What is unoccupied commercial buildings insurance?
Unoccupied business buildings insurance covers the cost of repairing or rebuilding your business premises if damaged or destroyed while unoccupied. An empty commercial property can be more vulnerable to damage from vandalism and flooding, among other things, so you should ensure you have good quality unoccupied commercial property insurance in place before you leave your business building empty for any length of time over 30 days.
What can be covered by unoccupied commercial building insurance?
The right unoccupied commercial building insurance policy will cover you for a range of eventualities that might lead to damage to your unoccupied commercial property, such as:
- burst pipes
- falling trees
- fire and smoke damage
- damage due to riots or other human causes
- storm damage
- theft from the building itself i.e. roof slates
I own the building outright – do I still need unoccupied business building insurance?
Even if you own your business premises outright you must still take into account buildings insurance to protect you against the potential costs of repairs or reconstruction of your property due to damage while it’s unoccupied.
How much should I insure my business building for while it is empty?
You should make sure that you insure your unoccupied commercial building against the price of reconstructing the property, not against its sale value or current value.