Commercial Property Insurance 101: What Is Covered After a Storm and What Isn't?

2/11/2019 (Permalink)

Asked your insurance agent if you are covered

As a business owner in Kew Gardens, NY, it is essential you understand your commercial property insurance and what emergencies it covers. While there are a lot of situations you are often covered for, there are specific types of disasters and circumstances that will probably not be included. It is important you consider your specific location, needs, and current insurance coverage when considering adding on new policies to your existing plan. While your storm insurance will vary slightly depending on your policy, here is an overview on what most commercial property insurance policies cover after a storm.

Is Storm Damage Covered?

In short, the answer is yes that insurance is typically included in your commercial property insurance policy. Since storm damage can cover a wide variety of emergency types, here are specific situations you can expect to be covered for: 

• Blizzards
  
• Tornadoes
  
• Hurricanes 
  
• Lightening 

In the situations your business qualifies for coverage, your storm insurance often covers damage that occurs to your building, including the cost of storm damage restoration. Your policy may also cover the contents of the building, including equipment, furniture, and inventory, up to the predetermined dollar limit listed on your policy. 

What Damage Isn’t Covered?

Under a standard policy, there are several situations where you will often not be covered. For instance, flood damage isn’t covered, and you will need to check if your policy covers windstorm and hail damage. While some policies automatically include this type of coverage, others require an additional plan. It is also important to note you will not be compensated from insurance for the time you are out of business unless you purchase business interruption coverage. Additionally, your plan will generally only cover damage caused by the storm and will not cover anything thought to be a cause of wear and tear. 

An important step in preparing your business for an emergency is to find out what your specific commercial property insurance policy covers. While your storm insurance coverage includes many types of emergencies, not everything is automatically included.