Heatwaves and High Stakes: The Critical Role of Commercial Fire Insurance in California

California is known for its stunning coastlines, innovative startups, and quality living (at a high cost). Unfortunately, it’s also known for something much less beautiful — devastating wildfires.

In 2022, the state reported 7,477 wildfires , burning over 330,000 acres and causing nine fatalities. It’s hard to know where the fires will start or where they will go, but one thing is certain — having the right California fire insurance will help protect your business so that if you do suffer fire damage, you can recover more quickly.

How can you get the commercial fire insurance you need? Here are the steps to take.

Know Your Fire Zone

California maintains maps of Fire Hazard Severity Zones , and it’s helpful to know what type of area your business is in. Fire Hazard Zones are either moderate, high, or very high.?

Knowing the risk of a wildfire impacting your business can help you make decisions about the level of coverage you want on your commercial fire insurance policy. If you’re in a high-hazard zone, the insurance company may require you to take additional risk-reduction steps. Of course, reducing your risk is a good idea, even if the insurance company doesn’t require it.

Get the Fire Insurance in California Your Business Needs

Commercial fire insurance is generally part of your commercial property insurance coverage. Business property insurance includes coverage for fire, theft, vandalism, hail damage, windstorms, and certain types of water damage.

Keep in mind that commercial property insurance doesn’t cover earthquakes. You’ll need separate commercial earthquake insurance.?

Fire insurance in California covers buildings your business owns or rents, the contents of the buildings, and adjacent property like landscaping, signs, and fences. Keep in mind that there are specific limits for each type of coverage, and if you have particularly valuable items in your buildings, you may want to insure them separately. For example, valuable papers, expensive equipment, and customer’s belongings may need their own policies.

Take Steps to Reduce Fire Risk

Finally, you’ll need to take steps to reduce the impact of fires on your business property. For example, carefully choose landscaping materials and plants to create a defensible space around your buildings in case a fire approaches.?

You can also reduce the combustible materials on your property as much as possible, regularly clean and maintain any plants on your property, and make sure that your business has clear access to a reliable water supply in case firefighters need it.

When you do your part to reduce fire risk, you’re not only protecting your business, you’re protecting your neighbors as well.?

Get Fire Insurance in California Today

If you don’t have commercial fire insurance in California, it’s essential to get it right away. Take a look at your current insurance policies and see what’s covered in case of fire. Also, think about what types of business property might need its own coverage.

If you’re interested in getting a new policy or finding a better rate, I’m here to help. Contact me today!