How Commercial Loss Control Surveys Reduce Risks & Costs for Insurers/Insureds

Inflation, tariffs, construction costs, labor shortages, material and service delays, severe weather—you name it, and it’s piling up on commercial insurance carriers and their insureds. So, not surprisingly, U.S. commercial insurance premiums are expected to increase at least 3% in 2026.  

As both premiums and costs for repairs rise, more insurers are seeking new solutions to better manage their own costs while also maintaining service quality for customers.  

In this article, we share the role commercial loss control surveys play in providing information for insurers to help their underwriters write accurate policies and to help their customers avoid significant damages and repairs down the road. 

Learn more about what a commercial loss control survey is, the types of policies it addresses, how it reduces liability risks, and actions insurers can take based on a loss control survey. 

How is a commercial loss control survey different from a commercial inspection?  

A commercial inspection—also called a commercial building inspection or property condition assessment—is done before coverage during underwriting, refinancing, acquisition or routine risk management. It is typically done faster and checks for code compliance, safety and more to identify any immediate risks or maintenance. 

A commercial loss control survey goes more in-depth, providing a detailed assessment of a property’s buildings, materials, equipment, existing damage or potential hazards, and more to identify any immediate or future potential risks. 

What types of policies are commercial loss control surveys used for? 

Three types of policies are typically covered. Knowing which one helps loss control surveyors determine what will need to be gathered on-site. 

1. Property. Coverage forloss to the insured’s building and business personal property, including the building, permanently installed fixtures, equipment and machinery, contents, stock, furniture, and more. 
2. Liability. Coverage for property damage or injury to a third party for which the insured is responsible, including personalinjury to Third Party (tenant, patron, visitor, consumer, passerby, etc.) and/or damage to Third Party’s property. 
3. Package (Property & Liability).Coverage for both of the above. 
4. Workers’ Compensation/ Workplace Safety. Coverage for risk and safety controls in a commercial operation.  

What type of commercial loss surveys can be done? 

​Surveys vary by provider, but below are some examples our Loss Control team covers: 

• Exterior Photo 

• Phone Report (when there’s no brick-and-mortar building) 

• Garage Liability  

• General Liability 

• Property 

• Property & Liability Package 

• Comprehensive Loss Control Reports 

• Habitational Property & Liability Package 

• Wind-Only Inspection 

For all areas listed above, our team thoroughly documents: Operations, Premises, Protection, Special Hazards and Liability. 

How do commercial loss control surveys reduce liability risk?  

On all our reports, we include a recommendations section to highlight any additional hazards found during the interview or on-site walk-through. 

This section outlines what we found, why the area is a present or imminent concern, and how it can be corrected. We communicate these findings to the insurance carrier for them to determine the next course of action with their client. 

What should insurers do about their commercial loss control recommendations? 

After your surveyor has communicated any remaining or potential hazards, we recommend discussing it with your insured. 

Prioritize Recommendations. Not all hazards are created equal, so be sure to classify risk recommendations by potential severity and frequency reduction. 

Be Specific. Define what needs to change, method of correction, and realistic timelines. Label mandatory items as underwriting conditions, as well as provide rationale for any optional/advisory items. 

Ensure Actions Align with Business Capabilities. Tailor your guidance to company size (i.e. simple steps for small businesses vs. detailed steps for enterprise companies).  

Align with Underwriting Strategy. Integrate findings directly into the rating, deductible, or coverage decision. 

Back with Data. Share any relevant benchmarking data, industry standards, and evidence-based ROI. 

Track Compliance. Conduct follow-ups in a constructive and collaborative way. 

Document Business Value. Share how the recommendation influences losses, claims, premiums, deductibles or terms. 

Davies’ Loss Control Team 

In 2025, our team conducted 119,976 on-site commercial loss surveys across all 50 U.S. states. In addition, we have risk control consultants throughout North America dedicated to proactively guiding improvements in commercial safety, health, productivity, and profitability.  

Interested in learning more about our Commercial Loss Surveys & Solutions? Contact our team.