Signs are a key part of a business owner’s plan and assets, and like the rest of your property, business owners will often want to make sure their signage is insured.
In this blog, we breakdown what you need to know for your signage insurance.
What type of insurance covers my signage?
Signage is covered under the umbrella of “Commercial Property Insurance”.
According to Nationwide.com,
“Commercial Property Insurance covers your business against everything from a minor hiccup to a major loss.
For example:
- A fire could destroy your building and the contents inside
- A burst water pipe could damage valuable documents
- A storm could damage your outdoor sign”
Weather in particular is a common reason for signs to be damaged. Wind, hail, snow, earthquakes, and tornadoes are all reasons why a sign may incur damage.
Is Commercial Property Insurance different from General Liability Insurance?
TheHartford.com defines General Liability Insurance as insurance that “helps protect you from claims that your business caused bodily injury or property damage. It can also protect you if someone sues you for advertising injury.”
This is different from Commercial Property Insurance, which “covers your business’ physical location and equipment, whether you own or lease it.”
These insurances may often be paired together in a package by your insurance company; however, you should double check with them to be sure.
Who provides Commercial Property Insurance?
Commercial property insurance is covered by many large and small insurance companies alike.
Does insurance differ for on-premise signs and off-premise signs?
Depending on your lease agreement, you may need to acquire insurance that covers your on-premise signage.
If you have a roadside sign like an Electronic Message Center then you should consider insurance for your sign. These signs are often more costly than on-premise signs, and their positioning can sometimes make them easier targets for weather, accidents, and vandalism.
I’m leasing a tenant space in a commercial property development. Do I cover my sign’s insurance or does my landlord?
While lease agreements may vary, you as a tenant are generally required to purchase the signs for your business. Therefore you are also the ones required to secure commercial property development insurance to cover said signage.
Does my sign company need to engage with my insurance company when my sign is damaged?
In the case of a damaged sign, if it needs to be fully replaced then your insurance company may reach out to the fabricators of the sign to determine the original cost. If it needs to be repaired then they may reach out to a local sign company to get a quote for the potential repair costs.
How much will my sign coverage cost?
According to Obierisk.com, costs will be determined largely by “the size and location of the sign.” Also under consideration will be if the sign is “in an area prone to extreme weather, such as wind, which could damage the sign.”