We started down the road on our Business Personal Property by talking about under-insurance. The next issue I’d like to discuss is “attachment” (as in to the structure not as in “I like something”) and its effect on where the items are covered and how the coverage may be affected.
As a building owner you may be adding to the value of your structure with permanently attached equipment, and furnishings. As a tenant you may be increasing the value of your contents coverage by altering the interior structure to meet your needs as an improvement or betterment. A careful examination of your policy language will help you sort it out and may have an effect on your premium. The cost structure for building and contents is different so moving property from one group to another may affect your totals in each area and your overall total premium. Either way – it’s better to know that all of your contributions will be recognized.