Do You Need a Flood Policy?

9/11/2020 (Permalink)

Flood Policy Insurance For Commercial Business

Even if your Pembroke Pines, FL, business is operating in the middle of the desert, there's no guarantee that your property is safe from flooding. Sadly, just one inch of flooding can leave thousands of dollars of water damage. The only way to be sure your business can recover from even a minor flood is by adding a flood policy to your commercial insurance.

High-Risk Flood Zones
If you live in a high-risk flood area, you may be required to carry flood insurance. How can you tell if you are legally required to purchase a flood policy? You can read the guidelines posted by the Federal Emergency Management Agency to learn more:

• Refer to FEMA flood maps. If your area is marked with an A or V, you are located in a high-risk area.
  
• Find relevant FEMA maps here.
  
• Do you have a federally backed mortgage? If you do and your area is in a high-risk zone, you must purchase commercial insurance for flooding.
  
• Even if you aren't located in a high-risk zone, discuss your risks with your insurance company.
  
  

You may feel pretty safe from flooding if your property isn't within an area of risk, but there are several reasons to still consider a flood policy.

Moderate- to Low-Risk Zones
According to findings from the Federal Emergency Management Agency, in the four-year period between 2014 and 2018, more than 40 percent of the National Flood Insurance Program flood claims came from areas outside of the high-risk zones. As a property owner in a moderate- or low-risk zone, you may qualify for a lower-cost policy.

Unexpected Emergencies
If you've never experienced flooding before, you should still consider water damage risk due to unmaintained or damaged drainage systems, flash floods from summer storms or melting snow, broken water mains, or new construction in your part of Pembroke Pines, FL. Anyone of these situations could cause flooding where it has never happened before.
Flood damage can be corrected through the efforts of water damage cleanup and restoration professionals, but your commercial property insurance will only cover the damages if you have the correct policies in place.