I need renter's insurance for my warehouse

[pkirby]

Hey guys,
I'm currently renting a warehouse and would like to buy some renter's insurance for all of the equipment I have, in case it was stolen or burned down. But I'm having a hard time finding somebody that will do it for a business. Does anyone have any recommendations?

Thanks,
Paul

[rcnewcomb]

Check with Farmers Insurance ->Link (http://www.farmers.com/business/manufacturing-business-insurance.html?ind=Manufacturing&bus=Manufacturing)

[MogulTx]

I discovered that my regular insurer would not do this ( State Farm) for MY particular main business. Check with a Sentry Insurance Agent. They can probably help you, and are used to dealing with small businesses.

You also need to check your lease. You may be responsible for insuring the building.

Get a little liability coverage in case someone gets hurt in the shop, too. You never know when someone is going to trip and fall, and you do NOT want to be held personally responsible ( everything would fall back to you personally if (1) You do not havea formal business structure and (2) if you didn't have insurance coverage of some sort.

I dislike insurance. So I don't recommend that you go crazy on it. I also don't want myself ( or you) to be naked to the world...

Good luck

[bleeth]

You need a commercial lines agent. There are many in Atlanta. Many true commercial agents do not handle homeowners type policies and vice-versa.

Considering your product you should have proper commercial liability as well. You may find that one underwriter can handle it all.
The other thing you run into as a relatively "new" business is that a policy for the first year may have to be written with an underwriter that writes what they consider "at risk" companies and it takes another year or so to get actual decent rates.

[garyb]

change your wording and tell your agent you need an inland marine added for off premises
G.

[jTr]

When I updated my B.O.P. for my Bot, my agent endorsed the policy with a "floater" for the value, as it was a better price than simply increasing the general policy limit.

I realize there may be different terminology from state to state, but ask your agent what the difference would be. As a former property/casualty agent, I can assure you a decent one will know what you're talking about and help you get the most coverage for the best value.



Jeff

[pkirby]

Thanks, I'll check with Farmers and Sentry. I had a friend of mine that was an insurance agent price it out and it was $5,000 per year:eek: because they considered it a "manufacturer's policy" which wrapped product liability insurance with coverage of theft and fire. I can't afford that, so that's why I'm interested in renter's only insurance.

Also, some of the applications ask if I have central dust collection. I currently do not but was planning on buying one sometime soon. Do you know if it helps or hurts my insurance premium?

[myxpykalix]

You might want to check your homeowners policy and call your agent. I seem to recall many years ago someone stole some valuable video equipment from out of my van while we were on a job up in New York City and my homeowners policy covered it. It was like an extension of my homeowners policy. This was 20+ years ago, things might be different now.

[jTr]

When you mention renter's policy to an agent, they may first be thinking of a policy designed for a residential dwelling. A large percentage of businesses operate in rented shops and offices.

Try to focus instead on a Busniess Owner's Policy, as it is a simple design that typically encompasses the following basics for small business folks like us:

-General coverage for business property /equipment
Take a camcorder and inventory your shop - do you have disposable funding to re-outfit your business if it goes up in smoke? Often, these policies will include coverage for loss of income while you rebuild in the event of a disaster.
-Business Liability with a minimum of $1,000,000 limit for products and completed operations as well as coverage for negligence (eg; oil soaked rags not disposed of properly cause fire and burn the rental unit)
You may also :
-Add business vehicles
-Add endorsements for individual high value items, such as your Shopbot. Perils covered are usually much more comprehensive for scheduled items like this.

My policy encompasses all the above plus a business use vehicle for less than half the number you've been quoted. I don't think it is because I'm in a particularly low rate territory, and I encourage you to do a thorough job of researching this. It is vital to keep your business afloat in case of a disaster or a legal issue.

Business is business - have you also considered incorporating or becoming an LLC for about $500? Pretty reasonable one-time expenditure for separating you, the person (and your home, and net worth) from you, the business.

Best regards,

Jeff

[jTr]

Regarding dust collectors - all inspectors I've visited with have expressed that all machines must be permanently attached. Hose swapping with a portable collector doesn't count .

[jTr]

Jack-
If you have a premier form 3, a homeowner's policy can include coverage for property off premesis, but typically is limited to 2-5,000. Business equipment in a rented commercial property would almost certainly be denied.

[myxpykalix]

Jeff,
Like i said this was 20+ years ago:confused:(lol), but i do recall that this equipment was well over $5K. I think it also had something to do with the fact it was stolen from my van and not from a seperate location, so you are correct. I frankly have so many different policies for these different properties and don't know all the details but you are probably right about commercial tools, ect. :D
Best thing is to talk to the experts...your agent. I have seen in the past that some policies differ in price for the same features depending on how much profit the agent wants to make or what he thinks he can get from you.

It probably wouldn't hurt to do some comparison shopping from different companies.
To me, having insurance is like carrying a gun...i'd rather be caught WITH one then WITHOUT one when needed....

[beacon14]

You might try Federated Insurance, they are expanding in the woodworking industry. We just switched our commercial policies to them and saved a little money.

[pkirby]

Thanks David, I'll try them as well.