The building insurance 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 the leaking tanks and the pipes.
  • Deliberate damage 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 following damages are 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 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 an owner of big commercial property in Vadodara. He has rented the office to multiple people who are running their business in the rented space. To cover for the risk, Mr. Shaikh bought a 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 the public and private property.

Mr. Shaikh’s building was also attacked by a group of people who pelted stones on the building. Due to this incident, some damages were caused to the building as well as glasses of the windows were 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.