Protecting the Company: Why Your Business Needs Property Insurance
Running a business requires a lot of responsibility. However, not all of these responsibilities are to customers and employees. One you may not immediately think of is the responsibility to properly insure your company. Without the proper insurance coverage, your business could be a sitting duck. With that in mind, below are some reasons why your company needs property insurance.
It Protects against Natural Disasters
One thing property insurance can do is protect your business from the threat of natural disasters. While people like to think otherwise, many natural disasters are completely unforeseen. Any given week, it could rain so much that the local river overflows causing flooding into the streets. If you don’t want to take a huge loss on the building and the other assets inside, insurance coverage is required.
It Protects Against Fire
According to Great Lakes Public Adjusting, one of the most common claims filed under property insurance is for fire damage. Even with smoke detectors and a sprinkler system installed, fire can still destroy commercial property beyond salvage in mere minutes. Wiring that was not properly installed or even a simple lightning strike can certainly cause a building to burn to the ground. Property insurance can protect against this risk.
It Protects Against Theft
One of the biggest threats to businesses is theft. According to the LA Times, retail theft costs businesses $45 million a year. Some of this theft comes from shoplifting. In other cases, the source of the theft is internal. However, you can’t rely on the police to help recoup the cost of theft. Adequate insurance coverage is required to make sure something like burglary does not shut your business down entirely.
It Can Put You at Ease
Depending on the policy, there are also many other things insurance coverage can protect commercial property against. Overall, the thing that property insurance provides to business owners is a sense of security. If something out of your control harms your building and property inside, insurance coverage should help you recoup the loss. This can allow a business owner to focus more squarely on providing an excellent product and service without having to worry about every possible scenario that could occur.
If you have buildings and other real-estate that you use to conduct business, property insurance is an absolute necessity. Without it, there are simply too many things that could go wrong. The cost of such incidents could lead to the untimely demise of your company.