The building insurance policy for the business mainly provides coverages for:
- Damages to the building and the permanent fixtures in it that can be caused due to earthquakes, lightning, or leaking tanks and pipes.
- Deliberate damage is caused by someone with malicious intent externally or by someone who is unlawfully on the property.
- Loss due to theft or by an attempt for theft.
- Damages due to violence or by the threat of violence.
In some cases, protection against the following damages is also available:
- Any damages to the sanitary ware and glassware, including the glass panes on the doors and windows, and the sanitary ware used in the sinks and washrooms.
- Any accidental damages to the pipes and cables that are underground. These lines help in connecting your building to the public lines.
- Rational fee for conducting repairs.
- Any money spent on the removal of debris.
Click here to know what is not covered under building insurance.
Case on Building Insurance Cover
Mr. Shaikh is the owner of big commercial property in Vadodara. He has rented the office to multiple people who are running their businesses in the rented space. To cover the risk, Mr. Shaikh bought building insurance for his commercial property to save it from any damages.
There was some political unrest in the city which led to the shutdown of the whole city. The violence broke out in many parts of the city and there were many cases of attacks on public and private property.
Mr. Shaikh’s building was also attacked by a group of people who pelted stones at the building. The incident caused some damage to the building as well as the glass of the windows was also broken.
Once the situation came under control, Mr. Shaikh assessed his loss and cost to get it repaired and filed a claim with the insurance company. His claim was approved and was reimbursed with sufficient compensation for his loss of approximately Rs. 50,000.
