Business property insurance is vital for any company, large or small. You’re protecting your physical location and your equipment, assets, and inventory. It’s also known as commercial property insurance, and not having it will risk your entire company if something goes wrong.
What Does the Policy Cover?
In short, business property insurance protects you from a range of incidents, such as:
- Fire damage
- Theft of property or equipment
- Lost income due to being unable to operate normally
Business property insurance helps you cover the cost of repairs to your business’s tangible and intangible items. Tangible items are things you can see and touch, such as computers or tools. On the other hand, intangible items are things that may not have a physical appearance, such as patents and copyrights. But rest assured, even if you cannot see them, business property insurance will protect them.
All of your items such as personal property, tools and equipment, inventory stored at the business, furniture, computers, accounts, and outdoor landscaping such as fences are protected, even if you don’t own them outright.
Will I Need This If I Work from Home?
As many small businesses start from home, it’s wise to take out business property insurance. Homeowner’s insurance doesn’t cover anything to do with your business; it only covers your dwelling but nothing associated with your business, like technology and equipment. Business property insurance gives you extended cover, ensuring that everything is protected and you won’t be left out of pocket.
Does a Business Owners Policy cover Business Property Insurance?
Yes! A business owner’s policy (BOP) combines three essential types of coverage for your business, such as:
- Commercial property insurance
- General liability insurance
- Business income insurance
Businesses can tailor their BOP insurance to their industry, meaning that loss and damages are prevented early on; adding protection for data breaches can help a lot of small businesses protect their assets and customer information.
A BOP is extremely helpful if you have a physical location for your business, even if it’s rented, or coming out of your spare room! And if there’s any equipment of value in those locations, you’ll be covered for damage and theft.
BOP insurance policies can also protect against lawsuits, mainly if a customer or colleague injures themselves on your premises. If you weren’t protected, you’d be looking at hefty medical bills, and missed income.
The Bottom Line
Owning and running your own business is great; it can give you the freedom to pursue your passions and make money on the side! So, why wouldn’t you protect yourself? Business property insurance is a brilliant, easy way to ensure all your assets, products, tools, and even staff are insured and safe.
Taking out an insurance policy allows you to prepare for the worst (and hopefully never experience it!). In addition, it gives you peace of mind to know that you’d be protected if something were to happen. It’s your money and your business, after all.