Landlord commercial building insurance turns on three things and the rest is detail. What the lease allocates, what the tenant does in the building, and how long it would take to put right. Get those three settled and the policy almost writes itself; leave any of them vague and the quotes will not be comparable.
The lease
It says who insures, against what perils, for what sum, whose interests are noted, how the premium is recovered and what happens to rent while the building is unusable. Read the insurance, repair and rent suspension covenants together. They are the specification, and the market is only where you fill it.
The tenant's trade
The dominant rating factor. Cooking, hot work, spraying, chemical storage, public access and opening hours all move the price, and insurers' appetites by trade differ sharply. Declare the trade precisely and notify a change, because a policy priced for an office does not answer for a takeaway.
The reinstatement period
Commercial rebuilds are slow: planning, specification, procurement and fit out add months a residential rebuild does not have. The loss of rent period should reflect that, frequently twenty four or thirty six months. It is the single number on a commercial schedule most often left at a default that was never right.
Questions people ask about landlord commercial building insurance
Who insures a commercial building?
Usually the landlord under the lease, recovering the premium from the tenant. Some leases place it on the tenant. The lease is definitive.
Why does the tenant's trade matter so much?
It is the main rating factor and it decides which insurers will write the risk at all. A change of trade is a change of risk.
How long should loss of rent run?
Long enough for a realistic rebuild including planning and fit out, frequently twenty four or thirty six months.