Whether you own your building, lease your workspace or work from home, business property insurance protects your business’ physical assets. Regardless of the size of your business, tangible property usually represents a large portion of your total assets, so finding the right kind of protection is important. For example:

  • A fire could destroy your building, along with the furniture and equipment inside
  • A burst water pipe could ruin documents, drawings or other valuable papers
  • A storm could damage your outdoor sign

There are two types of commercial property policies to consider:

  • A Peril-Specific Policy, a less-expensive option, only covers what is noted in the policy. For example, you’re not covered in the event of a flood if your policy doesn’t include flooding or backed-up sewers. When filing a claim with peril specific coverage, YOU have to prove that one of the named perils in your policy was the cause of the damage.
  • An All-Risk Policy, which is usually more expensive than a peril-specific policy, covers everything except what is specifically excluded in the policy. This policy places the burden of proof on the insurance company to prove an exclusion caused the damage.


North Star
EMC Insurance Companies
Continental Western Group
Auto Owners Insurance
Philadelphia Insurance Companies
The Harford
The Cincinnati Insurance Company
Nationwide Insurance


Commercial property insurance protects more than just the building. The policy also protects business personal property, which applies whether the property is located inside or immediately outside the covered buildings. Business personal property includes assets you own, lease, control or borrow for business use. A number of features are covered under this policy, including:

Structural coverage

  • In progress and completed additions
  • Temporary structures

Fixtures and furnishing

  • Indoor and outdoor
  • Landlord furnishings
  • Floor coverings
  • Appliances (used for refrigerating, ventilating, cooking, dishwashing and laundering)
  • Machinery and equipment
  • Maintenance equipment (such as mowers, snowblowers and ladders)

The advantage of an all-risk policy is that it covers you in the event of a loss you did not predict. Even though an all-risk policy will cost more, in a world where freak accidents happen, the broader your insurance coverage, the better off you’ll probably be. Just make sure you understand the exclusions.

  • War
  • Earthquake
  • Flood, mudslide or sewer backup
  • Governmental seizure or destruction of property
  • Wear and tear, like rust, corrosion, fungus, decay, etc.
  • Insects, birds, rodents or animal infestation
  • Pollution

There are Builders Risk Policies designed to provide coverage for direct loss or damage from covered causes of loss to buildings and structures under construction. The form applies to new construction as well as to renovations, remodeling and improvements to existing buildings. This is one of two coverage approaches for construction and renovation risks. The other is provided by a variety of Inland Marine coverage forms. While these forms are basically similar to one another, each takes a different approach to providing the coverage.

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