The Importance of Commercial Fire Insurance

5/18/2022 (Permalink)

The Importance of Commercial Fire Insurance

Fire insurance is a key purchase for any business owner. That is because fires are more common than you may think. Nearly 500,000 property fires occurred in America in 2017. While most of these were residential fires, more than a quarter occurred in commercial buildings. In all, the fires caused more than $10 billion in property damage.
It is not just the fires themselves that cause destruction, either. Smoke damage alone can be costly. Buildings can also be harmed by fire-fighting materials such as:

• Foams
• Powders
• Water

Insurance can help you pay for the cost of smoke cleanup and fire restoration services. Best of all, this insurance is relatively easy to purchase. It should be included in your commercial policy.

Obtaining Sufficient Coverage
Fire insurance is useless if you do not obtain enough coverage. Make sure to insure your property for its full value. An experienced appraiser can help you determine what this value is.

Maintaining Your Policy
Once you do purchase insurance, you need to regularly maintain your policy. When your office location changes, you must tell your insurer about this new address. Otherwise, you may have to pay for the cost of fire damage restoration yourself.
If you are expanding your business, you don’t need to get a separate insurance policy for each building. Instead, consider putting all of your offices under the same policy. This will likely be cheaper than purchasing individual coverage for each place.
There is another way you can save money on fire insurance. Implement a fire prevention strategy within your office. Some insurers provide discounts to companies that do this. However, you should have some sort of safety plan in place regardless of whether it lowers your insurance costs.
Your commercial insurance policy should include fire coverage. This insurance could be essential if your company suffers devastating heat or water damage. Without insurance, you may not be able to afford the cost of repairs. You could even have to close your University City, MO, business down permanently.