Protect your business investment with commercial flood insurance and prevent it from sinking.
Is your business protected with flood insurance?
Similar to homeowners insurance, many business owners may overlook the fact that their commercial property insurance typically excludes coverage for flood damage. The impact of a flood on a business extends beyond the immediate costs of replacing equipment and repairing buildings—it can also disrupt operations for an extended period.
Assessing the risks of flood damage is crucial. In commercial settings, floods can result not only from heavy rainfall but also from issues such as clogged drains, which can escalate routine weather events into significant disasters. Even if your business is not located in a designated flood zone, it remains susceptible to flooding. Securing commercial flood insurance is essential for maintaining business continuity and resilience in the face of such unexpected catastrophes.
- Why you should get covered for floods sooner rather than later.
Some flood insurance policies require a 30-day waiting period before they become effective, making it imprudent to delay until there’s a forecast of heavy rain in your business area.
- Should you choose an NFIP or non-NFIP policy?
As a business owner, it’s essential to consider both commercial flood insurance options: those provided by the federal National Flood Insurance Program (NFIP) and non-NFIP policies. Non-NFIP policies offer significant advantages, including potential full replacement cost payouts (unlike NFIP payments, which factor in depreciation) and coverage for business interruption during the rebuilding phase (a benefit not included in NFIP coverage).
What are the risks of not getting commercial flood insurance?
After devastating events like floods, at least 25 percent of businesses permanently close their doors. Don’t let your business be one of them. It’s crucial to secure a policy that safeguards not only your business itself but also its physical assets and contents from the financial impacts of flood damage.
Regardless of whether your business is situated in a flood-prone area, exploring commercial flood insurance is highly advisable. Reach out to us to assess your flood risk, discuss your business’s requirements, and explore the various coverage options available.