How will your business be affected if you are not insured for flood damage?
Flooding in the UK is becoming more and more common. Work is being done to understand why flooding has increased and how to prevent it, but until a solution is found more homes and businesses will continue to be affected.
As the cost of flood damage keeps increasing year on year, insurance premiums keep rising. This is causing many businesses and homeowners to take risks with their insurance.
Many businesses are underinsured for flood damage in a bid to reduce their costs. Unfortunately the cost will be far greater if the worst happens and your business floods.
How does flooding affect businesses?
If a property is damaged by flooding then the building may have to be evacuated whilst the property is dried and reinstated. Businesses such as restaurants and retailers will inevitably lose a lot of trade during this time. Even those in office environments will have the cost of relocating and the inconvenience of being displaced.
There’s also the loss of assets to consider. Stock, computer equipment, carpets, furniture and many other items can be lost as a result of flooding. The cost of replacing these can be high and if your insurance does not cover you then it could result in severe financial losses to your business.
There are also the wider effects of flooding. Road closures surrounding your business could prevent staff and customers getting in and your deliveries getting out.
Why have insurance?
Having the correct level insurance will ensure that you minimise damage to your business. There may still be inconveniences to your business but the costs will be covered and you’ll be able to get your business back on track much faster.
When choosing your insurance cover you should really take your time to decide what level of cover is appropriate. This will depend on the amount of stock you hold onsite and the cost of replacing all the equipment, fixtures and fittings.
You also need to consider insurance on company vehicles. Would they be covered if they were damaged by flood? What about items external to the property such as outdoor furniture? Are you covered for flood damage to server equipment resulting in loss of data?
How to protect against flooding
Ensuring that you protect your business is vital. Whilst hopefully you won’t be affected by flooding, it is always worth taking precautions and being prepared. The easiest way to do this is ensuring you have adequate insurance but there are other things you can do too.
Asses the risk to your business and whether there is any preventative actions you can take. If you are in a flood risk area then keep stock stored on higher floors rather than in basements or on ground level.
Sign up for flood alerts and put a plan in place for when these occur. This could include relocating computer equipment, wrapping furniture or equipment in water tight plastic, putting sandbags around the property or other such preventative measures.
Make a plan for if you have to evacuate your premises. Could your employees work from home, another site or temporary premises? How would you advise your clients quickly and reassure them that you could still fulfil their needs?
Arxell and flooding
At Arxell we believe that protecting homes and businesses against flooding is the key to reducing the devastating effects. However, it is not always possible to prevent damage and unfortunately many properties are affected each year.
That’s where we come in. Whilst we can’t stop properties from flooding, we can reduce the time it takes to restore them after a flood. Our drying system significantly reduces the length of time it takes to dry out a flood damaged property. This in turn speeds up the restoration which allows businesses to get back in their properties sooner reducing the costs for everyone.
If you would like more information on how the Arxell Drying System is revolutionising the flood drying industry then get in touch.