Floods affect your business? Know your insurance rights.
Floods affect your business? Know your insurance rights.
The recent Queensland floods have impacted thousands of businesses.
If you own a business that was flooded or affected by the floods,
it's important you know your insurance legal rights.
What does my insurance policy cover?
All insurance policies are different, and in particular, their
definitions of 'storm' and 'flood'. Generally, damage caused by a
storm, rain and wind, and local runoff from streets, gutters and
stormwater drains is covered in most farm insurance policies.
However, many business insurance policies exclude floods from
rivers, creeks, dams, lakes or reservoirs that cause damage.
Often business plant and equipment such as fittings, machines and
stock is identified in insurance policies when they are taken out.
Check your policy to see what's covered.
Some other types of insurance policies may cover losses arising
from the storm event such as motor vehicle insurance, life
insurance income protection insurance etc.
Many business insurance policies also have a business interruption
clause. This can relate to the goods and services you rely on to
run your business as well as the goods and services you sell. Your
policy may cover the interruption to your cash flow if your
business is affected, finding temporary staff, and costs involved
if a critical supplier is affected and can't meet your needs.
Print a copy of the business fact sheet.
The recent New South Wales floods have impacted thousands of
businesses. If you own a business that was flooded or affected by
the floods, it's important you know your insurance legal
rights.
What does my insurance policy cover?
All insurance policies are different, and in particular, their
definitions of 'storm' and 'flood'. Generally, damage caused by a
storm, rain and wind, and local runoff from streets, gutters and
stormwater drains is covered in most farm insurance policies.
However, many business insurance policies exclude floods from
rivers, creeks, dams, lakes or reservoirs that cause damage.
Often business plant and equipment such as fittings, machines
and stock is identified in insurance policies when they are taken
out. Check your policy to see what's covered.
Some other types of insurance policies may cover losses arising
from the floods such as motor vehicle insurance, life insurance,
income protection insurance etc.
Many business insurance policies also have a business
interruption clause. This can relate to the goods and services you
rely on to run your business as well as the goods and services you
sell. Your policy may cover the interruption to your cash flow if
your business is affected, finding temporary staff, and costs
involved if a critical supplier is affected and can't meet your
needs.
If an insurer or insurance broker advised you on the fixed price
cover amount and the amount did not cover all your losses, you may
have a claim against the insurer or broker for the shortfall.
Print the business fact
sheet.