Indiana Commercial Property Insurance

Your Complete Guide to Indiana Commercial Property Insurance

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Indiana Commercial Property Insurance

In Indiana, there are roughly 512,348 small businesses. When you run an operation, your assets should be protected to avoid financial ruin. Commercial property insurance can help. 

An independent insurance agent will review your policies to ensure there are no gaps in coverage. They work with several markets giving you the best options in town. Connect with a local expert for custom quotes. 

What Does Commercial Property Insurance Cover?

In Indiana, your commercial property insurance can cover numerous items. From structures to business equipment and more. Take a look at what is covered under a commercial property policy in Indiana.

  • Commercial equipment: This can be anything from machinery to forklifts. Coverage will be based on an actual cash value or replacement cost. A deductible usually applies.
  • Commercial structure: This covers the actual building you own up to the dwelling amount listed. A replacement cost estimator is used to determine how much your building is to replace or repair. Coverage can be on an actual cash value, replacement cost, or depreciated value.
  • Commercial belongings: This will cover any business belongings, such as furniture, office supplies, and more. It will either be in replacement cost, actual cash value, or depreciated value.  

Inventory and important documents may have some coverage as well under this policy. Ancillary coverage options will depend on the carrier and the policy type you purchase. Some commercial property policies are stand-alone, while others are on a business owners policy or package policy.

Who Needs Commercial Property Insurance?

Indiana commercial property insurance may cover more than you think. Your business doesn't have to own a structure to need coverage. Take a look at the list below on who may need commercial property insurance.

  • Business owners
  • Commercial property owners
  • If you have commercial equipment
  • If you have a property titled in a business name

How much coverage your commercial property needs can be determined by a licensed professional. An agent can run replacement cost estimators for buildings or market value for belongings. Whatever property you own, you'll want proper protection.

Commercial Property Insurance Cost

Like your other business insurance policies, such as commercial auto, general liability, and more, your prices will vary. Carriers use several items to come up with a premium. Check out the risk factors insurance companies use in Indiana.

  • Local weather
  • Claims history
  • Type of property insured
  • Square footage
  • Value or replacement cost of property
  • If you rent out the commercial property to others
  • Your insurance score
  • If you have other policies in place

When carriers determine your costs, they use personal data and outside factors. Things like crime rate and local weather patterns are taken into account. To find out your exact pricing, get quotes from a trusted adviser.

Top five weather-related risks in Indiana

  1. Severe storms and lightning damage
  2. Flooding and water damage
  3. Heavy snow
  4. Tornadoes
  5. Burglary and other property crimes

How Much Commercial Property Insurance Do I Need?

In 2019, Indiana had approximately $6,780,466,000 in commercial insurance claims paid. A portion of those were commercial property-related losses. How much insurance you'll need for your commercial property will depend on your specific criteria. In the meantime, take a look at the different types of insurance given to commercial property owners.

  • Replacement cost: This will pay for your commercial property's current value at the time of loss in full. When you have a claim, it will restore or replace your property to like, kind, and quality. 
  • Actual cash value: This coverage is equal to replacement cost minus depreciation. If your commercial property is damaged, aged, or has natural wear and tear, this will be subtracted from the replacement cost amount. 
  • Functional replacement cost: This meets in the middle of actual cash value and replacement cost. It will replace or repair your commercial property with material that is less costly but just as functional. 

Does Commercial General Liability Insurance Cover Property Damage?

Similar to your business umbrella policy, your general liability and commercial property insurance work together. They are on separate policy forms but may be included under one package policy and still cover different things. Take a look at the facts.

  • General liability insurance: Pays for a lawsuit arising out of bodily injury, property damage, libel or slander. This is usually the most accessed policy you'll own. 
  • Commercial property insurance: Pays for the replacement or repair of a commercial structure, belongings, or equipment. This does not have its own liability limit, but is in addition to your general liability coverage.
  • Commercial package policy: This is just how it sounds — a package. This package will include general liability, commercial property, and more ancillary coverages together on one policy. Typically, lower premiums and more robust coverage options will be included in a commercial package. 

How an Indiana Independent Agent Can Help

Your business assets should be adequately protected to avoid financial ruin. Since the items are typically pricey, you'll want to be sure they have sufficient coverage. When you use a licensed professional, you'll get a full policy review at no cost.

An independent insurance agent works with several carriers so that you get the best rates. They have coverage and premium options to help you stay on budget. Connect with a local expert on TrustedChoice.com for details.

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TrustedChoice.com Article | Reviewed by Jeffrey Green

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