We regularly get calls from clients advising us that they are moving location. There are a number of insurance implications that need to be considered. It’s best to start talking to us as soon as you make the decision to move so we can make sure that you are aware of your obligations.
Property insurance covers the location that is specified in the policy. In order to transfer your policy cover to a new location the insurer needs to be advised. They will require details of the construction and age of the building you are moving into and security and fire protection details.
Often we see lease agreements transfer the insurance responsibilities of owner chattels to the tenant. Commonly tenants are required to insure glass, air-conditioning systems and the internal fitout if one exists. </p
In nearly all tenancy agreements we see, the landlord requires the tenant to note the landlord’s interest under the tenant’s policy. This requirement extends to your Public Liability insurance and any insurance policy that is insuring the tenant’s property such as those mentioned above.
Some tenancy agreements require the tenant to insure the actual building. This is more common when the tenant is occupying the entire building. Care needs to be taken here to ensure that all underwriting information provided is accurate, including claims information. We recommend wherever possible, that tenants don’t take on this responsibility. If you have taken on this responsibility then be sure to let us know so we can make sure the policies comply with your lease agreement.
The new premises
Often you will take control of the new location well in advance of moving out of the old one. This will mean that you will need to insure the new premises whilst still maintaining insurance at the old one. This is easy to achieve but does take time to organise. Be sure to let us know in advance so we can help you to put the right cover in place.
Your business or office insurance policy does not cover your items whilst they are “in transit”. We can provide a separate transit insurance policy that will cover your items whilst they are in transit from one property to another.
If you use a professional removalist they will most likely offer transit insurance. If you elect to take this insurance we strongly recommend you read the terms and conditions carefully and be aware of any excesses that apply. Make sure you get a copy of the certificate of currency or policy schedule. These documents should be on the insurer’s letterhead, show the inception and expiry date of the policy and the type of cover that is in place.