Commercial Landlord Insurance

Commercial property ownership comes with unique risks that are not typically covered by standard property insurance policy.

Risks with letting out Commercial Property

Renting out a commercial property is different from renting out residential property, as the risks involved can be more complex and varied. Some of the key risks you face as a commercial landlord can include:

Property damage: Commercial properties can be subject to damage from floods, fires, vandalism, or accidental incidents like electrical fires or burst pipes. Without the right landlord commercial property insurance or landlord commercial building insurance, the cost of repairs could be substantial and could impact your income if you need to close the property for repairs.

Tenant liability: Accidents and injuries can happen on the property, especially in high-traffic areas like shops or office buildings. If a customer or employee gets injured due to poor maintenance or hazards in common areas, you could be held responsible. Public liability insurance under a commercial let insurance policy can help cover the costs of legal claims and compensation.

Loss of rental income: If your commercial property is uninhabitable, you may lose rental income while repairs are underway. Loss of rent cover can help to mitigate the financial impact of this situation.

Legal and regulatory compliance: Commercial landlords must comply with a range of local regulations, health and safety requirements, and tenant agreements. In case of disputes or legal challenges from tenants, having commercial let insurance can help cover legal costs involved with any claims.

Tenant default: In some cases, tenants may default on payments. While not always directly covered by commercial landlord insurance, other forms of cover or add-ons can help with this.