Chat with us, powered by LiveChat
The new pricing is being updated. Please call at (866) 681-7846 for accurate pricing.
Home / Articles / Is Insurance Cheaper for Commercial Metal Buildings?
Is Insurance Cheaper for Commercial Metal Buildings
24Sep 2023Metal Buildings

Is Insurance Cheaper for Commercial Metal Buildings?

Is Insurance Cheaper for Commercial Metal Buildings

Commercial Metal Buildings and Insurance Premiums

If you’re building in a commercial space, there are many facets that you’ll need to cover, and one of those will undoubtedly be insurance. The rates charged by insurance companies will often vary based on the nature of the structure in question. Buildings constructed from materials that are more resistant to the leading causes of property damage will, on average, pay less for their premiums.

This is one of the many reasons commercial metal buildings can be more cost-effective than traditional construction options. In this blog, we'll explore this subject in greater detail and show you why choosing metal buildings for your next commercial project may be the best choice you make.

Why Insurance Companies View Commercial Metal Buildings as Less of a Risk

There are several distinct reasons that insurance companies offer lower rates for metal structures than with traditional construction methods. Let’s look at a few:

1. Lower Risk for Worker Injury

One of the primary reasons insurance companies favor metal buildings is the reduced risk of worker injury during construction. Metal buildings are typically pre-engineered and fabricated off-site, reducing the need for extensive on-site construction work. With fewer workers exposed to construction-related hazards, the overall risk of workplace injuries is lower, which translates into lower insurance premiums for the project.

2. Lower Construction Costs

Metal buildings are known for their cost-effectiveness in terms of materials and construction time. This streamlined construction process and the ability to use pre-fabricated components significantly reduce labor costs and construction time. This efficiency in construction leads to lower overall project costs, making it more affordable for property owners and, subsequently, for insurers to cover.

3. Improved Impact Resistance

Metal buildings are renowned for their durability and resistance to impacts, which can arise from various sources such as accidents, fallen trees, or extreme weather events. The structural integrity of metal buildings makes them less susceptible to damage, and this decreased likelihood of claims due to structural impacts is reflected in lower insurance rates.

4. Decreased Risks of Fire and Weather Damage

Insurance companies are particularly concerned about risks associated with fire and weather-related damage, as these can result in costly claims. Metal buildings are inherently less flammable than traditional construction materials like wood. Additionally, metal roofs and walls offer superior resistance to weather-related damage, such as wind, hail, and water infiltration. As such, metal buildings are less likely to incur significant damage from these elements, leading to fewer insurance claims and lower premiums.

Why a Fire-Resistant Metal Building Is Cheaper to Insure

So, what is it about fire resistance that makes metal buildings such a preferred option when it comes to insurance companies? Let’s look at how these companies categorize buildings:

1. Construction Class 1: Frame

Construction Class 1, often called "Frame" construction, is characterized by its lightweight, typically wooden structural framework. This class is commonly used in residential buildings and smaller commercial structures.

2. Construction Class 2: Joined Masonry

Construction Class 2, known as "Joined Masonry," involves using masonry materials like brick or concrete blocks for load-bearing walls. The masonry is joined with mortar, providing substantial fire resistance. This class is often chosen for commercial and industrial metal buildings where durability and fire protection are paramount.

3. Construction Class 3: Noncombustible

Construction Class 3 designates buildings constructed primarily of non-combustible materials, such as steel or concrete. Industrial metal buildings often fall into this category due to their reliance on steel frames and non-combustible wall and roof systems. These buildings offer excellent fire resistance and are suitable for a wide range of industrial and commercial applications.

4. Construction Class 4: Masonry Non-combustible

Construction Class 4, "Masonry Non-combustible," combines the qualities of masonry construction (Class 2) and non-combustible materials (Class 3). Buildings in this class typically feature masonry walls and non-combustible roofs and floors. This combination provides an extra layer of fire resistance and structural integrity, making it ideal for various applications, including some industrial and commercial buildings.

5. Construction Class 5: Modified Fire Resistive

Construction Class 5, "Modified Fire Resistive," is characterized by its enhanced fire resistance features. This class typically involves specialized construction methods and materials that extend the time a building can withstand fire, offering increased safety for occupants.

6. Construction Class 6: Fire-Resistive

The highest level of fire resistance is found in Construction Class 6, known as "Fire-Resistive." Buildings in this class are designed to withstand severe fire exposure, often featuring reinforced structural elements, fire-resistant coatings, and advanced fire suppression systems. While relatively rare in industrial or commercial metal buildings, they are used in structures where the utmost fire protection is necessary, such as data centers or critical infrastructure facilities.

Where Do Steel Buildings Fall in the Classification System?

Large metal buildings and commercial metal buildings typically fall into Construction Class 3 and occasionally into Construction Class 4 within the construction classification system. These classifications are chosen due to the predominant use of non-combustible materials, such as steel, in their construction.

Ultimately, the deciding factors between Construction Class 3 and 4 depend on the building's specific design, local building codes, and aesthetic preferences. Coast to Coast is Your Trusted Provider of Commercial-Grade Metal Buildings Whether you’re searching for simple backyard sheds or fully-customized commercial buildings, Coast to Coast is here to help you find a structure that works for your needs. We utilize advanced engineering techniques to ensure our buildings perform well and last for decades with proper maintenance.

So, whether you’re augmenting the home, or starting your new business, we’ve got the experience, materials, and know-how to get the job done. If you’re ready to take your first step into the metal building world, let Coast to Coast Carports lead the way. Call us today at (866) 681-7846 and let our team of building experts help you design and customize a structure that works for your needs.

Get Your Custom Building Quote in Just a few Clicks

Select Your Building Requirements

Choose Building Type

Your Contact Details

Email Address
Phone Number
Zip Code
Type your message here…

Explore Similar Articles

Clear Span Buildings & Texas
27Jan 2022
Metal Buildings

As the second-largest US state, both in land and population, Texas is home to a wealth of industrial opportunities. It boasts a resilient economy, which experienced phenomenal growth through both the 2009 recession and the Covid-19 pandemic.

What Are the Most Economical Metal Building Sizes
18Dec 2023
Metal Buildings

When purchasing a metal building for your home or business, one of the first questions you'll ask yourself is, 'How big do I need my structure to be?' While the question might seem simple on the surface, the choice you make can have a significant effect on your project and its final price tag. Steel buildings come in many shapes, sizes, and configurations, and finding the right one for your needs is crucial if you’re working on a budget and limited building space.

29Oct 2023
Metal Buildings

The secret is out– metal buildings are some of the most versatile buildings on the market and are engineered to handle some of the toughest jobs out there. As more and more Americans choose to invest in steel buildings for their homes, businesses, and farms, the demand for these prefab metal structures has grown exponentially.