Mixed-Use Property Insurance

Yes, significantly. The commercial tenancy type is one of the most important rating factors for mixed-use property insurance. A building with a professional office on the ground floor is rated very differently from one with a restaurant, bar or manufacturing operation. High-risk tenancies increase fire, liability and damage risk for the entire building.

The body corporate (owners corporation) is responsible for insuring the building structure, common property and common area liability. Individual lot owners are responsible for their own contents, fit-out, loss of rent and specific business liability. Commercial tenants must maintain their own contents, stock, public liability and any other cover required under their lease.

Yes, but not all insurers will quote. Restaurants increase fire risk due to commercial cooking equipment, and some insurers decline mixed-use buildings with food service tenancies. Shielded has access to insurers on our panel who specialise in these risks and can source competitive cover for buildings with restaurant, cafe and takeaway tenancies.

The building policy covers the structure of residential lots and common areas. It does not cover the personal contents of residential tenants, which they need to insure themselves with a renters contents policy. Loss of rent for residential lots is typically covered under the building policy if the lot becomes uninhabitable following an insured event.

Underinsurance is the biggest financial risk. Mixed-use buildings are complex structures with multiple occupancy types, and replacement cost valuations must account for commercial fit-out standards, residential finishing standards, compliance costs and professional fees. The second major risk is having a high-risk commercial tenant without adequate disclosure to the insurer, which could void cover.

Yes. A change in commercial tenancy can materially alter the risk profile of the building. If a professional office tenant is replaced by a restaurant or bar, the insurer needs to reassess the risk and may adjust terms and premium. Failure to disclose a change in tenancy could result in a claim being denied.

Not all insurers are active in the mixed-use property market, particularly for buildings with higher-risk commercial tenancies. Insurers that regularly cover mixed-use properties include CGU, QBE, Zurich, Vero, Hollard, Allianz and AIG. Shielded works across our full panel to find insurers with appetite for your specific building and tenancy mix.

Commercial property insurance covers a wide range of property types including office buildings, retail shops, warehouses, factories, shopping centres, hotels, motels, restaurants, cafes, medical centres, child care centres, gyms, salons, laundromats, churches, petrol stations, mixed-use developments and more. Whether you own a single tenancy or a multi-storey complex, we tailor cover to match your property.

Premiums vary based on building value, location, construction type, tenant occupation and risk profile. A small retail shop may cost $1,500 to $4,000 per year, a standard office building $3,000 to $10,000, and a large warehouse or industrial property $5,000 to $25,000+. High-risk tenancies (restaurants, manufacturing) attract higher premiums. Request a free quote through Shielded for an accurate indication.

Commercial building insurance covers the physical structure including walls, roof, floors, fixed fixtures, common areas, car parks, fencing and services (electrical, plumbing, HVAC) against fire, storm, flood, impact damage, malicious damage, theft and accidental damage. It typically also covers demolition and removal costs, professional fees (architects, engineers) and compliance with current building codes when rebuilding.

If you own a commercial building and lease it to tenants, you need commercial landlord insurance. This covers the building structure, landlord's contents (common area furnishings, HVAC systems), public liability for common areas, loss of rental income if the building is uninhabitable after an insured event, and plate glass. Your tenants are responsible for insuring their own contents, stock and fit-out.

Loss of rental income (also called business interruption for landlords) provides replacement income if your commercial property becomes uninhabitable after an insured event such as fire, storm or flood. It covers the rental income you would have received during the repair or rebuild period, typically for up to 12 or 24 months. This is essential for property investors who rely on rental returns.

Plate glass cover is usually an optional add-on, not included in the base building policy. It covers the cost of replacing glass shop fronts, windows, doors, display cases and signage glass that is accidentally broken or vandalised. For retail properties with large glass frontages, this is an important cover to include.

Generally, the landlord insures the building structure, common areas and landlord's fixtures. Tenants are responsible for insuring their own contents, stock, fit-out, trade fixtures and their own public liability. Most commercial leases clearly define these responsibilities. As a landlord, ensure your lease requires tenants to hold adequate insurance and provide certificates of currency.

Contact us at Shielded Insurance on 1800 97 98 99 or reach out to your insurer directly. We recommend notifying us as soon as possible after damage occurs, documenting everything with photos, securing the premises to prevent further damage, and keeping records of all emergency repair costs.

We compare quotes from leading Australian commercial property insurers including CGU, QBE, Zurich, Vero, Hollard, Allianz, AIG and others. The best insurer depends on your property type, construction, tenant occupation and risk profile. As brokers, we do the comparison work to find competitive and suitable cover for your property.

Review your policy annually at renewal, or whenever there are significant changes such as new tenants, renovations, extensions, changes in building use, or updated valuations. Building replacement costs increase over time - if your sum insured does not keep pace with construction cost inflation, you risk being underinsured at claim time. We recommend a professional building valuation every 3 to 5 years.