Commercial Flood Insurance In Naples
Commercial property Many business owners are surprised to learn their commercial property policies won’t cover flooding events. Standard commercial property insurance won’t cover flood damage—especially those located on or near the Gulf Coast. For these businesses, adequate commercial flood insurance isn’t optional—it’s essential to your business property and equipment in case of damage or destruction. Specifics of what's covered for which particular perils vary across individual policies and individual insurers.
How Does Commercial Flood Insurance Define ‘Flooding’?
If a pipe busted in your business, flooding the floor, would this be considered a “flooding event” and therefore not reimbursed by commercial property insurance? Or would this event be covered?
If you answered, “Yes, this event should be covered under my existing commercial property policy” (or something similar), you’re correct. A flooded floor or other water damage to your business caused by a busted pipe (or even a malfunctioning appliance) would probably be covered by a typical commercial property policy.
What kinds of events, then, are classified as “flooding” and are thus not covered under commercial property insurance? Obviously, a heavy rainfall event wherein water rose into your business would qualify as flooding.
However, other kinds of damage classified as “flood damage” under commercial property policies aren’t quite as apparent. In other words, your business doesn’t need to flood with rainwater to sustain “flood damage.” As specified in typical commercial property policies, flood damage also includes: rain damage, storm surge damage, and mud damage
Rain damage
Storm surge damage
Mud Damage
It’s a guarantee that your existing commercial property policy won’t cover the above events.
What commercial flood insurance can I purchase?
Standard Flood Insurance
These policies are designed for businesses in communities with an active and ongoing flood management plan. Such communities must also be able to demonstrate that they have enacted certain NFIP guidelines to reduce flood-based damages.
Preferred Risk Flood Insurance
These flood insurance policies are designed for businesses located in low-to-moderate risk zones. Such businesses aren’t necessarily required to purchase flood insurance but have the option in case they experience a small flood or even an unexpectedly big one.
Commercial Flood Insurance in Florida & the Coastal Barrier Resources Act
In 1982, the US Congress passed the Coastal Barrier Resources Act (CBRA) to help curb and prevent development along US coastal barriers. These areas are considered ecologically fragile and also present amplified risk to human life and health due to their extreme exposure to hurricanes and other extreme storms that form at sea. As such, homes, businesses and other structures built in these areas are at far greater peril compared to buildings erected further inland.
For this reason, any home or business built within the CBRS after 1982 is not eligible for flood insurance through FEMA’s NFIP. In Collier County, this describes many businesses on the Florida Gulf Coast.
If you own a business near a shore, and need to obtain flood insurance, there’s a good chance you aren’t eligible for coverage through the NFIP. Don’t fret. Flood Insurance is nonetheless available for these businesses through private carriers, some of whom are G&P Insurance partners.
How much does commercial flood insurance in naples cost?
The cost of commercial flood insurance in Naples, FL varies depending on your agreed-upon values of the policy, chosen deductibles, insurability, and other factors. To request a free commercial flood insurance quote, feel free to call us at (239) 353-3500 or fill out our online form.