If you own a shop, restaurant, or any type of small business, you already know how important it is to protect your space. Your building, equipment, and inventory are what keep your doors open and customers happy.

Commercial Property Insurance is a key part of protecting your commercial property, but you may have noticed the cost of coverage isn't always the same from business to business.

In today's blog post, we look at what actually goes into calculating your premium so you understand the factors that impact your coverage and costs. You'll also learn how Aegis Insurance & Financial Services can help with strategic insurance solutions that protect every facet of your business.

Where Your Business Is Located

Just like in real estate, your company's location makes a big difference. It's a driving factor for your coverage and premium rates, so it's essential to research locations well before setting up your business.

Here are some specific examples of how location could impact your Commercial Insurance coverage:

• If your business sits in a flood zone, or is susceptible to hurricanes or wildfires, your premium will likely be higher.
• Higher crime areas may also affect your costs.
• If you're located near a fire station or have quick access to emergency services, you may be able to lower your risk and costs.

The Condition of Your Building

The age and upkeep of your building are big factors when it comes to calculating your insurance premiums and coverage needs.

• Older buildings with outdated roofing and fire suppression systems may cost more to insure.
• Upgrading plumbing and electrical components can make your building more energy efficient, lowering both costs and risks.
• A newer building or one that's been recently updated may help you save.

Regular maintenance will help keep your business safer, and may also keep insurance costs from creeping up.

Safety and Security Features

The better your property security, the better your rates can be. Making these adjustments or improvements can put your business in a better position when calculating coverage needs and annual premiums.

• Newer fire alarms, sprinkler systems, and security cameras all help lower risk.
• A monitored security system or access control (like keycard entry) can make your building more secure and lower potential theft or vandalism.
• Well-lit buildings, garages, and surface lots make your property and commercial vehicles safer for your business, customers, and employees.

The Value of Your Property and What's Inside

At the end of the day, your coverage is based on what you're protecting. It's important that your coverage accurately reflects the current value of your building, assets, and other key business property.

• Higher-value buildings and inventory usually mean higher coverage limits, and higher premiums.
• Specialty equipment or expensive tools may also need extra protection.
• Downsizing your business or selling off equipment may also lower your coverage needs.

It's smart to review your property's value regularly so you're not underinsured or paying for more than you need.

Keep Your Business Protected

Your commercial property is one of your most valuable investments, and the right insurance helps keep it safe. By understanding what affects your coverage and costs, you'll be better prepared to make smart decisions for your business.

If you'd like help finding the right policy that fits your needs and your budget, call Aegis Insurance & Financial Services at 713-850-7622. We're here to help keep your business protected, no matter what comes your way.