Lessor’s risk insurance that protects the building you own.

Most commercial building owners pay between $750 and $2,500 a year for a base Lessor's Risk Only policy, depending on the building's value, construction type, square footage leased, tenant mix, and location. A full program — LRO, commercial property, equipment breakdown, and an umbrella — typically runs $2,500 to $9,000 a year. We quote the whole program in about 15 minutes.

LH-1 is the ISO class code for a Lessor's Risk Only building — a commercial property leased to tenants where the only occupancy is as a landlord. Pricing and eligibility under LH-1 reflect that the owner is not operating a business in the building, only leasing space, which is why it's priced differently from an owner-occupied commercial property.

Yes — that is the central purpose of Lessor's Risk Only. If a tenant's operations start a fire (welding, cooking, electrical, manufacturing) that damages the building or other tenants' space, LRO covers the building owner's resulting property loss and liability. This is exactly the exposure that generic policies often mishandle.

Yes. Your tenant's policy covers the tenant's own liability and property, but it does not cover the building you own — and if the tenant is uninsured, underinsured, or skips out after a loss, you're left holding the damage. LRO protects the building owner regardless of what the tenant carries. You should still require tenants to name you additional insured.

Commercial property covers the physical building (structure, roof, systems) against fire, wind, theft, and similar perils. Lessor's Risk Only is a broader landlord program that layers premises liability and tenant-caused-loss coverage on top of property protection. Most commercial landlords need both, often bundled into one LRO program.

Higher-hazard tenants — contractors and trades with hot work, restaurants with cooking, manufacturers, auto-repair, and welding shops — increase fire and liability exposure and can push a building into specialty or surplus-lines markets. We know which markets write which tenant mixes and structure the program accordingly.

Premises liability — the liability component of a lessor's-risk program or a standalone general liability policy — covers third-party bodily injury in common areas you control: parking lots, hallways, stairwells, and entrances. We make sure the common-area exposure is addressed, not just the tenant suites.

Absolutely — that's one of our specialties. Buildings leased to framing, roofing, plumbing, electrical, and other contractors carry elevated fire and liability exposure from the tenant's operations, and we have markets that write exactly this class of business and price it correctly at LH-1.

Yes. Contractors Choice Agency is licensed in all 50 states and writes lessor's-risk and commercial property programs for building owners nationwide, from Texas and Sun Belt industrial markets to Northeast multi-tenant and California warehouse owners.

Typically 15 minutes for a standard program on a call or form. Once bound, we turn around certificates of insurance and additional-insured endorsements for lenders, tenants, and partners — usually within minutes.

Most commercial property owners carry $1M per occurrence / $2M general aggregate on liability, plus a $2M–$5M umbrella when the building value or tenant exposure warrants it. Property limits should equal the full replacement cost of the building. We size limits to your building, your tenants, and your lender's requirements.

Standard commercial property excludes internal mechanical and electrical breakdown. We add equipment-breakdown (boiler & machinery) coverage so a failed rooftop HVAC unit, boiler, chiller, elevator motor, or electrical panel is covered — including the business-interruption loss from the resulting downtime.

If a tenant or their employee is injured in a common area or due to a building condition you're responsible for, your premises liability responds. If the injury is in the tenant's own space or caused by their own operations, their own policy should respond. We structure the program so there are no gaps either way.

A serious loss can affect renewal pricing and eligibility, especially if the program was mis-classified to begin with. The best protection is correct class coding (real LH-1), proper limits, documented tenant-lease requirements, and a claims partner who manages the loss aggressively — all of which we provide.

Yes — strongly. Your lease should require every tenant to carry general liability and name the building owner as additional insured on a primary, non-contributory basis. We provide a sample lease-insurance clause and help you track certificates so tenant coverage sits beneath your program.

Often yes. Older buildings, mixed-use properties, and those with frame construction or deferred maintenance require specialty markets. We document the building's condition, protection, and occupancy to place coverage other brokers struggle to bind.

Property management errors & omissions covers claims from mistakes in managing, leasing, and maintaining the property — a missed repair, a leasing error, a tenant dispute. If you self-manage or run a management company, E&O is important; if a third party manages the building, they should carry it.

Property coverage is rated on building replacement cost, construction type, protection class (fire), and occupancy. Liability is rated on square footage leased, tenant mix, and exposures. Equipment breakdown is rated on the systems covered. We document the building accurately so you're rated on real exposure, not a worst-case guess.

Commercial property leased to tenants — especially contractors, manufacturers, and food-service — has a specific risk profile that generic small-business carriers routinely exclude or misprice. A specialty broker knows the LH-1 class code, the markets that write each tenant mix, and how to manage a tenant-caused claim — which means better coverage at a fairer price.