Business Ownership 101: Should I Have a Flood Policy?
10/12/2018 (Permalink)
When it comes to who needs to buy flood insurance, most business owners in Daybreak,UT think of those in high-risk, flood plain areas. But experts say inlets and small creeks can swell as much as a mighty river under heavy rains, and businesses even remotely close to floodplains should prepare themselves. Not convinced you need commercial insurance for flooding? Here are reasons to bite the bullet.
Because Standard Insurance Won’t Cover Flood Damage
Many business owners incorrectly believe their standard insurance covers flood damage. While some policies cover things like sewer backups, damage from flooding is typically covered under a separate policy. That means if you don’t pay for a flood policy and a hurricane hits, you’re out of luck.
Because Risk Extends Past the Flood Plain
Many people think since they are on a hill or are inland, far from the coast, that they aren’t threatened by flooding. But experts say living within a 20-mile radius of a floodplain can make you just as susceptible to those right in the middle of the high-risk area. They point to land that can quickly become water choked in heavy rains, leading to flash flooding.
Because Costs for the Uninsured Are Pretty Hefty
Unfortunately, the options are limited to avoid coming out of pocket if you are hit with flood damage. FEMA may provide some limited coverage but typically not enough to cover all losses. The good news is, there are lots of options when it comes to buying a flood policy. The National Flood Insurance Program underwrites the bulk of the nation’s flood insurance policies and there are many providers of commercial insurance policies.
By the time the storm hits, it’s too late to think about flood insurance. Get your flood-ready commercial insurance policy today and rest assured that if the next record-setting storm hits close to home, you’re prepared for the worst.