Commercial property insurers help businesses protect tools, equipment, and furniture and assist businesses with building repairs or property replacements. The best commercial property insurance companies offer high total insurable value, provide the option for actual cash value and replacement cost value on your property, and include business loss income in their policy. We researched 16 insurers to find the six best commercial property insurance companies.
- The Hartford: Best commercial property insurance
- Obie: Best for landlord insurance and real estate investors
- Next Insurance: Best for customized property policies
- Thimble: Best for property managers
- Nationwide: Best for wholesalers with warehouses
- Hiscox: Best for cheapest commercial property insurance
Best Commercial Property Insurance Companies Compared
Quote Process | Policy Purchase Process | Accessibility | Financial Rating | |
|---|---|---|---|---|
 | Online or via an agent | Online or over the phone | 24/7 call center | A+ (Superior) |
 | Online or over the phone | Online or over the phone | Monday–Thursday, 9 a.m.–12 a.m.; Friday, 9 a.m.–11 p.m. ET | A+ (Superior) |
 | Online or over the phone | Online or over the phone | Monday–Friday, 6 a.m.–5 p.m. PT | A- (Excellent) |
 | Online or over the app | Online or over the app | Monday–Friday, 9 a.m.–6 p.m., ET | A- to A (Excellent) |
 | Online or via an agent | Online or over the phone | 24/7 call center | A+ (Superior) |
 | Online or over the phone | Online or over the phone | Monday–Friday, 7 a.m.–10 p.m. ET | A (Excellent) |
How We Evaluated the Best Commercial Property Insurance Companies
We determined the best commercial property insurers using our in-house proprietary evaluation system. In assessing insurance companies, we focused on the customer’s needs. We paid particular interest to convenience, financial ratings (AM Best), customer service, types of policies offered, and the overall experience as a policyholder with a specific provider.
The Hartford: Best Commercial Property Insurance
Pros
- Is available in every state
- Has 24/7 claims service
- Has in-house claims department
Cons
- Requires users to call to finish the process for some quotes
- Provides cost information only by applying
- Has no commercial app
Standout Features
- Enables you to avail of property coverage as a stand-alone policy
- Provides coverage for over 51 industries in 24 different professions
- Has property limits of up to $40 million per building
- Has specialized business owner’s policy (BOP) for condominiums and apartments that includes property-specific coverage additions
Financial stability: The Hartford has been in operation for more than 200 years. It has the financial strength to pay claims, as The Hartford’s AM Best rating is A+ (Superior).
The Hartford sells commercial property insurance for a variety of industries, including advertising, graphic design, barbershops, electrical contractors, financial institutions, pet grooming, and retail. It stands out as the only provider we researched that sells commercial property as standalone coverage—all of the other companies bundle it into a BOP with general liability insurance.
We received a quote for commercial property insurance for one building, with $700,000 in building coverage and $20,000 in personal property coverage and business income expense. The deductible was $1,000. The policy costs $4,346 annually or $362.17 per month, but you could save $381 by paying in full.
Once you purchase a policy through The Hartford, you can manage it online or work with your agent. You can also get an instant certificate of insurance (COI) through your account.
Unfortunately, you can’t always get online quotes and buy the policy online with The Hartford, so if you are looking for a similar provider with online purchasing capabilities, then check out Next Insurance.
Customers are happy with their experience with The Hartford. The National Association of Insurance Commissioners (NAIC) tracks complaints filed with state departments of insurance, and complaints against The Hartford are lower than the national average.
Obie: Best for Landlord Insurance & Real Estate Investors
Pros
- Is the only carrier offering inflation guard
- Is available in all 50 states
- Offers tiered quotes to fit your needs
Cons
- Lacks 24/7 customer service
- Lacks in-house claims
- Has limited information on partner providers
Standout Features
- Offers online, intuitive, and fast process for purchasing same-day insurance
- Is a specialty insurer focusing on landlord insurance for buildings or detached structures
- Requires no paperwork to finalize a quote and purchase insurance online
- Allows you to purchase rental insurance for a short- or long-term rental property
Financial stability: Obie was founded in 2017 and works with different providers. One of its partners is Munich Re, and AM Best rated Munich Re an A+ (Superior)
Obie is a relatively new commercial property insurer specializing in landlord insurance with property insurance for the contents of a furnished home. If you are in property management and would like to go through a quick process similar to Obie’s, then check out Thimble—this provider’s certificate manager platform makes it easy for property managers to stay compliant with local requirements.
Keep in mind that Obie does have a better commercial property suite of coverages that offers broader protection and specializes in commercial property insurance, whereas Thimble excels at organizing tenants and vendors easily.
Obie supplied us with three quotes for the same property with different levels of coverage.
- Basic: It costs $926 annually and covers $14,000 in loss of rental income and $5,000 for contents as well as the total cost of the building. It also carries general liability with $500,000 per occurrence and $1 million aggregate. The policy carries a 3% inflation guard.
- Complete: It costs $1,170 annually. Some coverages increased, such as general liability, which rose to $1 million per occurrence and $2 million aggregate, $34,000 for ordinance and law, and $25,000 for water backup. The inflation guard also increased to 6%.
- Premium: It costs $1,287 annually. In this quote, ordinance and law increased to $68,000, water backup increased to $50,000, and inflation guard increased to 9%.
Though new, Obie continues to grow, and its customers are happy with its product. On Google,[1] it has over 600 reviews with an average rating of 4.9 out of 5.
You can manage your policy through your online account. If you have questions about the policy or billing, or if you need to file a claim, then you can email or call. Obie is only available on weekdays.
Next Insurance: Best for Customized Property Policies
Pros
- Has intuitive, user-friendly system
- Covers over 900 industries
- Has in-house claims
Cons
- Lacks 24/7 call center
- Lacks commercial property insurance in Florida
- Does not rank in J.D. Power commercial insurance customer satisfaction survey
Standout Features
- Has a total insurable value of up to $3 million
- Enables you to avail of its business income for a 12-month period
- Allows you to customize the policy to fit your specific business needs through its quoting system
- Lets you manage your policy and claims through its iOS or Android mobile app, which also works like a 24/7 call center
Financial stability: It is important to know if the provider you choose has the financial means to pay claims. AM Best rated Next Insurance a strong A- (Excellent).
Next Insurance offers commercial property insurance that can be customized to your specific business needs. You can get coverage for business goods and gear, inventory, buildings, equipment breakdowns, and business income interruptions.
We received one quote for a general contractor business with three different levels of coverage:
- Basic: It costs $1,968.67 monthly. It does not carry any property coverage—only general liability with a $2 million aggregate limit and $50,000 in professional liability.
- Premier: It costs $2,042.09 monthly. It carries the same liability as Basic but has coverage for tools and equipment up to $10,000.
- Deluxe: It costs $2,710.84 monthly. It carries the same liability as Basic and Premier: $15,000 in coverage for tools, $36,000 in office equipment and content coverage, and building coverage up to $700,000.
Next Insurance’s primary convenience is found in its app. Here, you can manage your policy, pay your bill, file claims, and even get an instant COI.
The provider is well received by its customers, with lower-than-expected complaints with the NAIC. There are over 3,500 user reviews on its website[2] with an average of 4.5 out of 5 stars.
Thimble: Best for Property Managers
Pros
- Provides quotes and allows users to purchase a policy online
- Provides a quote in 60 seconds or less
- Offers customizable insurance
Cons
- Has varying coverages for each state
- Does not handle claims directly
- Can be difficult to reach by phone
Standout Features
- Has a free compliance certificate manager program for property managers
- Lets you manage your policy and claims through its commercial app for iOS and Android
- Allows you to use the app to easily customize or change coverage, including adding properties
- Is a managing general agent (MGA) that works with multiple carriers exclusively for small business insurance
Financial stability: Thimble works with multiple carriers. The quote we received was from Spinnaker Insurance Company, and Spinnaker’s AM Best rating is A- (Excellent).
Property managers understand that tracking insurance for vendors and tenants is a key part of risk management and compliance maintenance. Thimble offers access to a free certificate management platform for its property manager policyholders.
This platform lets you keep track of certificates from other vendors or contractors involved with any of your properties and helps you stay in compliance with any local requirements. There’s even an option for parties you work with to purchase insurance to satisfy requirements. Thimble will send notifications for renewals or expirations so that everything remains current.
We received a quote for a BOP. It had a $1 million liability limit and $100,000 in business personal property coverage, with a $500 deductible. It also included $500,000 in building coverage, again with a deductible of $500. In our quote, the limits for the building and contents could be raised to $2 million and $500,000, respectively.
The policy could be purchased online, and the coverage was for the same day. The cost was $3,357 annually or $558.50 down with $279.75 for the next 10 months.
While Thimble is a newer company, its customers are happy with their experience. On Trustpilot,[3] the company has earned over 1,800 reviews with a rating of 4.5 out of 5.
Nationwide: Best for Wholesalers With Warehouse Space
Pros
- Has high limits available
- Has an in-house claims department
- Has 24/7 claims service
Cons
- Often directs users to call to finish the process for online applications
- Caps maximum sales at $5 million
- Has minimal information available on account maintenance capabilities
Standout Features
- Has numerous endorsements, including for property in transit
- Offers capacity for large buildings with a $10 million total insurable value (TIV) cap
- Has a national catastrophe team ready for deployment 365 days a year for property losses
- Works with independent agents to help you throughout the life of the policy
Financial stability: Nationwide has operated successfully for nearly 100 years. AM Best’s rating of Nationwide is A+ (Superior).
Nationwide is a commercial property insurer for many industries and is best for wholesalers because of its wholesale program, which has a cap of 50,000 square feet for the covered building.
We received a quote for a BOP for $834 annually. The liability carried limits of $1 million per occurrence and $2 million aggregate. However, no details on the property coverage were provided, and we needed to call Nationwide to finalize the quote.
This program covered the following industries:
- Baked goods distributors
- Auto parts and supplies wholesalers
- Candy, nut, and confectionery wholesalers
- Dry goods wholesalers
- Home improvement, office, machine, equipment, and supply wholesalers
Nationwide also has customized coverage for wholesalers. It includes endorsements for laptops, brands, and labels, with worldwide coverage of up to $10,000.
Customer satisfaction with Nationwide has been trending in the right direction. For a company of its size, Nationwide has received lower-than-expected complaints monitored by the NAIC. And, according to the J.D. Power small business owners survey, Nationwide is No. 1 in customer satisfaction.
Hiscox: Best for Cheapest Commercial Property Insurance
Pros
- Offers same-day coverage
- Is a dedicated small business insurer
- Has coverage limits up to $4 million
Cons
- Lacks 24/7 claims call center
- Caps revenue limits at $3 million
- Has received more customer complaints than in the previous year
Standout Features
- Offers coverage for building improvements when your business is a tenant
- Provides coverage for contents, equipment, and personal effects that can be insured at replacement cost value
- Covers equipment in the office or on the road with you through its property insurance
- Extends up to $250,000 coverage for 30 days for a newly acquired building or one under construction
Financial stability: Hiscox has been in the insurance business since 1901. It has financial stability you can trust, as AM Best rated Hiscox an A (Excellent).
Hiscox provided the cheapest commercial property insurance quote of all the insurers we reviewed. In our research across industries, Hiscox is continually one of the more affordable options for property insurance.
Its policies have limits of up to $4 million, but limits that high are unavailable online, so you will have to call the provider directly. The deductible can range from $500 to $10,000, and the limit for building coverage is set at $500,000. Because of how its policy is structured, the coverage is targeted toward smaller, one- to three-person operations, most likely a home-based business or those in a rented office.
It’s important to note that Hiscox distinguishes between its commercial property insurance (which works similarly to business personal property and inland marine insurance from other providers) and office insurance. The office insurance Hiscox offers is more in line with the traditional commercial property insurance you’d find elsewhere.
We received a quote for a home-based computer consultancy for a BOP. It had a monthly and annual option: the monthly option required a down payment of $88.30 and then 10 payments of $44.07, while the annual package cost $529.
The general liability carried a per-occurrence limit of $1 million and $2 million per aggregate. It also carried $25,000 in business property coverage, with a deductible of $1,000. It’s notable that this policy was quoted for a home-based business because Hiscox specializes in these businesses and can offer potential discounts.
Hiscox insurance is available in all 50 states and offers global coverage. This means your insurance is good anywhere in the world, provided you file the claim in America.
Complaints reported by the NAIC are slightly higher than average. However, on its website,[4] the company has earned a rating of 4.7 out of 5 stars from over 1,200 users.
Frequently Asked Questions (FAQs)
Commercial property insurance, sometimes called business property insurance, is first-party coverage. Insurers will often describe it by saying that if you pick up a building and shake it, whatever falls out is considered business property. The building you are holding can be insured under commercial property insurance, too.
Actual cash value (ACV) means some depreciation will be factored into what the insurer will pay you, whereas replacement cost value (RCV) means the insurer will pay the actual cost to replace the item. Both are terms used to describe how the provider will pay you for a lost item.
TIV is an acronym insurers use for “total insurable value.” Usually, the term is directly referencing a building and its contents, but it can also include business income. So, if you own a building worth $850,000, with $50,000 in contents and $100,000 in business income, then the TIV would be $1 million.
Yes. Commercial property insurance is a type of property insurance and also an umbrella term for many others. Inland marine insurance is good for tools and equipment that move from site to site. Business personal property insurance covers items inside a building that are not part of the building.
There are a lot of insurance companies for commercial property. When you are trying to decide on the right one for your business, ensure you have a firm grasp on the total value of your property.
The insurance company must have a TIV that is in line with your actual costs. Then, determine whether you prefer actual cash value or replacement value for your property. Finally, ask questions like what types of services are important to you outside of the policy. Do you want one that is open 24/7? Is an emergency response team important to you? Questions like these can help you pick the right company for your business.
Bottom Line
It is important to know that if something goes wrong at work, like fire or theft, you are covered. The best commercial property insurers provide the coverage you need, respond promptly, and help you with your claim. The Hartford, our leading commercial property insurance carrier, has an intuitive online quoting system to match your specific business and can give you a quote in just a few minutes.
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