Did you know that most commercial insurance policies specifically exclude damage caused by a flood? Having a proper Flood Insurance policy in place can offer the piece of mind your business needs to make sure you are protected from the unforeseen consequences of a sudden flood.
The impact from a flood can be devastating. Even if your business isn’t in an area historically prone to flooding from waters rising nearby, that doesn’t mean you can’t be affected by a flood. We’ve all seen the historic rain and snowfalls that lead to flooding in the news. The fact is, floods can happen anywhere, and your business insurance might not provide enough coverage for your losses.
Flood insurance is not automatically included under a business insurance policy. This coverage is administered by the National Flood Insurance Program (NFIP) and needs to be purchased as separate, additional coverage.
Flood insurance can cover two broad areas of loss. The first is to the physical building or structure, which includes damage to the foundation, walls, HVAC, wiring and more. The second form of coverage insures the contents including furniture, equipment, inventory and other items within the structure.
A flood is defined on the policy as: “A general and temporary condition where two or more acres of normally dry land or two or more properties are inundated by water or mudflow.” While flooding more frequently occurs along rivers, lakes and streams, it also occurs in coastal areas. But as we’ve seen across the U.S., it also can occur as the result of a large amount of rain or snow, even to properties not in a flood zone.
Get flood insurance for your unique business by contacting a Professional Underwriters agent.