Burglary in Insurance

Burglary Coverage

Burglary coverage is a type of crime insurance. This type of commercial insurance helps cover the losses stemming from a break-in and burglary. This includes instances in which a person enters another person’s property, such as a business or warehouse. In some situations, that person steals something. However, for it to be considered burglary, no theft has to occur. 

Burglary coverage could be a part of landlord insurance. A property owner who rents out their commercial or residential real estate may elect to purchase this type of coverage to protect against damage related to burglary risk. 

What Does Burglary Coverage Do?

Burglary coverage provides additional protections for property owners by covering damage left from the forced entry into the property. This could include damage to the door or windows that the individual broke through to enter the property. The insurer may cover damage that the burglary causes but does not provide financial support for non-loss instances.

For example, if a person breaks into an apartment you own, and someone is leasing, but there is no resulting damage to the structure, there is no way to file a claim. If that person broke the lock on the door requiring replacement, this type of insurance coverage could help to cover the losses related to repairing the lock. 

To provide this type of coverage, the insurance company will require that there is evidence of a break in. This often requires reporting the forced entry into the property to the police and completing a police report. It may also require evidence of the loss involved. 

Burglary coverage does not cause damage created by your tenants or by you. For example, if your tenant loses the key to the property and they break open the door to enter into the property, this is unlikely to qualify for burglar coverage on your landlord insurance policy. There is no illegal activity taking place, even with the damage, resulting in no ability to file a claim. 

Does Your Landlord Insurance Include Burglary Coverage?

Some types of landlord insurance will include burglary coverage. It could be a component of your existing policy. However, if it does, it may have limited actual coverage or may not provide very much protection. For some property owners, it is beneficial to increase the amount of coverage for burglary losses. 

Some burglary coverage has a limited scope of coverage. It may cover some losses, such as those related to the theft of equipment, but not all losses. Some may also have limits on the amount of value the claim can be made in, limiting the amount of money you can obtain from such losses.

Obtaining Enough Burglary Insurance Coverage

Property owners renting their real estate may benefit from the investment in burglary insurance. Do not confuse this with theft insurance. Check your landlord insurance policy to determine if you have enough coverage and, if not, consider adding it to provide a higher level of financial protection for you and your property. 

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