When you lock up your medical office for the evening, you expect it to be there in the morning. The last thing you anticipate is a call in the middle of the night saying there's been an accident. But healthcare offices, just like any other piece of commercial property, are vulnerable to various types of damage. Natural disasters happen. Seasonal risks ebb and flow. Theft and vandalism are always a possibility. You'll sleep better knowing your practice is protected with business insurance for medical offices.
Here's just one example: Healthcare practitioners in Munster, Illinois lost their offices recently in an unexpected fire. Firefighters responded to the scene a bit after 11 p.m. and wrapped up near 5:30 a.m. According to the Fire Chief, it was a total loss. The fire, which may have started from an electrical box on the roof, actually caused the roof to cave in. Luckily, nobody was hurt.
One pediatrician whose office was affected by the accident took to social media to update patients. The doctor reassured followers the practice “will be working on figuring out a way to see patients as soon as possible." This highlights one of the biggest hurdles businesses face after sustaining property damage. Not only is there the immediate aftermath and cleanup to worry about, but also the business interruption.
This is why many medical practices opt to bundle property insurance with business interruption coverage under a Business Owners Policy. A BOP packages multiple types of protections together to protect commercial structures, plus the equipment and contents inside. Typical covered events include fires, explosions, wind, vehicle-inflicted damage, accidental sprinkler deployment, building collapse, and more. Policyholders can add extra coverages to this standard set depending on where they live and what risks they face.
How exactly does having property insurance protect modern businesses, including medical practices? Well, if a covered event causes damage to your premises, your policy will pay out the replacement cost or the actual cash value. This means you can rebuild without having to pay hundreds of thousands of dollars (or more) out of pocket.
But there's a gap between an accident occurring and your medical office becoming fully functional once again. Fixed costs like bills and payroll don't stop just because your commercial space experienced unfortunate damage. That's where business interruption coverage comes in. After an insured catastrophe, it covers:
- - Lost revenue while your offices are closed
- - Recurring expenses, like rent, utility bills, and more
- - The cost of temporarily relocating in the interim
It's only human nature to feel like accidents are more likely to happen to other people than you. But property damage has hit close to home for many healthcare practitioners this year. Around the same time as the previously mentioned fire, an internal medicine practice in Pennsylvania “charred to a crisp.” Earlier this year, a fire destroyed a 40-year-old family medicine practice in Louisville, Kentucky. The list goes on.
Is your medical practice adequately insured against property damage and business interruption? Explore policy options for free with CoverHound and get business insurance for your medical office!