Commercial property insurance rates rose 13.3% in the second quarter of 2020, according to the “Commercial Property/Casualty Market Index Q2/2020 from the Council of Insurance Agents & Brokers. Compared to the first quarter of the year, 53.7% of accounts saw a price increase of 10% to 20%, and another 17.9% saw an increase of 20% to 30%.
If you are wondering how you can keep claims and premiums at their lowest, there are a number of steps you can take. Make sure your property has quality security against covered perils, such as fire and vandalism, and that your business plan has a section on protecting against storms and other natural disasters. You should also be able to demonstrate good upkeep such as roofing and foundation maintenance and landscaping measures that aim to reduce property losses.
There may not be much you can do about your location, which may cause your prices to be higher due to an increased likelihood of certain occurrences, but you can plan ahead for protection of building contents. That may include having an off-site storage facility or hardening your exterior so interior contents are protected. If you don’t already have such a plan, create one and talk to your agent or broker about the addition.
