Ownership of a commercial property you rent to another business or maintain for your own use means you need commercial property insurance. Commercial property insurance includes real property, such as buildings and factories. It should not be confused with business personal property coverage, which includes electronics, furniture, stock and the other contents of a typical business.
Real estate insurance covers your property itself, including exterior and interior walls, the roof and ceiling. It also includes coverage for additions, outbuildings, outdoor fixtures, and other peripheral items. There are cases where it also covers machinery, appliances, and floor coverings. This usually applies only if these items are a permanent part of the property.
Real estate insurance does not cover the contents of your buildings or the vehicles parked near it. It also does not cover additions that are under construction. Items such as these are covered by builders risk coverage.
Finally, commercial real estate insurance does not cover injuries and losses of others on your property. Commercial real estate insurance covers losses that affect your building, not liabilities inside or outside of it.
Commercial real estate insurance is similar to other property insurance in that it has deductibles and limits similar to other forms of coverage. In addition, your policy may include exclusions that require your attention. Reading your policy thoroughly will help you understand the extent of your specific coverage.