Whether you're a landlord who owns a retail property which are leased to a tenant, or an owner-occupier, you'll appreciate how important the right insurance cover can be. With so many uncertainties and risks in owning a retail property, making sure you have a safety net should things go wrong is vital.
The challenge lies in finding a level of cover that's right for you: nobody wants to pay more than they need to for their premium, but at the same time it's no use having a product that doesn't give you the level of cover required. Read on to discover the various types of retail shop insurance options out there and how we can help find a policy that's exactly right for you.
Owner occupier, or owner with a retail tenant?
Each form of ownership and occupancy has its own set of risks. For example, an owner who leases their property out will probably need cover which will pay out in the event of damage being caused by the tenant, failure to pay rent or cover for legal fees should court action be required in respect to tenancy matters. Property owners who are also occupiers generally need cover which includes protection for the physical fabric of the building (buildings insurance), the contents of the building (so items such as stock, furniture, IT) and cover for wrap-up costs should trading need to stop for some reason. Circumstances where this may occur range from simply failing to make sufficient profit to cover your overheads through to having to shut down suddenly due to equipment breakdown, theft or similar. In addition, business operators need public liability insurance to cover any accidents which may occur when members of the public enter their premises. Some specialist forms of retail property insurance (for example, glass cover) are also available.
Types of retail property insurance
What does buildings insurance cover?
If you own a building, then building insurance is a must. This type of insurance covers the cost of repair or rebuild of your property if it is damaged. Damage might occur due to weather, wear and tear, subsidence or some form of structural weakness. Buildings insurance normally covers repair costs, or, if the building has been so badly damaged that it is no longer fit for purpose, the insurance will cover rebuild costs. Buildings insurance covers not only the exterior of the property, but also floors, ceilings, walls and similar. Given that there is no way of foretelling whether your building is going to become damaged in the future, insurance to cover your asset is essential.
Contents insurance, including fixtures and fittings
As well as the obvious risk of theft, your contents could be damaged by fire or flood, give way to wear and tear, or be damaged due to the negligence of tenants or accidental damage. In these circumstances, insurance will reimburse you for the cost of replacements or repair.
You may need property owner's liability (which covers you in case someone claims that an accident they suffered on your premises was down to negligence on your part), or public liability insurance (this can cover owner-occupiers, tenants and landlords in the event that a customer or member of the public claims that negligence in your premises or connected with the activities which are taking place there caused them to suffer mental or physical harm). Liability is a complex area of insurance cover, so it's important to get the correct advice in order to ensure you get a product that's right for your specific requirements.
Business interruption or loss of rent
Whether you need to cover rent in between tenants, a tenant fails to pay the rent or you are an owner-occupier who requires cover to ensure the rent or mortgage is paid even if business is slack, there is a form of cover that can work for you. Cover is also available which can pay overheads and similar on-going costs in the event that you are temporarily not in a position to pay them.
At Property Insurance Brokers, we are property insurance specialists and can arrange cover that's exactly right for you and your business. Every business is a little different when it comes to their insurance needs, so it's important to have cover that's flexible enough to work for you.
We work with over 100 different insurance providers, giving us plenty of options when it comes to finding a product that ticks your boxes at a price that's right. We can find cover for less common issues (such as glass cover, or cover for niche pieces of specialist equipment, or risks which are unique to your stock), as well as work with you to create cover which incorporates what's needed without duplication or gaps.
Get in touch to obtain cost-effective, comprehensive retail shop insurance quotes on 1300 276 628