Whether you’re a small or big business, commercial insurance is always going to crop up. All the different types of insurance can get a little messy, which is why we’re going to do everyone a favour and break it down so we’re all on the same page.
What is Commercial Insurance?
In a nuts (and bolts) shell, commercial insurance is insurance that protects businesses against losses and claims for things like damage to property or injury to employees. It’s a general term covering various types of insurance, such as public-liability insurance, employer’s liability insurance and professional indemnity.
What are the different types of Commercial Insurance?
There is a huge commercial umbrella when it comes to insurance, and here’s the most common:
Commercial property insurance
Motor insurance
Tool and equipment insurance
Cyber liability insurance
Business interruption insurance
Which Commercial Insurance is right for you?
The insurance game isn’t an easy one to play. It’s hard knowing what insurance to take out and which one is right for your needs. There’s a few tips and tricks you can use to help make your decision. You should consider the following:
Does your business deal with members of the public?
What type of service or product do you offer?
Are you a sole trader or an employer?
Are you a limited or public company?
Do you have a premises for your business?
Do you use a vehicle or any special equipment for your business?
By answering those questions, it will help to give you more of a feel about what type of insurance you’re going to need. We’re going to dive into all things property insurance, after all property is our main player at Blue Door.
Let’s talk Commercial Property Insurance shall we?
Commercial property insurance is a must have. This type of insurance makes sure you’re covered for any cost of repairing, rebuilding, or replacing stock/equipment on your premises.
What does commercial property insurance cover?
Burst pipes
Flooding
Theft
Fire
Weather-related damage such as fallen trees
Commercial property insurance can be broken up into four areas, all of which are essential when owning a property or premises for business.
Buildings Insurance
Buildings insurance will cover the cost of repairing or rebuilding your premises if it is destroyed or damaged from events such as flooding or fire.
This type of insurance isn’t actually required by law, but we do highly recommend it. If you’re renting your premises, this insurance is your landlord’s responsibility - but we’d always double-check with the landlord to make sure this is in place.
Unfortunately, the majority of buildings insurance policies won’t cover you for things such as general wear and tear. So keeping those carpets in tip-top shape is down to you.
Contents Insurance
Contents insurance covers anything that is not physically attached to the building. For example stock and equipment, or if your premises is a home then valuables and goods such as furniture and electrical items. This insurance isn’t mandatory, but highly recommended to make sure your belongings are safe.
Similar to buildings insurance, this doesn’t cover wear and tear and the majority of policies come with value limits on your contents.
Fixtures and Fittings Insurance
Pretty much self-explanatory this one. This is to cover any fixtures or fittings that aren’t deemed as stock or goods, but don’t belong to the building itself.
Loss of Rent Insurance
This will help compensate for any loss of rent or income due to the property being inhabitable and your tenants having to be moved out.
Remember, insurance and covers differ between different policies and providers, so it is essential to always check each policy. We’re always here to help anyway, feel free to email us on admin@bluedoorpropertyguardians.co.uk or give us a call on 02078594213 if you have any questions or need a bit more help in the insurance department.
You can also take a look at our Property Owners page to learn more about our guardianship offering.