Contents Insurance*

Covers your business contents or stock if they were damaged in a fire, storm or due to malicious damage or some other defined event listed in the policy.

Did you know?

That property damage caused by a flood is typically excluded by business insurance policies. However, property damage caused by sprinklers or due to bursting, leaking or overflowing from an apparatus such as fixed tanks or pipes is generally covered.

Some of the other insured events that are typically included in contents policies include:

  • Fire
  • Lightning and explosions
  • Storm, wind and water
  • Earthquake
  • Impact damage
  • Malicious damage and vandalism
  • Accidental damage

However, contents insurance generally does NOT cover for events such as:

  • Wear, tear or gradual deteriorationIntentional damage caused by you
  • Damage caused by insects or animals
  • Rust, mould or mildew
  • Machinery breakdown
  • Computer virus or hacking
  • Pollution
  • Any person deliberately switching off power supply
  • Faulty design or workmanship

What’s typically considered business contents?

  • Trading stock
  • Your fixtures and fittings (if you are a tenant)
  • Business furniture
  • Machinery, plant and equipment
  • Documents of title, business books and other records
  • Goods held by you on consignment

What’s typically NOT business contents?

  • Buildings
  • Money, security documents or stamps
  • Motor vehicles
  • Explosives
  • Animals or crops

Things to consider

  1. From tradesmen protecting their tools, to accountants and consultants covering office furniture and computers, coverage for contents and equipment is a common driver for business insurance.
  2. Consider the value of, or cost to replace your contents and equipment when selecting an appropriate level of contents cover. Prepare a thorough inventory of your contents and avoid being ‘under ’, meaning you have insufficient insurance to cover your entire lossafter a claim event. Even in situations of only a partial loss, you may be deemed to be assuming a percentage of the risk and not receive a full payout.
  3. Be aware that overestimating your contents and equipment may result in an unnecessary increase in your policy premiums.
*As with any insurance, cover will be subject to the terms, conditions and exclusions contained in the policy wording. The information contained on this web page is general only and should not be relied upon as advice.

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