Vandalism insurance is a sad result of the times we live in. Slowly, the policy has gone from a bolt-on policy to an absolute essential. Vandalism can have a huge financial effect on your business, so it’s important to have protection.
You won’t usually find a single vandalism policy, however, you can build the policy from multiple options to cover repair and replacement costs and minimise lost income. It’s a case of choosing the covers that are right for you.
Every insurer will have a different definition of the type of insurance you need (if they even offer it). Generally, it’s treated as malicious or willful damage to or destruction of someone else’s property. Nearly all the insurers will likely stipulate that the damage must be reported to the police immediately before they will even consider paying any money. There will likely also be a need for supporting evidence. A vandalism policy will usually pay out to cover repairs or replacements of contents. You can usually combine this policy with a business contents insurance policy.
Ensure you read the policy documents as carefully as possible to make sure you’ve definitely got the level of cover you’re looking for. Some buildings and contents insurance might cover vandalism, but every insurer is different, so make sure you do your research.
Why is it so important?
Businesses are at risk of vandalism at all times, from random acts like graffiti or damaged exteriors to targeted attacks. If you own the building, having a policy to assist with the costs of repairs are vital.
If you do not own the property, it is likely that your landlord will have the correct policies, however, it’s always a good idea to double check. It’s also worth noting that any additions you make to the property (for example air conditioning) will not be covered by the landlord’s policy, meaning you might need a tenant’s improvement policy, which will assist with the repair and replacement cost.
Even with the landlord’s insurance covering the costs, it’s possible you might be asked to leave the property whilst it receives repairs. If this is the case, you could lose thousands in lost revenue. A business interruption policy can assist you with the money you lose due to having to leave your premises.