The most important reason to purchase property insurance is the uncertainty of future. You can’t predict what would happen in the next moment, and therefore, to get complete coverage against the life’s uncertainty, it is essential to buy a property insurance policy. A property insurance policy is an umbrella policy which includes office insurance, factory & warehouse insurance, construction and engineering all risk insurance policy, art insurance and motor fleet insurance.
It is necessary to purchase a property insurance for the same reason as you need to insure your health, car and any other costly items. Any loss or damage to your property could have both emotional and financial consequences. However, if you have the right property insurance policy, it would be feasible to mitigate the financial loss.
Here are some important reasons to buy property insurance
- Natural perils can strike anytime=. Unfortunately, natural calamities, like flood, earthquake, cyclone, etc.; are the reality of today’s life. What if an earthquake strikes and causes severe damages to your factory? You can’t control the nature’s flurry, and therefore, it is good to purchase a property insurance plan to protect yourself against all sorts of ‘Acts of God’ or natural perils.
- Man-made risks can cause severe damages= Many times, even trendiest safety gadgets and security equipments fail to secure your property. As a result, man-made threats like riots, terrorism, strike, thefts, etc.; can arise anytime. By purchasing office insurance policy, you would be able to get complete protection against theft, burglary, etc.
- Business loss can arise to disrupt your growth= Imagine a scenario, where you would have to face heavy losses due to the breakdown of your machinery. In such a case, if you have a suitable office insurance policy, you would be able to get a compensation against business loss incurring during the time-period.
- Accidental damages can arise= While most of the people do not pay heed towards this point, however, office equipments like furniture, appliances, etc.; can cost a lot if you put them together. Hence, getting content insurance is necessary to get financial coverage in case of any loss or damage. If it is mentioned in the policy document, you would also get coverage in case of theft of items like neon signs, hoardings. This coverage helps in encouraging your business, etc.
At last, you should purchase a property insurance policy to get a peace of mind. You can pray and hope that natural perils would never strike, but knowing that your most precious asset is secured in the event of a crisis, well-worth your expenses. The peace of mind is much valuable than any other thing. Indeed a property insurance ensures that you focus on your business only without worrying about other things.
K.S Art Gallery is a renowned name in the field of art & literature. The gallery houses work of some great artists, which includes paintings from both India and abroad. Last year, the gallery had to go through a tough situation when the fire happened at the gallery due to short-circuit in power switches. Though flames were doused on time; it caused loss of Rs 5 lakh.
The monetary loss compelled the owner of K.S Art Gallery to think of ways to avoid the loss.
The situation would have been different if K.S Art Gallery had bought art insurance (falls under property insurance policy). Here, the art insurance company would have covered the losses or damages which happened due to fire. The owner of the gallery would have only need to inform the art insurance company after the loss which would have appointed a surveyor to inspect losses or damages. On the basis of the report submitted by the surveyor, the art insurance company would have settled the claim.
Thanks to art insurance policy, K.S Art Gallery would have been able to deal with the financial loss without putting pressure on its finances.