Your Office Just Flooded, Now What?
By: Chazz Insurance Inc.
According to the Federal Emergency Management Agency (FEMA), 40 percent of small businesses don't reopen after a natural disaster due to the astronomical cost of repairing damages. Even if the small business does reopen, 52 percent of owners say it would take at least three months to recover. While this is a U.S. statistic the reality is very similar in Canada.
If you're a business owner, or are responsible for the operations of your company, and you own your building, you need to ensure that you are protected for any potential situation that may damage the building and impact your day to day operations. With weather becoming more severe and unpredictable in Durham Region and across the country, there's an increase in damage resulting from extreme weather and as a result the insurance industry is seeing an increase in claims due to flooding, windstorms, forest fires and other natural disasters.
So the question is, are you covered? When is the last time you reviewed your policy? Are you certain you have adequate coverage for flooding, sewer back up and earthquake damage in the event of extreme weather. It is recommended that you meet with your insurance provider annually to ensure you understand your companies, often complicated, insurance documents and are very familiar with your coverages and limits.
On the other hand, business owners who rent the space they operate their business out of also need to be sure they are protected. Extreme weather impacts us all and in a rented space you need to be certain your business can replace any loss personal property (i.e. stock, equipment, contents) in the event of a claim.
While protecting your building and personal property in the event of a claim is important, it's crucial to get insurance to cover a loss of income while the building is being restored. If you aren't able to operate your business you need to be covered for the loss of gross profits and extra expenses. There is coverage available to protect you, your business and your employees and it is worth having a discussion with your representative to understand how this type of protection works.
Finally, it is recommended that business owners explore wealth management products to maximize their savings potential. In an unforeseen circumstance, you can never have too much saved to fall back on. As a business owner you need to protect yourself and your family first and having a solid personal disaster strategy in place will give you peace of mind in the event of a disaster.
Learn more at http://www.cooperators.ca/