Commercial Flood Insurance in New Hampshire

What is Commercial Flood Insurance?

New Hampshire businesses invest many resources in their properties, buildings and other physical assets, and it’s important to protect those assets. While commercial property insurance offers protection against a range of physical perils, it frequently excludes flood. That’s why insurers offer commercial flood insurance.

Commercial flood insurance policies are specialized flood policies. They’re similar to personal flood policies in many ways, but certain adaptations are made to better suit businesses’ flood coverage needs.

What Businesses in New Hampshire Need Business Flood Insurance?

A large number of businesses in New Hampshire can benefit from having business flood insurance. Businesses that have property where flooding is common definitely want to consider coverage as the frequency of flood claims is on the increase.  If a business is determined to be in a flood zone, based on FEMA mapping, the bank will most likely require a business owner to get coverage. Those that have coverage in regions where flooding isn’t common might find flood policies extremely affordable, which can come in handy as heavy rain is a cause of many flood claims.

Businesses that are unsure whether they should have business flood insurance should talk to an insurance agent who specializes in this form of flood coverage. A specialized agent will be able to help assess a business’ risk and explore whether purchasing coverage makes sense.

Is the National Flood Insurance Program Available to Businesses?

The National Flood Insurance Program helps property owners in certain flood-prone regions purchase flood policies at a subsidized rate. The program is available to both individuals and businesses in qualifying regions.

For businesses that have property in qualifying regions, purchasing coverage through the NFIP is usually the most affordable way to get business flood insurance. A knowledgeable insurance agent can check whether a business’ property is in a qualifying region.

What Sorts of Incidents Are Covered by Business Flood Insurance?

Most business flood policies cover a range of abnormal water patterns. Depending on a particular policy’s terms and conditions, this might include rising waters, atypical waves, mudslides, mudflows and other incidents.

Can Businesses Use Disaster Relief Funds to Recover from a Flood?

When disaster relief funds are made available following a flood, businesses may be able to use them to pay for necessary repairs and restorations. Businesses that rely only on these funds and choose to forgo traditional insurance, however, are leaving themselves exposed to risk in two ways.

First, many floods cause substantial damage but are never declared to be a national emergency by the President. Without the formal declaration of a national emergency, these funds aren’t made available.

Second, disaster relief funds aren’t given as free money even when they are made available. The funds are normally given out as interest-free loans. The interest-free funds may be helpful, but they’re still given in the form of a loan that must eventually be repaid.

For these reasons, disaster relief funds generally shouldn’t be seen as a substitute for traditional commercial flood coverage.

Is Commercial Flood Coverage Available to Businesses that Lease Their Space?

Businesses that lease space rather than own a building frequently still have substantial assets to protect. For example, they may have expensive equipment, supplies and/or inventory that needs to be insured.

Many insurance companies offer commercial flood coverage that can be adjusted to provide the protections that these businesses need but not insure a building. This lets businesses that lease space get the coverage they need without paying for unnecessary protections.

How Can Businesses in New Hampshire Get Commercial Flood Insurance?

For help finding a commercial flood policy that’s well-suited to your New Hampshire business’ needs, contact HPM Insurance. Our independent insurance agents are able to show you commercial flood insurance options from multiple insurers, so you can select the best available option no matter what company offers it.