Flood Damage 101 for Commercial Property Tenants

10/16/2018 (Permalink)

Flooded Apartment Building in Watertown, NY

Severe storms and flooding in Watertown, NY, can cause massive damage to commercial properties. As a tenant, you may feel confused and helpless in the aftermath of a flood that has wreaked havoc on your place of business. Should you ever have to go through the highly unfortunate situation of dealing with severe commercial property flood damage, you likely already know you need to reach out to your renter’s insurance provider.

There are three more steps you should immediately take:

1. Call your landlord or property management company to inform them of the situation.
2. Start tracking the expenses you incur during this time. Your insurance may possibly reimburse some of these costs.
3. If it is deemed safe by the authorities to enter the property, take pictures of each room and make notes about the extent of damage incurred.

Who Covers What?

Commercial flood damage can feel overwhelming. When you are a tenant, you may not know off the top of your head who should be responsible for covering what. Unless your lease specifies otherwise, structural damage is typically covered by the property owner’s insurance coverage, while the contents of the property are usually covered by the tenant’s renter’s insurance policy.

It may not be possible to continue operating your business after it floods. You will need to determine whether it is better to shift into a new, temporary space during cleanup, or put everything on pause until you are able to move back in. Check with your insurance agent to see if any of these costs are covered.

Moving Forward

When you file a claim with your insurance company, they will likely send out an adjuster to determine the extent of damage done to the interior and exterior of your commercial property. You’ll also want to ensure a professional cleanup crew in Watertown, NY, is called in to clean up, dry out and sanitize the area, as well as uncover any hidden areas of flood damage.

Flooding is no fun. However, if you follow these steps, you can simplify the process and utilize your renter's insurance to guarantee a quick, smooth return to business as usual.