Making Sure Your Business Is Covered in Case of a Natural Disaster | SERVPRO® of Piscataway

When a natural disaster strikes, business owners can find themselves devastated by the damages. In many cases, small business owners do not have the profit margins to absorb the harmful impacts of a disaster, and will instead be relying on their commercial insurance policy to help them recover.

Unfortunately, many business owners find out the hard way that their commercial policy is not enough to provide the security they need following a disaster. Between things that are explicitly excluded, such as flood damage, or extra expenses that insurance will not pick up, it is important to be aware of the additional coverage options available to you in case your general policy is inadequate.

Commercial Flood Insurance

Flood insurance is one of the top things that we recommend for business owners to purchase in addition to their general policy. Many commercial policies specifically exclude flooding-related damages from their coverage, which can lead to major uncovered expenses for business owners. Flood insurance will generally cover both damages to the building and to the contents inside during a disaster and typically requires a 30-day waiting period before coverage kicks in.

Business Interruption Insurance

If your business had to remain closed for an extended amount of time during disaster recovery, would you be able to absorb the loss in revenue? Many business owners find that they are not able to and are dismayed to find that this type of coverage is not included in their policy. If this applies to you and your policy, business interruption insurance might be something to consider. It will cover lost revenue for your business based on your historic earnings to provide you with more liquid capital in order to recover.

Extra Expense Coverage

There are many extra expenses that can be associated with natural disaster recovery, most of which are not included in the coverage provided by a general commercial insurance policy. Operating a generator, hiring extra security and even providing employees with extra equipment to do their jobs might be necessary after a disaster strikes, and with extra expense coverage, you can be sure that you will be reimbursed for these out-of-pocket expenses.

If your business has suffered from a natural disaster, you can count on us to help. Contact us to learn why we are leaders in the restoration industry and create a recovery plan for your business.