Understanding Buildings insurance

Do you own your own premises - be it a shop, pub or hotel? Are you a residential or commercial landlord who owns and rents out property? Or perhaps you rent your business premises from a landlord but have made alterations to the premises for your specific trade requirements, referred to as 'Tenant's Improvements'?

If you own the building you operate from you should seriously consider taking out buildings insurance. If you don't and the property suffers damage, for example as a result of fire, flood or storm, not only would you have to foot the bill to repair the damage, you might not be able to continue trading.

You should also remember that you need to make sure the premises are insured for their full rebuilding cost (including professional fees and the cost of site clearance) and not their market value. You may need expert advice to calculate the rebuilding cost, which often differs significantly from market value.

Direct Line for Business offers a number of insurance policies that include cover for the building or structure - for some policies this may not be standard and you may need to take it as optional cover. The policies vary, but generally cover 'all risks' (subject to exclusions) so you can expect to be covered in the event of:

• Fire, lightning, explosion or earthquake
• Riot or civil disturbance or malicious acts
• Storm or flood
• Escape of water
• Accidental damage

Making sure that your premises or any buildings that you are responsible for are covered by buildings insurance will give you the reassurance that you will be able to pick up the pieces should you need to make a claim. To find out more details on the cover that is offered, and to get a business insurance quote in minutes - just visit the relevant section of this website.