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Commercial lease insurance clauses are in every commercial lease. They are unavoidable with good reason.
Most commercial lease insurance clauses are at $2M to $3M in coverage, though some leases are at $1M and about an equal amount are at $5M. It depends on the landlord and the nature of the complex.
100%. No ifs ands or buts about it.
100%. Both parties will carry insurance and in the event that there are any disputes, the insurance companies will handle it.
(a) Tenant shall pay monthly, as Additional Rent and as part of common area expenses as defined in Section 14.05, Tenant's pro rata share as defined in Section 14.06 of any and all premiums for insurance maintained in connection with the Shopping Center including, but not limited to, public liability insurance for the common areas of the Shopping Center, and insurance for structures and improvements in the Shopping Center including, but not limited to, fire and extended coverage, and such other perils or risks, including plate glass, sprinkler leakage, earthquake, floods and terrorism, as the Shopping Center owners may choose to insure, in their sole and absolute discretion, together with insurance for loss of rental resulting from damage to the Shopping Center by an insured peril. Landlord shall be entitled to fulfill its insurance obligations hereunder by maintaining a so-called "blanket" policy or policies of insurance in such form as to provide by specific endorsement coverage not less than that which is required hereunder for the particular property or interest referred to herein.
(b) In the event Tenant's specific use of the Premises increases the premium for the insurance hereinabove referred to over that charged for normal retail uses, (for example, if Tenant shall operate a restaurant which shall increase the rate of fire insurance), then Tenant shall also be responsible for the full amount of such increase in premium as such amount shall be determined by Landlord's insurance broker.
If you are still stuck and have questions about other areas of your commercial lease, check out this video: