It's Elemental

1/23/2019 (Permalink)

Mother Nature is a force no one can reckon with. The elements are an unpredictable enemy that anyone who owns property needs to take into constant consideration. With little or no warning, a natural disaster can wipe your business off the map within the blink of an eye. It is vital to be prepared for what could potentially be in store in your future and the damage control you can have prepared for these very situations. Listed below are a few examples of how you can defend your assets against the unforeseen elements.

Risk Assessment:  Where you are located can dictate your plan of action. If you are living in an area prone to flooding or located where tornadoes are common it might seem obvious in what coverage you require. A risk assessment is an important tool as it can identify the lesser probable causes of loss. Just because some events are less likely to occur than others, does not prevent the possibility of them happening. The best offense is a great defense. So be prepared.

Business Interruption Insurance: When you lose your ability to earn income do to damaged property your business interruption insurance will cover most of your loss. Some scenarios are straightforward as in water damage due to a burst pipe or structural damage caused by a fire. Natural disasters are not as specific. Secondary issues such as closed roads due to down trees can cause a loss of income and a basic interruption plan will not cover these situations. It is very important to look into supporting insurance that can be added on to cover such events.

FEMA Funding: Flooding is one of the most common side effects of natural disasters. While rain might be covered by your Business Owner's Policy, once it settles in any location it is no longer considered rain and is now defined as flood water. Flood water can only be insured by The Federal Flood Insurance Program which is administered by FEMA. 

Consider all options: When insuring your commercial building it should be of highest priority to be sure all options have been considered. Be completely aware of the threat that the elements pose and the steps you can have in place to insure your property should disaster strike.