Insuring a new site or a business relocation: common mistakes and their impact in the event of a claim

Introduction

Opening or relocating a business site is a strategic milestone. Beyond logistics, it involves repositioning your assets, risks, and contractual obligations. Poorly managed insurance at this time can result in coverage gaps , delayed claims processing , or even costly exclusions in the event of a loss . This guide helps you decide on, document, and monitor your coverage, identify common mistakes, and assess the potential impact of each choice.

⸻

Why “securing a new site” is a challenge for SMEs

Opening or relocating a site fundamentally changes your risk profile:

• New or transferred assets : furniture, machinery, stocks, technical installations enter into new areas of responsibility.

• External activities and service providers : movers, installers, subcontractors increase the interactions of responsibility.

• Contracts and legal obligations : certain insurances may be required by commercial lease or by clients.

According to the official Swiss portal for SMEs, every company has an interest in distinguishing between mandatory social insurance (e.g. UVG accident insurance) and business insurance specific to its activity, including civil liability and property insurance (real estate and movable property): the latter are not imposed by law but are essential for the continuity of the activity.

⸻

1. Assess the risks of your new site

1.1 Risk audit covering asset movements

A structured audit includes:

• Inventory of transferred assets: value, condition, intended location.

• Risk segmentation: fire, water, theft, transport or damage during installation.

In business insurance, a distinction is generally made between real estate (fixed structure) and movable property (equipment, inventory), each with dedicated coverage.

1.2 Exposure related to external service providers

Movers, electricians, or installers introduce additional responsibilities. You must verify that their insurance covers their activities on your site, or include these risks in your own business liability insurance.

1.3 Construction site risks and advance payments

If work is taking place (developments, new networks), specific coverages known as construction work insurance may be essential to cover damage to property and third parties.

2. Which insurance coverages are relevant?

2.1 Business liability insurance

It covers damage caused to third parties during or after the move. This insurance is not legally required for all SMEs, but it is a cornerstone of business protection.

It must include situations specific to your business (e.g. damage on a construction site or during installation).

2.2 Property insurance (real estate and personal property)

This insurance protects your belongings against unforeseen events : fire, water damage, theft, and natural disasters. This becomes critical when moving, as the risk of accidental damage increases.

2.3 Construction/Works Insurance

When installations or transformations are planned, appropriate construction site insurance protects against damage to structures, materials and equipment for the entire duration of the work.

2.4 Other strategic hedges

Depending on the risk profile, also consider:

• Business interruption insurance (e.g., following damage during relocation)

• Transport insurance to cover your belongings during transit

• Cyber insurance if the migration involves critical systems

⸻

3. Common mistakes and their impacts

3.1 Failing to update your policies before moving

Error: failure to notify the insurer of a change of address or activities.

Impact: In the event of a claim, the insurer may reduce or refuse coverage if the conditions differ from those declared.

3.2 Cover only real estate, excluding personal property

Mistake: thinking that building police are sufficient.

Impact: equipment, stocks, machinery may not be compensated.

3.3 Providing the legal minimum without assessing actual needs

Error: basing on the minimum obligation rather than on an estimate of potential losses.

Impact: a major loss can leave significant "out-of-coverage" costs.

3.4 Ignoring exclusions and deductibles

Insurance policies contain specific exclusions. A common oversight is failing to read the exclusions related to the construction site or the use of undeclared machinery . This can result in the claim being denied .

⸻

4. Management and documentation to avoid gaps

4.1 What needs to be documented

• Comprehensive list of items with photos and values (invoices if available)

• Contracts of service providers involved in the move

• Correspondence with the insurer specifying the coverage adjustments

• Policy appendices with specific clauses

This box can be inserted as supporting documentation for your internal file or for claims processing.

4.2 Governance Checklist

| Step | Required document | Responsible party |

| Property Audit | Inventory + Photos | Manager / CFO |

| Risk assessment | Risk table by site | Broker / Insurance |

| Policy adjustments | Appendices + correspondence | Insurance manager |

| Claims tracking | Event log | HR / Claims management |

5. Practical Scenarios

Scenario A: Warehouse Relocation

A small logistics company is relocating its warehouse. Without specific transport insurance, pallets of merchandise are damaged by water during transit. Without goods-in-transit insurance, the company bears the full cost of the losses and delays.

Key decision: include transport and personal property insurance before the move.

Scenario B: New site with machine installation

A workshop installs new machines after a site opens. A delicate machine is damaged due to an incorrect connection by a subcontractor. Without an extended clause or appropriate site coverage, the insurer disputes the claim.

Key decision: include an extension of site coverage and verify the responsibilities of the service providers.

6. Questions to ask your insurer/broker

1. Do my existing policies cover belongings in motion during a move?

2. What coverage is provided for movable vs. immovable property at the new site?

3. Is transport insurance recommended for our internal flows?

4. What does company civil liability cover in the event of an on-site incident?

5. How are claims related to installation work handled?

6. Which exclusions are relevant to our industry?

7. What deductibles apply depending on the type of claim?

8. What documentation do I need to provide in case of a claim?

9. How do I adjust my insurance limits according to the value of my assets?

10. What assistance or support services do you offer for claims follow-up?

Conclusion

Securing a new site or relocation is more than just ticking boxes. It's a risk governance process : auditing, adjusting, documenting, and monitoring your coverage so that, in the event of a claim, the financial and operational impact is controlled. The next step is to conduct a thorough risk audit with your broker and update your policies before any asset transition.