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Knoxville, TN 37934

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IRM Insurance Blog

Three things to consider when you are in the market for commercial property insurance

Like any other asset, commercial properties face dangers such as fires, natural disasters, and theft. That is why many property owners in Knoxville, TN consider buying commercial property insurance to protect their investments. If you are in the market for commercial property insurance, IRM insurance recommends purchasing adequate coverage to protect your property from a variety of risks. To help you make an informed decision, here are three things to consider.

Where your property is located is a significant determinant.

If your commercial property is located in a remote area around Knoxville, TN, it could cost you more compared to a property located in the city or town. Big cities and towns are considered relatively safe as they are closer to fire protection areas than those in the countryside. It will typically cost less to insure such a building because chances of filing claims are minimal.

Occupancy matters

How the building is being used can also be a significant concern as it determines the type of coverage you should have. For instance, a busy business building means there is a lot of traffic, and lots of accidents can happen, which can lead to lawsuits. If the building is only used as an office, then it will cost less to insure than a building where there are hazardous tenants who can affect the fire rating of the whole building. A restaurant or an auto repair shop will likely raise premiums more than a dry-cleaning office or a shoe shop.

The type of construction material can raise or lower your premiums.

Is your building fire-resistant? If not, what type of construction is used? Buildings made of combustible materials will automatically command higher premiums than those made of fire-resistant materials.

Commercial property insurance can cover a wide variety of situations. Let IRM insurance help you get the most out of your coverage. Feel free to call or visit us today!