Most commercial property insurance policies don’t cover flood damage. So, you may want to buy commercial flood insurance to help protect your business and personal property. Even if your business isn’t in an area prone to flooding, you’ll want commercial flood insurance if:
You run your business in an area that has cold, snowy winters and warm springs. Fast-melting snow is one of the top causes for commercial flooding. You experience moderate rainfall in the spring. A nearby stream overflows from the rainfall, flowing into your place of business and causes flood damage.
Your business’ basement floods from construction runoff next to your building and damages equipment and inventory.
What Gets Covered
There are two types of commercial building flood insurance coverage, and you can opt to buy one or both.
- Commercial contents covers inventory, merchandise, machinery and any other contents your business has up to $500,000.
- Commercial building covers you company’s building up to $500,000. Even if your company does not own the building, you are able to insure the value of the improvements you made to the space.
If the value of your business is more than $500,000 in either of these areas, you can purchase an excess flood policy to provide total coverage up to $1 million. In addition to these two types of building coverage, the NFIP will also keep you covered for flood protection, prevention and cleanup.
Connect with us to know more about commercial flood insurance.