Commercial Premises Insurance: What Should It Include?

What does commercial premises insurance cover?

The risks of a pharmacy, a legal office, a clothing store, an appliance store or a restaurant do not They have nothing to do with it. For this reason, commercial premises insurance is highly customizable and can be configured with the most appropriate coverage for each type of business. These are some of the main ones:

1. Civil liability

Civil liability is the obligation to respond (normally, with compensation) when one’s acts, or those of people over whom one has authority, cause damage due to fault or negligence since, if something happens, the compensation can be very large.

All types of businesses Some commercial premises, such as health clinics, law offices, restaurants, or travel agencies, are required to have civil liability coverage in their insurance, but this is highly recommended coverage. for

There are many cases where civil liability can come into play. Some examples of situations are a restaurant that uses a product in poor condition and causes food poisoning, a shelf that falls off the premises and damages a customer, or a fire originating in the premises that affects the adjacent premises.

Commercial premises insurance usually offers several types of civil liability coverage:

  • Civil exploitation liability. Covers material or personal damage caused to third parties during the activities of the premises. It can be extended to terraces in the case of bars, cafes and restaurants.
  • Real estate civil liability. Corresponds to the owner, and is responsible for any damages that the commercial premises may cause. cause to third parties. For example, if a wall collapses.
  • Locative civil liability. This coverage covers the tenant against any damage that may be caused to the premises they rent. For example, if you forget to turn on a faucet it ruins the floor.
  • Employer civil liability. It is that which acts if, by action or omission of the employer, an employee is injured.
  • Civil product liability. It affects the manufacturers of the same and would be responsible for covering damages caused to customers by a defective product that causes damage. For example, it could cover incorrectly labeled soap that has caused an allergy (if made in-house) or food poisoning from food products made on the premises, but also if they have been improperly preserved.

2. Robberies and robberies

Multi-risk insurance for commercial premises can cover damage due to theft or attempted by people related to the premises, such as collectors, money transporters, clients, and other visitors over robberies or robberiesthat is in the safe, the safe, or even outside. It is also possible to extend coverage to the window and the merchandise in the premises, including the

3. Various damages

Insurance for commercial premises can cover damages caused by various circumstances, such as those caused by water, fires, lightning strikes, explosions, or acts of vandalism, such as broken doors. glass or metal closures. It is also common to cover losses due to the deterioration of refrigerated goods, something that can be very relevant for restaurants and pharmacies.

4. Guarantee for losses

Imagine that a water leak damages the floor of your premises and you don’t have insurance. In addition to paying for its repair, you would also have to close the business while it is being carried out, so the losses would increase.

In these circumstances, the guarantee for losses would compensate you, helping the business to be economically maintained until it reopens. This guarantee may also come into play if any work on the street prevents or hinders access to your premises.

On the other hand, if you own a premises and have it rented, you could also protect your income if you stop receiving the amount of the rent due to an accident. In this case, the coverage is called ‘loss of rent’.

5. Maintenance services

You can contact telephone support and eresto services with your commercial premises insurance for small breakdowns and repairs of plumbing, IT, electricity, and the locksmith (including metal locks). In this way, small setbacks will be stopped in time and will not become a real drama.

Who should take out commercial premises insurance?

If you own the premises that you operate yourself, there is normally no doubt: you need complete insurance that covers the premises, its contents, and the civil liability of the activity you carry out (although this can be contracted separately ). However, when it comes to rented commercial premises, doubts often arise about who should take out the insurance: the owner or the tenant. a>

Usually, both parties have commercial premises insurance. The owner, if he has a mortgage, must have at least fire and damage insurance that covers the container (the structure of the premises), but not the contents.

For this reason, tenants must take out commercial premises insurance that covers the contents, that is, all the merchandise and equipment that the premises have, as well as the civil liability coverage that responds to potential damages to third parties derived from the commercial activity.

In addition, it is important to know that the owner can require in the rental contract the contracting of multi-risk insurance for the commercial premises.

In short, you must protect your commercial premises whether you are an owner or a tenant, what changes are the coverages you will need?

If you have doubts about which coverage to hire, and which not to, the best thing you can do is get advice from an insurance professional. An insurance agent will talk to you to understand the risks of your business and develop a policy that covers just what you need. And now you can work in peace!