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Commercial Property Insurance
When you’re in the rental business be it for commercial or residential purposes, you need commercial property insurance to protect your interests.
Commercial property insurance is insurance that offers coverage focus on commercial properties, such as business offices, farms, apartments, and other properties used for commercial purposes. Commercial property insurance offers the protection that owners of such properties need in cases of damages to their buildings and contents.
People who need commercial property insurance are those who operate a business or those who lease their property to another entity. For protection from damages, these people purchase commercial property insurance that covers the buildings and all their associated structures.
Owners of rental properties may also purchase commercial property insurance to protect the contents of their apartment or office for let. In addition, there are also commercial property insurance policies that are available not only for landlords but for tenants as well.
Commercial property insurance policies are separated according to the basic kinds of risk factors that cause loss or damage. These commercial property insurance forms are listed below along with some commercial property insurance companies that offer such products.
Basic Commercial Property Insurance Form
The basic commercial property insurance form covers common perils like fire damage, lightning, windstorm, vehicles, aircraft, and civil commotion. This type of commercial property insurance is available in perhaps every commercial property insurance company. The standard dwelling fire policy is an example of a basic form of commercial property insurance.
Broad Commercial Property Insurance
The broad form is the second type of commercial property insurance. The broad commercial property insurance covers most of the basic perils included in the basic form. In addition to that, the broad commercial property insurance also offers coverage for water damage, collapse, glass breakage, weight of snow, ice or sleet, and sprinkler leakage.
FM Global is one of the commercial property insurance companies that provide coverage for broad commercial property insurance. Their policy, called the FM Global Advantage is all-risk commercial property insurance coverage that includes all the built-in features of basic insurance form plus additional coverage for special damages.
Another group that offers the broad form of commercial property insurance is Zurich North America. This commercial property insurance company offers, among others, broad form coverage for cold weather, snow loading roof collapse, and snow and ice removal.
Special Commercial Property Insurance
The special form of commercial property insurance offers protection for business owners from all causes of loss except those that are specifically excluded in the contract. The special commercial property insurance offers coverage for natural disasters such as floods, earth movements or earthquakes and manmade catastrophes, like war, terrorism, and nuclear disaster. In addition, the special commercial property insurance also covers wear and tear, and damages caused by insects or vermin.
An example of a commercial property insurance company that offers protection from damages arising terrorist attacks is AIG International. This company provides special commercial property insurance coverage for any business with global locations, particularly high profile American-based organizations with operations in developing nations. The potential buyers of this special type of commercial property insurance are financial institutions, manufacturers, agricultural suppliers, and retail distributors.
