Commercial Property Insurance
Commercial property insurance covers the physical assets that make your theater run — the building, screens, sound systems, seating, concession kitchen, and signage — against fire, water damage, vandalism, theft, and severe weather.
Commercial Property Insurance for Theaters
A movie theater is a high-value physical plant. Between the building, the screens, the digital projection and sound systems, the seating, and the concession kitchen, a single location can represent millions in replaceable assets. Commercial property insurance protects all of it.
What's Covered
- Building: The structure, if you own it, including the auditorium and lobby build-out
- Screens & seating: Projection screens, recliners, stadium seating, and fixtures
- Audio-visual systems: Speakers, amplifiers, and sound equipment (breakdown is covered separately)
- Concession & kitchen: Popcorn machines, fountain systems, fryers, and dine-in kitchen equipment
- Signage & marquee: Exterior marquee, box office, and interior signage
- Tenant improvements: Custom build-out in a leased space
Covered Perils
Standard property covers fire, smoke, water damage from burst pipes, windstorm and hail, vandalism, and theft. It does not cover mechanical or electrical breakdown of equipment — that gap is filled by equipment breakdown coverage, which we pair with your property policy.
Replacement Cost vs. Actual Cash Value
We write theater property on a replacement-cost basis wherever possible, so a 15-year-old projector or screen is replaced at today's cost rather than depreciated value. Proper valuation is critical — underinsuring a multi-screen plant can trigger coinsurance penalties at claim time.
What's Covered
Frequently Asked Questions
Property covers projectors against fire, theft, and similar perils — but not mechanical or electrical breakdown. For a projector that simply fails, you need equipment breakdown coverage, which we add alongside property.
Replacement cost is strongly recommended for theaters. It pays to repair or replace damaged property at today's cost without depreciation — important for screens, seating, and equipment that age but remain essential.