Building Insurance

Metal buildings are popular choices in the United States, Canada and other countries for a wide range of low rise facilities, from commercial and industrial buildings to institutional and recreational facilities. Metal buildings are noncombustible structures with rigid and braced steel frames comprised of both hot and cold formed steel shapes, plates, sheets, roof decks and panels.


Insurance is essentially definable as the spreading of risk of economic loss due to fire, windstorm, flood, riot and civil commotion, and various other perils. In order to spread the risk equitably, it is necessary that all elements of the risk be analyzed and that proper weight be attributed to each of these elements. This analysis logically leads to classification of buildings according to their loss potential and the publication of an annual rate, or monetary amount per hundred dollars of insurance which reflects this loss potential.



MBMA Insurance Bulletins


Most building owners will secure a standard policy known as a Business Owners policy (BOP). MBMA regularly issues Insurance Bulletins, which are relevant to its member companies, contractors, and insurance underwriters.  There are many advantages to metal building and these Insurance Bulletins provide a comprehensive description on the different types of insurance companies, rating systems and occupancy. 


You can download each bulletin directly from this web site by clicking on the appropriate "Insurance Bulletin" headline. Each bulletin will appear in a new window as a PDF, which you can save or print. The bulletins are listed below.




Insurance Facts

This useful booklet contains a host of important information about insuring your building. Insurance Bulletin #2 provides a description and how-to guide on ways to use Insurance Facts and get the most out of it



Insurance Bulletin #1

This Bulletin provides an overview of the various fire insurance company organizations, along with their ratings practices. Covered are stock companies; Lloyds; mutual insurance companies; reciprocal insurance providers; and self-insurers.


Insurance Bulletin #2

Titled "Insurance Facts - What Does it Say, and How Can it Be Used?," this Bulletin provides metal building dealers and producers with a general knowledge of fire and allied lines coverage insurance, and how to use the Insurance Facts booklet listed above. It describes in detail all the salient insurance information that is contained in the Insurance Facts booklet. It is a basic sales tool booklet that can keep you abreast of the latest within the insurance industry.


Insurance Bulletin #3

The ISO (Insurance Service Office) or State Rating Bureau is a valuable source of information and advice on fire and allied lines coverage insurance rates or loss costs. This Bulletin discusses why and how you should contact either body to obtain much-needed information.


Insurance Bulletin #4

This Bulletin describes the property evaluation methods used by the Insurance Service Office (ISO). In recent years, two fire loss costs methods have been developed by this organization. This Bulletin outlines the many factors considered by ISO during an insurance evaluation.


Insurance Bulletin #5

The Specific Commercial Property Evaluation Schedule (SCPES) classifies buildings into six categories: Fire Resistive; Modified Fire Resistive; Masonry Noncombustible; Noncombustible; Jointed Masonry; and Frame. This Bulletin describes what effect exterior wall construction or column protection has on insurance rates or loss costs.


Insurance Bulletin #6

This Bulletin outlines how flame spread of insulation and/or interior finishes affect fire insurance rates or loss costs. Hypothetical comparison information is provided, along with recommendations on insulation types and interior finishes one might consider.


Insurance Bulletin #7

Fire insurance rates or loss costs are predicated primarily on two things -- the building construction and its occupancy rate. This Bulletin asks and answers the question: What Effect Does Occupancy Have on Rate or Loss Cost?


Insurance Bulletin #8

If a building is isolated with no surrounding structures, and it burns, it is normal to assume that the fire started in that building. If there are neighboring structures and they catch fire, this fire may spread. This Bulletin discusses the building owner’s exposure in the event of a fire in an adjacent building, and provides Exposure Hazard Charge information.


Insurance Bulletin #9

Public protection classifications are established by rating authorities. This Bulletin explores what these various classes mean to the building owner in terms of insurance rates and loss costs.


Insurance Bulletin #10

The viability, costs and other variables associated with installing a sprinkler system are discussed in Bulletin #11. In particular, insurance cost savings are addressed as they pertain to having a fully- functional sprinkler system installed in a given building. Comparative information between Sprinklered and Non-Sprinklered buildings is provided.


Insurance Bulletin #11

Contents of a building are normally more readily damaged by fire than the building infrastructure itself. It follows, then, that the insurance rates for contents are quite often higher than those for the building itself. Find out what this means -- and how it might affect your rates or loss costs -- in this Bulletin.


Insurance Bulletin #12

The facts on insuring a metal building versus other different materials of construction are found in this Bulletin. Ways of minimizing the impact that slightly higher insurance costs may have on a sale are discussed, along with ways to have your building properly evaluated.


Insurance Bulletin #13

Wind uplift is a major factor in the roofing and construction industries. Considered a Group II cause of loss, wind uplift is rated alongside damage from hail, smoke, riot or civil unrest, aircraft or vehicles, sinkhole and volcanic action. Find out how to achieve the optimum wind uplift rating for your metal building in this Bulletin.


Insurance Bulletin #14

Earthquake rates or loss costs are discussed in this Bulletin -- and metal buildings are known for outperforming competing structures in the event of one of these devastating catastrophes. Tabular information, by building type and geography, is presented, which may be useful in selling a metal structure in a region susceptible to earthquake activity.


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