As sea levels rise, commercial property owners are facing an increased risk of storm surge damage. This phenomenon, characterized by the sudden rise of sea levels during severe weather, can lead to extensive property damage. But the question is, are you truly covered in the event of such an occurrence? Stark Loss Consultants delve into the nuances of insurance coverage and storm surges.
- Understanding Storm Surge Damage Before discussing insurance, it’s important to understand what storm surge is. When strong winds from hurricanes and tropical storms push sea levels higher than normal, the resulting water inundation is known as a storm surge. Commercial properties located near coastlines are particularly susceptible. This surge can flood properties, corrode infrastructure, and even lead to foundational issues.
- Typical Commercial Insurance Policies Many commercial property owners assume their standard insurance policies will cover storm surge damage. However, this is not always the case. Standard commercial property insurance often excludes “flooding” as a covered peril. And while it might be tempting to equate storm surge with wind-driven rain (which might be covered), insurance companies often classify storm surge as flooding.
- Flood Insurance: A Necessity Considering the exclusions in standard policies, flood insurance becomes essential for properties near coastlines or in flood-prone areas. The National Flood Insurance Program (NFIP) is a federal initiative that provides flood insurance. While NFIP policies can be purchased through private insurers, it’s crucial to understand the limits and specifics of your coverage. Commercial properties may need additional or excess flood insurance policies to fully cover potential losses.
- The Role of Public Insurance Adjusters In the wake of a disaster, navigating the claims process can be daunting. That’s where firms like Stark Loss Consultants come in. As public insurance adjusters, we represent you, the policyholder, and not the insurance company. Our primary role is to ensure that you receive the maximum entitlement from your insurance claim. We understand policy language, the intricacies of storm surge damage, and the best strategies to present your claim.
- Proactive Measures for Commercial Property Owners Beyond insurance, property owners should consider proactive measures to mitigate potential damages. Elevated structures, reinforced barriers, and investing in drainage solutions can be essential. Additionally, always have an updated inventory of assets and understand your insurance policy’s nuances.
In conclusion, while storm surge is an increasing threat to commercial properties, understanding your insurance coverage and working with professionals like Stark Loss Consultants can ease recovery after a disaster. Being prepared and informed is the first line of defense against potential losses.
Have questions about your property insurance claim? Feel free to contact Stark Loss for more information about how a Public Adjuster can help.