What Is Commercial Property?
Commercial Property insurance is designed to help protect the physical assets your business relies on — the building itself if you own it, along with equipment, inventory, furniture, and improvements you've made to a leased space. It responds to covered causes of loss such as fire, windstorm, theft, and vandalism.
Who Needs It
Any business that owns a building or holds equipment, inventory, or leasehold improvements at a physical location can benefit from commercial property coverage. It's especially important for building owners, but tenants also need it to protect their business personal property and any improvements they've made.
Real-Life Claim Scenarios
Fire Damages a Retail Location
An electrical fire damages the interior of a retail store overnight. Commercial property coverage may help pay to repair the space and replace damaged inventory and fixtures, subject to your deductible.
Vandalism After Hours
Vandals break windows and spray graffiti on a storefront over a weekend. Property coverage may help pay for the repairs, subject to policy terms.
Hailstorm Damages the Roof
A hailstorm damages the roof of a commercial building, leading to water intrusion. Coverage may help pay for repairs to both the roof and any resulting interior damage, subject to your policy's storm provisions.
Tenant Improvements Destroyed by Fire
A tenant who built out a leased office suite suffers a fire that destroys those improvements. Coverage for tenant improvements and betterments may help with the cost to rebuild.
Theft of Business Equipment
Thieves break into a facility and steal computers and specialized equipment. Business personal property coverage may help reimburse the value of the stolen items, subject to sub-limits.
What It May Help Cover
- The building structure and attached fixtures
- Business personal property, including furniture, equipment, and inventory
- Tenant improvements and betterments
- Outdoor signs and property
- Property of others in your care, custody, or control
- Business income loss when combined with a business income endorsement
Coverage Limitations
Flood and earthquake are generally excluded from standard commercial property policies and require separate coverage. Valuation method (actual cash value versus replacement cost), coinsurance requirements, and named-peril exclusions vary by policy and are subject to underwriting.
Industries That Commonly Need This Coverage
What You'll Need for a Quote
- Building square footage, age, and construction type
- Roof age and condition
- Replacement cost estimate for the building and contents
- Protective features such as sprinklers, alarms, and fire suppression
- Whether the location is owned or leased
- Prior property claims history
Upload Insurance Requirements for Review
Have a certificate request, lease clause, client contract, or vendor requirement tied to commercial property? Upload the document and a Casurance specialist can review the requested limits, wording, and additional insured language.
Frequently Asked Questions
Related Coverages
Get a Commercial Property Quote
Tell us about your business and a Casurance specialist can help you review Travelers commercial property options, subject to underwriting approval and coverage availability in your state.
Coverage described on this page may help address certain risks common to this coverage line, subject to policy terms, conditions, exclusions, and underwriting approval. Coverage availability, limits, and pricing vary by state and are not guaranteed. This page is for informational purposes only and is not an offer of coverage or legal advice.
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