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Building Bares All - Property Insurance

Written by: Claudio Cipriani

Article Overview: Originally published Jan 27, 2009 on my website, i discuss the importance of building construction when choosing a location for your business

Building Bares All - Property Insurance

Location location location - a truism with any real estate consideration - It doesn’t matter whether you are buying a new home or leasing a commercial space, location is very important for future financial gain. In the insurance world, there is something else that you should take into account when searching for your next space: The construction of the building - why? Well simply put - Fire Prevention
When an insurance broker asks you about the construction of your building, they are looking for specific things (even if they don’t know what it is haha - just kidding). When you decide on the space for your particular business, you should seriously take a look at the way it was built and the materials used because certain materials help deter the spread of fire which could potentially save your life.
For example - most homes are built of frame construction - that is, wood on wood supports. Fire spreads quickly through the structure and if bad enough, will take out the whole building. As you start to introduce more flame resistance materials, the spread of fire slows and there is a greater opportunity for the fire department to put out the fire and save property (lowering your property insurance claim).

Non-combustible buildings are typically newer and are made of materials that will slow a fire down by 2 hours - imagine how much of your business can be saved! If you are one of those people who thinks, ” That’s what i have insurance for!”, you are correct and incorrect at the same time.
You see as much as I as a broker can insure your property, your liability and your profits, I can’t insure a vital aspect of your business - Momentum.

In sales, momentum is a tough thing to build, but once you build it, you feel as if you don’t want to stop for fear of losing it. The same applies to your business (especially in the 2008-2009 economy). Picture for a moment, your sales are holding steady or increasing, the office is bustling with activity, production is steady and suddenly the fire alarm goes off.

What would be more harmful to you - a total loss or a partial loss. Here is where the construction of the building is so important. So the next time you are looking at signing a new lease, it may be wise to bring your insurance broker along - it could save your business.

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Article Tags: ala, buying a new home, commercial space, economy, fear, financial gain, fire department, fire prevention, flame resistance, frame construction, insurance broker, insurance claim, insurance world, location location location, profits, property insurance, sales momentum, space location, truism, vital aspect



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