Does Commercial Insurance Cover Storms?

2/1/2022 (Permalink)

High winds can cause damage to your commercial roof.

Does Commercial Insurance Cover Storms?

Commercial property insurance policies cover many types of storm damage. Owners of buildings in locations prone to hurricanes or flooding may want to consider an additional storm insurance policy or rider on an existing policy. Find out more about covered perils and which exclusions or limits to look out for in a policy.

Hail and Wind Damage

Most general commercial property policies cover damage caused by hail and wind. These conditions may result in several forms of damage to roofing materials:

• Bruises
  
• Cracks
  
• Dents
  
• Punctures
  
  

Be sure to document damage before tarping over or taking other mitigation measures. Insurers are more likely to cover a claim if the owner can prove a roof was in good condition prior to a storm.

Leaks and Flooding

If a roof leaks due to damage sustained during a storm, commercial property insurance should cover the damage as long as the roof was previously in good condition. Flooding caused by the following conditions is not covered by most commercial property policies:

• Heavy rain
  
• Rising bodies of water
  
• Sewer backups
  
  

Supplementary flood or storm insurance policies or endorsements will be necessary to cover damage caused by accumulating rain. Heavy rain can also cause municipal sewer mains to back up into buildings. Additional sewer coverage may also be necessary.

Hurricanes and Tornadoes

Hurricane damage is cut out of many commercial property policies or may be subject to special insurance coverage requirements such as percentage deductibles based on property value. Property owners may want to seek additional coverage. Most policies cover damage caused by tornadoes, but policyholders should purchase a sufficient amount of coverage to compensate for a total loss.

Many types of storm damage should be covered by a commercial property policy for a building in Roselle, IL. Flooding, hurricanes and sewer backups may require additional storm insurance to offset the costs of commercial mitigation and restoration.