Property Insurance

Generally speaking there are two kinds of property, real property and personal property. Real Property is the land and anything attached to it. Personal property is everything else. A quick example will get the point across: You are building a wooden fence around your property. The contractor has delivered the materials and they are sitting in your yard. They are personal property since they are sitting on the land and can be moved at anytime. The contractor then cements the fence posts into the ground and nails up the fence. Now those same materials are real property since they are now permanently attached to the land. A tornado comes along and blows the fence over and now the fence is laying in your yard, no longer attached to the land. At this point it is personal property again.

In business there are many variations of the two basic distinctions above. A business owns office furniture, computers, phone systems, raw materials, finished inventory etc. All of this is commonly called Business Personal Property or BPP. A business is often in lawful possession of personal property that belongs to someone else. This is called Personal Property of Others or PPO.

Do you have property stored in a third party warehouse? Transported by truck, ocean or air freight? Do you have tools at job sites or in work trucks? Are you subcontracting your manufacturing operations to third parties and if so is your property covered while it is at their premises?

Property insurance polices are able to be customized to meet the demands of almost any situation. A through review of your business’ property exposures is of the utmost importance so that you have an understanding of the risks you face and can obtain a customized policy to meet your needs.