Operating a business is a big investment and responsibility. Your office is filled with valuable equipment, tools, inventory, furniture, and other items that you need to be successful. However, businesses throughout MA face risks that put these items – and the business – in jeopardy. Commercial property insurance can help protect your investment so that your company can recover when disaster strikes.
Studies show that when a business is forced to close due to a disaster, such as a fire or severe weather event, a speedy recovery is critical to the survival of the business. However, many businesses do not operate with enough profits to fully replace all their essential equipment out of pocket, leaving them vulnerable to permanent closure. Properly insuring your business can give you the financial resources to make a full and fast recovery.
Commercial property insurance is one of the most basic policies offered, and almost every business can benefit from the coverage it provides. Commercial property policies broadly cover all of the physical items related to the operations of your business. This can include:
When a disaster strikes, your policy can pay for the damages or repairs up to your policy limits. If you have a contracors insurance policy or any sort of commercial propert storage, this can be extremely valuable. Typically, you can choose between an actual cash value and a replacement value policy. The actual cash value replaces items at the fair market value of your actual item, taking into account depreciation, age, and condition. This type of policy is less expensive, but you may end up paying more out of pocket when a loss occurs. A replacement value policy allows you to buy a new similar item, but your premiums will be higher.
Most property insurance policies will cover the most common risks Massachusetts businesses face. Coverage commonly includes events such as:
Flooding, earthquakes, and power disruptions are often not covered under a basic policy and need separate coverage. Your agent can help you determine if your business requires insurance beyond a traditional commercial property policy for specific risks based on your location or industry.
Commercial property is one of the biggest investments your business will make, and essential to the survival of your company. When a disaster strikes, you need to have the resources to replace your tools, computer equipment, inventory, and other items so you can reopen as quickly as possible. With commercial property insurance, your Massachusetts business can be financially protected against a wide range of risks.