Is Your Commercial Property Protected Against Natural Disasters?

California has been reeling under the effects of global warming. Over the last few years, we have seen an increase in natural disasters like floods, earthquakes and forest fires. It has cost the state billions of dollars and people have lost their lives, homes, and livelihood. It has taken a toll on small businesses as well. It isn’t easy to recover from the after-effects of a natural disaster without insurance.

Most people check a variety of boxes when it comes to personal insurance. They ensure their homes, cars, jewelry, and even their antiques. But, when it comes to their small business, they favor commercial business insurance. This may offer protection against general liability claims but does it cover physical losses that occur due to the effects of a natural disaster? No, it doesn’t.

Why Does a Small Business Need Commercial Property Insurance?

Most small business owners prefer taking minimal insurance for their property, especially if it is leased and if their lease contract specifically demands it. But, consider this! If you don’t get adequate cover for your commercial property, you may get next to nothing if disaster strikes. The money won’t be enough to help you rebuild your business.

After Effects of a Natural Disaster on a Small Business

  You will have no space to conduct your business

•  All the orders that you have taken will remain unfulfilled

•  If you have a warehouse, you could lose millions if the goods get damaged

• You could lose all the data related to your business including client communications, contracts, orders, etc. leading to irreparable loss.

How Do You Recoup?

It will be difficult to get back on your feet after a blow like this without financial help. You will need to renovate your space and refurnish it. You may have to refund clients if you can’t deliver the goods that they ordered. You may not be able to get your office space and your business functional for months. If you had been covered for such an eventuality, the insurance could have eased the financial burden to a great extent.

What Should You Look for in Commercial Property Insurance?

When you go through the commercial property insurance policy, you need to ask the right questions! Does it cover all of your property? What kind of cover does it provide if your small business is affected by a natural disaster? Does the commercial property insurance cover damages done to interiors and electronic equipment? Would it cover loss of goods?

You need to find a good insurance company or an insurance agent who is knowledgeable and will answer your questions patiently. They should be able to explain what the policy offers and make sure that whatever you need is covered. Visit or call 650-328-1000 to speak to one of our experienced insurance agents to find out what kind of cover would work best for you.


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