Commercial property insurance

Whether you own or lease the building you operate your business from, we have the right combination of coverage and options to keep things running.

Your business insurance includes broad coverage to protect your building and contents.

If you own your building, our policies cover the actual structure, as well as any permanent fittings, fixtures or extensions.
If you rent or lease, it covers any improvements you make as a tenant.
When it comes to what’s inside the building, contents insurance covers your stock, equipment, furniture and machinery.

Choose from our basic and customized protection for your property, contents and other items against loss, damage or theft.

You can also choose from our available endorsements to tailor your policies to your needs, including coverage for earthquake, flood, sewer backup, and more. See a list of our most common Business property coverage options below.

Your local Co-operators Financial Advisor will take you through the many ways we can help protect your business property and design a policy to suit your needs. Contact your Financial Advisor today.

Business property coverage options
Customize your Business Property insurance coverage with options that best suit your needs and type of business.

Replacement Cost Endorsement
Changes the basis of settlement to pay for losses based on the cost of repairing or replacing the insured buildings and/or contents, without deduction for depreciation. Some exceptions apply; ask your advisor for details.

Bylaw Endorsement
Adds coverage for additional costs incurred if you have to repair or rebuild your damaged property to comply with any by-laws or zoning laws, if the cause of damage is covered by your policy.

Consequential Loss Endorsement (Including Off Premises Service Interruption)
Adds coverage for stock spoilage if the cause of loss or damage due to a change in temperature or humidity. This also includes coverage for loss or damage caused by an off-premises power interruption.

Earthquake Shock Endorsement
Adds coverage for loss or damage to your insured property from earthquake.

Flood Endorsement
Adds coverage for flood and surface water damage, including floods caused by the rising of, breaking out or overflow of any natural or man made body of water, including waves, tides, tidal waves and tsunamis. Surface water means water on the surface of the ground where water does not usually accumulate. Water below the surface of the ground that seeps or leaks into the premises is not included.

Sewer Back-up Endorsement
This option adds sewer backup to the definition of water damage on your policy. It covers the backing up of sewers, sumps, septic tanks or drains, excluding seepage or leakage from natural sources.

Sign Floater Form
Adds Actual Cash Value coverage for your exterior signs, street clocks, communication towers, antennae and satellite receivers.

Miscellaneous Property Floater Broad Form
This option provides Actual Cash Value coverage for items that might be mobile and are not already covered under your policy. Coverage applies on or off premises anywhere in Canada or Continental United States. This option also includes a locked-vehicle warranty.

Cargo Floater Broad Form
Provides coverage if you are paid to transport property that belongs to other people, or to transport your own goods in vehicles that you own and operate.

Contractor’s Equipment Floater Broad Form
If you are a contractor, this option provides broad coverage for your equipment, or the equipment of others for which you are legally liable.

Tool Floater Broad Form
This option provides broad coverage for all tools and equipment usual to your trade or business, including but not limited to saws, spades, drills, ladders, hammers, brushes, drop cloths and ratchets that are used on or off premises. Coverage applies anywhere in Canada and the Continental United States. This option also contains a locked-vehicle warranty.

Commercial Advantage Endorsement
With our Commercial Advantage Endorsement, you’ll receive a full package of coverage options normally available separately. Ask your advisor for details about what’s included:

Accounts Receivable
Brands and Labels
Extra Expense
Exterior Signs including Street Clocks, Communication towers, Antennae and Satellite Receivers
Fine Arts
Fire Department Service Charges
Fire Equipment Recharge
Glass ($500 deductible)
Master Key ($500 deductible)
Newly Constructed Buildings at the Insured’s Premises
Professional Fees
Stock Spoilage (Consequential Loss Including Off Premises Power)
Valuable Papers & Records
Arson Award
Building Damage by Theft
Building By-laws
Debris Removal
Growing Plants, Trees, Shrubs or Flowers Outside the Building
Identity Theft
Land and Water Pollution Clean Up
Money and Securities
Moulds, Dies and Patterns
Peak Season Increase
Personal Property of Officers and Employees
Roadways, Walkways and Parking Lots
Sidewalk Sales
Newly Acquired Locations
Property in Transit
Sales Representative
Temporary or Unnamed Locations
Benefits of commercial property insurance:
Recovery process following a loss: Suffering a loss to your small business can be a traumatic experience, and the longer it takes to get back on your feet, the worse the experience can become. If damage is done to your property as a result of an insured peril, the right policy can help get you back up and running quickly, which can help mitigate the long-term effects of the loss. By limiting your business’ downtime, you also maintain your business’ continuity and protect your reputation with your customers.

Repair costs: If your business suffers a covered loss, your commercial property insurance policy can help with the repair costs to get you back in business quickly. For example, if you own a commercial space, and someone vandalizes the door to your business preventing customers from entering the building, the right small business insurance policy will help get the repairs done quickly and help keep the costs to your business down.

Replacement costs: If the covered loss to your property is too extensive for repairs, commercial property insurance can often help with the replacement costs. For example, if you own a bakery and a fire breaks out in your kitchen destroying your electrical oven, your commercial property insurance policy can help keep the replacement costs low and protect your bottom line.

Business interruption coverage: If you suffer a covered loss, you likely won’t be able to sustain operations right away. The right commercial property insurance policy may be able to mitigate your loss of income to help you keep up with bills, payroll and other expenses until you’re back on your feet.

Unexpected losses: No matter how much you prepare your small business for the risks it faces, sometimes unexpected disasters happen. Natural disasters are often out of our control and can cause significant property damage. Instances of fire, winter storm damage, hail and some forms of water damage may be covered in your commercial property policy to help you keep costs down in these unforeseen situations.

Commercial property

Factors that can affect your commercial property insurance:
Insurance companies will consider a variety of factors when creating your commercial property policy and determining the premium you’ll pay for your small business. Some of these factors include:

Location: Where your business operates will have a big impact on the type of coverage you need and how much it can cost. For example, if you work in an area with a high prevalence of forest fires, your coverage and premium will need to reflect that.
Replacement costs: The amount of money it would cost to replace both your commercial space and its contents will help determine how much coverage you need and how much your premium will cost.
The age of your property: As a building gets older, its likelihood of suffering a loss increases. Newer buildings will typically have lower insurance premiums than older ones. If you operate your small business out of an older building and decide to do renovations or enhancements to your property, it’s important to inform your insurer as this may affect your coverage and premium.
Electrical work and plumbing: Water damage is one of the leading causes of insurance claims in Canada. The type of plumbing in your building will be a key factor in determining your coverage needs and the cost of your premium.
The factors that determine your commercial property insurance premiums can also be factors to help you lower them. There are several things you can do as a small business owner that may help lower your property insurance premiums, such as replacing the roof, improving your building security and upgrading your electrical system.

Think commercial property insurance is what your small business needs?

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Other coverage options to consider:
Commercial general liability insurance: Commercial general liability (CGL) insurance is designed to protect you and your business from a loss if you’re found legally liable for bodily injuries or property damage to a third party caused by the product you sell or the service you provide. CGL insurance can also offer protection in situations where you or your employees are conducting business offsite.

Product liability insurance: Product liability insurance is often included in a CGL policy, but not always. It’s important to double check that your small business insurance policy does protect you from risks associated with product liability claims.

Cyber risk and data breach coverage: Cyber attacks are an ongoing threat to small businesses and have continued to rise recently. Cyber event expense coverage is designed to help small businesses that rely on technology mitigate some of the expenses that may incur as a result of a cyber hack.

Professional Liability: If one of your clients or customers claims your advice caused them a financial loss, your professional liability coverage can help you recover from the financial consequences that may incur. This coverage is also known as errors and omissions (E&O) coverage.

Equipment breakdown insurance: Your equipment is covered in your property insurance policy for damage caused by external sources, such as fire, floods and weather damage; however, you may not be covered for electrical or mechanical damage. In these situations, you’d look to your equipment breakdown insurance.

Commercial auto insurance: If you or your employees use your vehicle for business purposes you need commercial auto insurance to protect that vehicle in ways your personal auto policy may not be able to.