Property Insurance

Whether you are starting a business or planning on homeownership, property insurance is the one area you should not neglect. There are many different types of insurance available, including property insurance, liability, workman’s compensation, group health, life, disability income, “key man” insurance, and others.

            Property insurance is one of the common types of insurance coverage which small business owners frequently purchase. Aside from property insurance, they also buy liability and workman’s compensation if they employ others.

What is property insurance?

            Property insurance is a type of insurance that covers the building structure or structures and contents of the enterprise. Depending on the needs of your business, property insurance may also cover outdoor signs, crime coverage, property of others, glass coverage, and more.

Why should I get property insurance?

            In such cases as fire or theft, the insurance company will cover the repair costs and replacements for loss through your property insurance. With property insurance therefore you are “protecting” yourself from damages or loss. Property insurance is done through a contract called a Property Insurance Policy.

What is a property insurance policy?

            A property insurance policy is a legally binding contract between an insurance company and the person who buys the policy. This person is often called the property insurance policyholder. When getting a property insurance policy, the policyholder will pay a certain amount of money, called the “premium” to the insurance company. In return, the property insurance company will agree to pay for certain types of damages or loss. Damage or loss specifics to be covered by the property insurance are outlined in the contract.

            When a loss that meets the specifics stated in the property insurance contract occurs, the loss is said to be “covered” by that property insurance policy.

Can homeowners get property insurance?

            Any person can get property insurance as long as he has an “insurable interest.” Small businesses, big business, middle-income to high-income homeowners – these people can all get property insurance.

In property insurance, the insurable interest is the property itself. So for small businesses, their property insurance covers their office building and everything that are considered as “insurable interests.” For homeowners, their “insurable interest” such as their homes can be covered by property insurance.

Property insurance for homeowners pays for the repair or rebuilding of a house which is damaged by fire or various other causes like wind damage, freezing, and vandalism. This type of property insurance policy also pays for the replacement of any items or valuables inside your home if they are damaged or stolen.

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