In the midst of the coronavirus pandemic, every industry has had to shift and adapt their practices, and the commercial property industry is no exception. Commercial property has already been a difficult field to break into amidst the pandemic, but what happens if your property is harmed by a man-made or natural disaster?
Ultimately, there are a myriad of considerations when it comes to investing in commercial property and obtaining comprehensive insurance. Here, the Mid-Atlantic insurance professionals at Unity Insurance discuss how risk management has impacted the commercial property industry in recent years, ways you can mitigate your risk and the benefits to investing in high-quality commercial property insurance.
Maintaining Accurate and Easily Accessible Records Is Essential
One of the best risk management tactics that has improved commercial property is handling of records and the expansion of technology. When it comes to commercial property, it is vital that you keep all documents relating to your commercial property loan, finances and building status documents in a safe and secure place. It is also important to keep a detailed record of previous work or claims filed before you obtained this property, as well as documentation relating to the land around your property. This will come in handy in the event that you have to file a claim. With today’s world increasingly relying on technology, many individuals have chosen to house all of their important documents within their computer or a cloud hosting program. While this is efficient and makes for an easier allocation of files, there are also unique risks associated. If you are housing these documents within your digital business files, consider seeking data breach and cyber liability insurance as well. This way, you will be protected from additional financial strain and expenses associated with a data breach. Overall, it is important that you create a document management system that works for you, making it a priority to continuously monitor these documents and update as needed.
Invest in Property Improvements Frequently to Avoid Additional Damage
While natural disasters are unable to be prevented, there are ways you can mitigate your risk beforehand to alleviate additional damage that may have been caused. For example, if you own a large-scale apartment complex, investing in continuous maintenance such as roof repair, mold remediation and structural improvements, you will reduce your risk of severe damage. While it may be a larger investment upfront, these costs could mean the difference between a lengthy rebuilding process and a complete shutdown of your commercial property. If you did not complete these repairs and let your commercial property decay, in the event that a natural disaster such as a hurricane comes along, critical structural damage could occur, putting you and your tenants at risk. If something were to happen to these tenants as a direct or indirect result of your negligence, you could be held responsible if not covered by insurance.
Research Risks Specific to Your Area When Searching for Coverage
When it comes to commercial property purchase and insurance decisions, geographic location plays a large role. If your commercial property is within a certain distance of a large body of water, or built on a plot of land that is susceptible to erosion, you should speak with a knowledgeable insurance professional, such as those at Unity Insurance, to review options that are specifically catered to your needs. The Baltimore region is susceptible to a variety of weather-related conditions, including hurricanes, excessive flooding and severe winter storms. The Eastern Shore of Maryland faces rising sea levels and excessive loss of land each year. All of these factors should be taken into account when considering your insurance options, and it is important that you thoroughly research all potential risks and requirements associated with the land that your commercial property is on, especially when considering your long term plans.
Discuss Your Commercial Property Insurance Options with Unity Insurance
While it may seem like something that can be overlooked in a time like this, commercial property insurance is nothing to wait on. As we all know from this year, change can come in the blink of an eye, and it is up to our team to make sure that you are prepared for whatever comes your way. If you are new to the commercial property industry, or are a seasoned professional seeking to expand your insurance options, Unity Insurance is here to help. Our team guides you through comprehensive offerings that are catered to your individual needs, helping you move forward confidently. To learn more about Unity Insurance and see how we can assist you, contact us by clicking here: https://unityinsurance.co/contact/