company and their financial liability in case someone is hurt on the job or inside of the facility.
Cost for Insurance
The cost for commercial renter's insurance varies depending on the type of insurance you are required to have and the amount of coverage the company needs for each type. For example, the amount of coverage needed concerning boiler and maintenance coverage typically depends on how much coverage is being provided by the owner of the property that the business is renting or leasing.
The amount of employer liability insurance you will need depends on the size of the company, the number of employees who work for the company, and the risk for someone to come into the company, like a customer, who might get hurt. For instance, a store like Wal-Mart would probably need more employer liability insurance than a small warehouse because they have more customer traffic in addition to employees who work there.
Additionally, the amount of business interruption insurance can vary as well on many different factors. It is important to weigh all the factors of the business in order to determine the exact cost for the insurance necessary to cover the business adequately.
Commercial Renters Insurance Providers
If you are interested in buying insurance as a commercial renter, there are a number of providers of insurance who can help. To get you started, here are several websites you can use to get a quote on the cost of your policy:
Keep in mind that different insurance companies will offer different prices and coverage based on a number of elements including state laws, the type of business, and the specific needs of the business. You should make sure to peruse the specifics of the coverage for each quote before deciding on which one to go with.