Business contents insurance

What does business contents insurance cover?

Cover benefits will vary between each insurance provider, but most policies will typically cover your tools and equipment for damage, theft, loss and vandalism.

You might also be able to insure your business contents for damage, loss or theft while in transit and cover your stock in storage or while it’s being delivered to customers.

Some providers may offer business contents insurance as part of a general business insurance policy. These usually include:

• Public liability insurance
• Professional indemnity insurance
• Employers’ liability insurance
• Product liability insurance
• Commercial insurance
• Business buildings insurance

Common claims examples

• A fire in your premises. No one likes to think of something like this happening, but fires can and do start accidentally, or sometimes even maliciously. What’s more, if your premises are in a busy industrial area, fire can start elsewhere and spread. If this happens, replacing the contents of your office (including furnishing and tech equipment) can be expensive, so contents insurance can be a real lifeline.
• Storm or flood damage to your premises. Similarly to the above, the contents of your business can also be damaged by the elements. This can sometimes be just as devastating as a fire, and not having to pay out to replace all of your equipment can make a real difference.
• Break-in or theft of tools. Unfortunately, businesses and tradespeople are often targeted by criminals. Your premises can be robbed of valuable equipment or tech, and your tools can be stolen from your vehicle. Business contents insurance can cover you for your losses in both instances.
• Malicious damage or vandalism. Some people cause damage for damage’s sake. If this happens to property relating to your business, your contents insurance will cover the expenses.

It’s important to note that, if you own the premises your business is located in, you should consider getting business buildings insurance as well. Business contents insurance is unlikely to cover damage to the fabric of the building, including roof, flooring, pipes and fitted fixtures.

Frequently asked questions

• Am I covered if I work from home?

  If you have home contents insurance, you will need to make sure it covers items used for business, as that usually doesn’t come as standard for most policies.

  Many insurers will let you add business cover to your home contents policy, but you must tell your insurer that you’re running a business from home, as failing to do so can invalidate your policy altogether.

• Do I need a specialised policy?

  Some industries and professions do require specific elements of cover that might not come as standard with every policy. Warehouses and surgeries are two potential examples.

  If you are unsure whether you require specialised cover, contact your insurance company to ask or read through the small print of the policy thoroughly.