How to Get Commercial Renters Insurance
Commercial renters insurance is a common requirement because many businesses do not own their own properties; rather, they rent or lease the space in which they operate.
If you need commercial renters insurance, keep in mind that some coverage is legally required, whether you run your business in a rented basement or a high-rise building.
Things You’ll Need
- Itemized list of your business-related property
Examine Your Potential Liabilities
1. Determine what you need to cover for operating your business on a commercial property. You will likely need coverage for boiler and machinery breakdown, business interruption and environmental pollution. You may also need both general and employer-liability coverage.
2. Contact the property owner to determine whether you are responsible for boiler and maintenance insurance. If you own your own business machinery, you will likely need to purchase boiler and maintenance insurance. The property owner may limit his boiler insurance to the basic heating and cooling of the building.
3. Assess your need for business-interruption insurance. This type of insurance will help to cover your costs if you are unable to conduct your business because it is interrupted by unforeseen events.
4. Calculate the amount of general-liability insurance you will need for unintended consequences. This covers damage to property and loss of business-related belongings, as well as bodily injury for those who are injured on the business premises. Many general-liability insurance packages also include advertising liability that covers problems associated with advertising your business.
5. Determine the legal amount of employee-liability insurance that you need to carry. This insurance often includes personal injury and disease insurance that covers costs for employees who are injured on the job. It also covers employees who get sick because of work-related conditions.
6. Estimate the amount of environmental or pollution insurance you will need to cover any damage to the environment and related cleanup due to your business-related activities.
Get Commercial Renters Insurance
1. Get quotes from three or more insurance companies at Netquote.com (see Resources below). Different companies offer widely divergent policy options that vary based on state laws, types of businesses and specific needs.
2. Decide which policy best fits your legal obligations and specific business needs. Contact an insurance representative to purchase the policy.
Tips & Warnings
- Reduce your premiums by increasing your deductible. The deductible will be the amount you pay before your insurance covers loss or damage.
- Determine whether you want your property insurance to be based on the actual value (what it costs minus depreciation) or on the cost to replace the item at current prices.
- Don’t go it alone. Legal consultation may be necessary to determine your state and federal insurance obligations.