When you own a commercial property, you need to do everything you can to protect that investment. The most straightforward way to do that is to properly insure it, but the number of options you may have available to you can make it a little difficult to see how policies can overlap or create unwanted coverage gaps.
Broadly speaking, commercial property insurance functions in much the same way that homeowners insurance does: It allows you to cover the cost of damages suffered in the event of catastrophes such as fire, storms or everyday accidents. However, as pointed out by iSelect, not all policies are the same, and while many cover a lot of similar things, they may not always do so at the same level.
Generally, your commercial property insurance will cover things like accidental damage to your building, plumbing issues, natural disasters, fire, and even malicious damages from things like vandalism or theft. However, just as not all insurance is the same, not all properties are the same, either — so you need to carefully examine the unique risks your property faces and select insurance that best aligns with those coverage priorities. That way, you're getting the most for your insurance premium dollar and not paying for things you don't necessarily need.
In addition to the unique risks your property may face because of its location, you will also want to find options that best cover the ways in which your property is used, Coverforce noted. For instance, if you lease to a company that uses the facility as warehousing space, you may need more coverage related to industrial accidents than many other property owners. On the other hand, if you own a residential property you rent to tenants, your coverage needs will be quite different.
When you are looking to buy a commercial property, you should have the full picture of your needs before, during and after the sales process. At Ray White Surfers Paradise, we can help set you up for long-term success, guiding you through every step of buying the property and providing expert advice thanks to our years of experience in the industry. Get in touch with us today to start your commercial property purchase on the right foot.