Keep Your Business Afloat During Florida Hurricane Season and Beyond

Did You Know?: At least 25% of businesses forced to shut their doors after a natural disaster never manage to reopen.

It’s a staggering statistic that hits close to home for many of us in the Sunshine State. As resilient Floridians, we’re well aware of the challenges presented by severe storms and hurricanes that accompany life in our subtropical paradise. Countless Floridians can attest to the firsthand experience of taking action to secure their storefronts with boarded-up windows, while anxiously bracing themselves for the relentless onslaught of torrential rains and powerful winds during hurricane season. There is good news, however! With proactive preparation, our businesses can not only weather the storm but flourish amidst adversity. That’s where commercial flood insurance emerges as a game changer for Florida’s business owners. By securing tailored coverage, businesses can fortify their foundations, safeguard assets, and gain the financial support needed to emerge stronger than ever, no matter what the forecast predicts.

Flood Warning

Key Takeaways:

  • Commercial flood insurance is essential for businesses operating in Florida due to the high risk of flooding throughout the state.
  • Standard commercial insurance policies typically do not cover flood-related damages, making specific flood insurance coverage necessary.
  • Floods are the most frequent and costly natural disasters in the United States, making commercial flood insurance a crucial safeguard for businesses.
  • Commercial flood insurance provides coverage for property damage, inventory loss, and business interruption caused by flooding.
  • It is important to evaluate the flood risk specific to your business location and obtain adequate coverage to mitigate potential financial risks.
  • Working with an experienced insurance provider can help businesses navigate the complexities of commercial flood insurance and ensure they have the right protection in place.

Got Questions? Give Us a Call! 

Get a Free Commercial Flood Insurance Quote anywhere Today!

Whether you’re ready to get a personalized quote for your business flood insurance or simply have questions about your coverage, our team at People’s First Insurance is here to help. No matter where you are in your insurance journey, feel free to reach out to us for expert guidance and assistance tailored to your company’s unique needs.

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Is Your Business Protected Against Flooding?

Many business owners assume that their commercial property insurance provides adequate protection against flooding, only to discover that their policies fall short. The truth is, many commercial property insurance policies do not include coverage for flood-related damages, leaving businesses vulnerable to substantial financial losses. Even if a business has obtained flood coverage, it’s essential to assess whether the level of coverage truly aligns with the associated risks. Insufficient coverage can leave a business exposed to significant gaps in protection, hindering its ability to recover from flood-related damages and resume operations smoothly. To ensure your Florida business is adequately safeguarded, it’s crucial to review your insurance policy and work with a knowledgeable insurance provider who can tailor coverage to your specific flood risk and business requirements. Don’t assume you’re protected—take proactive steps to secure the right coverage and protect your business against the potentially devastating effects of flooding.

Does Your Business Need Flood Insurance? Determining Your Risks.

While commercial flood insurance may not be a legal requirement for all businesses in Florida, it is a crucial consideration for every business owner. The fact is, all Florida businesses are at risk of flooding, regardless of their proximity to bodies of water. The state’s unique geographic characteristics and frequent severe weather events make it highly susceptible to flooding, no matter where you are. Without adequate insurance coverage, businesses face significant financial vulnerabilities in the event of a flood-related disaster. Even a minor flood can result in substantial property damage, inventory loss, and business interruption, impacting revenue and jeopardizing the long-term viability of the business. By investing in commercial flood insurance, business owners can proactively protect their assets and secure the financial stability necessary to navigate and recover from the potential impacts of flooding. Don’t wait until it’s too late—assess the risks your business faces and consult with an experienced insurance provider to determine the level of flood coverage that best suits your specific needs.

Find out your business’ flood risk by checking FEMA’s map:

How Much Does Flood Insurance Cost in Florida?

Of course, the cost of flood insurance is at the front of business owners’ minds when they are shopping for the right policy, as incurring more expenses can impact a business’s success. Business Flood Insurance policies aren’t a one-size-fits-all solution which means that the cost tends to vary quite a bit based on factors such as flood risk and coverage needs.

Factors that determine a commercial flood insurance policy’s cost include:

  • Your property’s flood risk: The flood zone in which your property is located plays a significant role in determining the premium. Areas with higher flood risk will generally have higher premiums, while those with lower flood risk will have lower premiums.
  • Amount of coverage needed: The level of coverage you choose for your property and assets directly affects the cost. Higher coverage limits will result in higher premiums, while lower coverage limits may lead to lower premiums.
  • Building characteristics: Factors such as the type of building structure, the age of the building, and any existing flood mitigation measures can influence the cost of the policy.
  • Deductible amount: The deductible is the portion of the claim that the insured must pay out of pocket before the insurance coverage kicks in. Typically, higher deductibles can lead to lower premiums, while lower deductibles may result in higher premiums.

It’s important to carefully assess your business’s specific flood risk and coverage needs in order to strike the right balance between protection and cost.

What Does Commercial Flood Insurance Cover?

Essentially, Florida Commercial Flood Insurance cushions the impact that flooding can have on your brick-and-mortar location, business operations, and business assets. There are two types of coverage options to choose from or you can purchase a comprehensive policy that includes both for enhanced peace of mind.

Building Coverage

Building coverage provides vital protection for the physical structure of your business, ensuring that in the face of a flood, your foundation, walls, flooring, and other crucial components are covered. This coverage generally includes:

  • Physical structure: This coverage helps with the repair, reconstruction, or replacement of the building’s structure, including its foundation, walls, flooring, and electrical and plumbing systems.
  • HVAC systems: Flood insurance may cover the repair or replacement of heating, ventilation, and air conditioning (HVAC) systems damaged by flooding.
  • Permanent fixtures: This coverage extends to permanent fixtures within the building, such as built-in cabinets, countertops, and appliances.
  • Utilities and service equipment: This coverage includes the repair or replacement of essential utilities and service equipment, such as electrical panels, wiring, and plumbing systems.
  • Improvements and additions: Flood insurance can help with the repair or replacement of improvements and additions made to the building, such as renovations or expansions.

Contents Coverage

Your company is more than a storefront or an office space and that’s where contents coverage comes in, protecting more than just the space where business happens. From tools to merchandise, this coverage provides comprehensive protection, allowing your business to swiftly recover and thrive in the aftermath of a flood. Contents protection generally includes the following:

  • Business inventory: This covers the replacement or repair of damaged inventory, including merchandise, raw materials, and finished products.
  • Furniture and fixtures: This includes office furniture, shelving, equipment, machinery, and other fixtures that are damaged by flooding.
  • Business equipment: This Coverage extends to the repair or replacement of essential equipment, such as computers, printers, machinery, and specialized tools.
  • Electronic data and records: Flood insurance may provide coverage for the restoration or recovery of electronic data, including databases, customer records, financial documents, and other important files.

What does Florida Commercial Insurance Not Cover?

While commercial flood insurance offers crucial protection, it’s important to note that there are certain items and damages typically not covered by standard policies. These may include:

  • Damage caused by sewer backup or water seepage that is not a direct result of a flood event.
  • Business interruption losses or extra expenses incurred due to flood-related closures.
  • Landscaping
  • outdoor property
  • exterior structures like fences, decks, walkways, and retaining walls
  • underground structures
  • Vehicles
  • Financial losses due to interruption of utilities or services.

It’s essential to review your policy details and consult with your insurance provider to understand the specific coverage limitations and consider additional coverage options if needed.

Protect Your Business Within Your Budget with Help From Peoples First

In a state prone to unpredictable weather, the threat of flooding and severe storms looms large. With the increasing number of named hurricanes in the past few years, it is evident that dangerous weather can strike at any moment. That’s why it is crucial for business owners to consider commercial flood insurance sooner rather than later. If you’re considering waiting until a pattern of heavy rain is forecast to purchase flood insurance, you need to know that there may be a waiting period of up to 30 days before your purchased coverage takes effect. Don’t wait until the next hurricane Andrew, Irma, or Michael, takes you by surprise to consider getting comprehensive protection. By taking the necessary steps to protect your business with commercial flood insurance, you can safeguard your valuable assets, mitigate potential financial losses, and ensure the continuity of your operations, no matter what challenges lie ahead.


When is commercial flood insurance required?

Commercial flood insurance is not generally not required in Florida. However, if your commercial property is situated in a high-risk flood area designated by FEMA and you have a mortgage from a federally regulated or insured lender, it is mandatory to obtain a flood insurance policy. Lenders impose this requirement to protect their investment and mitigate the potential financial losses that may arise from flood damage.

What companies sell commercial flood insurance?

Numerous companies offer flood insurance policies backed by the federally managed National Flood Insurance Program (NFIP). In addition to NFIP coverage, there are also some private flood insurance options provided by companies like Chubb, Neptune Flood, and Aon Edge. These private policies are not backed by the federal government but offer alternative choices for obtaining flood insurance coverage.

How long is the policy period for NFIP flood insurance?

NFIP flood insurance policies have a one-year term. After the initial policy period, businesses have the flexibility to renew their coverage annually to ensure continuous protection against flood-related risks.

How do I get a quote for flood insurance for businesses online?

You can get your free flood insurance quote online by navigating to our Quotes Center. You will be prompted to fill out a form with information that will help us compare policies to find the best fit for you! You can expect a People First Insurance agent to reach out to you to discuss the best coverage options to fit your needs and budget.

Can a business get flood insurance if they rent the building?

Yes! Even if a business rents its building, it can still obtain flood insurance. While the building owner may have their own flood insurance for the structure, businesses can secure contents coverage to protect their valuable assets, equipment, inventory, and other belongings within the rented space.

How does a small business get flood insurance?

Small businesses can obtain flood insurance by consulting with insurance agents who specialize in commercial insurance. These professionals can guide businesses through the process, assess their specific needs, discuss budgets, recommend suitable coverage options, and assist in obtaining the appropriate flood insurance for their small business.

Does FEMA offer flood insurance for business buildings and content insurance for businesses?

Yes. FEMA, through the NFIP, offers flood insurance coverage for business buildings. Additionally, NFIP policies may also include contents coverage, providing comprehensive protection for businesses by covering both the physical structure and the contents within the business premises. It is recommended that businesses consult with insurance agents or brokers to determine the most suitable coverage options for their specific needs.