Commercial insurance serves as a protective shield against losses for companies. It typically covers incidents like theft or lawsuits and can also cover damages from natural disasters. However, the coverage depends on various factors and is not always straightforward.
Understanding Standard Insurance
Standard insurance usually covers certain natural disasters, such as tornadoes, and other situations, like fires caused by electrical hazards. However, it explicitly excludes certain natural disasters. For instance, many insurance companies require additional coverage for natural disasters, such as flooding, hurricanes, and wildfires.
Insurance Add-Ons for Extra Coverage
Business owners can purchase add-ons for their commercial insurance to meet their specific needs. Broad coverage that covers all natural disasters is typically not available. Instead, each situation has separate coverage, such as flood insurance, hurricane insurance, and wildfire coverage. It’s essential to consider common natural disasters when selecting insurance options through companies like Wai Cheng Insurance Inc. to ensure you have adequate coverage.
Reading the Fine Print
It’s always important to consider the fine print when deciding on an insurance policy. For example, many policies exclude flood damage unless you have flood insurance. This often includes any water damage, even if it’s caused by excessive rainfall from a hurricane, and you have hurricane coverage.
Many commercial policies include business interruption coverage, which reimburses you for money lost if you have to shut down your business. However, others specifically exclude this coverage and offer it as an add-on. Policies in the Bay Area, CA, can vary depending on the insurance company.
Experienced agents at Wai Cheng Insurance Inc. can help you identify common risks in the Bay Area, CA, to ensure you’re covered when a disaster strikes. Our representatives will work with you to ensure you understand everything you need to know about your commercial insurance policy.
