Commercial Property Policy
What Does Commercial Property Policy Mean?
A commercial property policy is an insurance policy that covers a business’s buildings and their contents. Depending on the policy, the policyholder may also be covered for lost income or expenses related to damage sustained by the building or its contents.
Insuranceopedia Explains Commercial Property Policy
A commercial property policy may cover perils such as fires, natural disasters, theft, and more. Even if the damage is not extensive, losses can still be significant for certain businesses. For example, if a flood damages a single machine valued at $10,000,000 inside a company building, the business could face a substantial financial loss without a commercial property policy or equivalent insurance coverage. Commercial property policies are utilized by various types of businesses, including manufacturers, retailers, and distributors.
