Commercial Flood Insurance

Protect your Business from Flood Losses

Protect Your Business from Losses due to Floods!

Commercial flood insurance is the best way to protect your business from devastating losses due to floods. A commercial flood insurance policy will protect both the building your business is located in and the physical contents.

How does a Commercial Flood Insurance Policy Work?

Flood insurance is subsidized by the federal government for homes and businesses in flood prone areas. It is provided through the National Flood Insurance Program (NFIP) which is managed by the Federal Emergency Management Agency (FEMA). Rates are set by the federal government and do not differ from company to company or agency to agency. If your business is in South Louisiana, it is likely located in either a high-risk or moderate to low-risk area (flood zone) and flood insurance premiums vary accordingly. An Alliance Commercial Insurance Specialist can help calculate the flood risk for your business and determine the premium for your specific property.

Can I Purchase Flood Insurance Directly from the Government?

No. You cannot buy flood insurance directly from the federal government for your home or your business. Flood insurance can only be purchased through an insurance agency such as Alliance Insurance Agency Services, Inc.

Doesn’t My Commercial Property Insurance Cover Flooding?

Probably not. Most commercial property insurance policies do not include coverage from flooding unless the flooding is a result of an internal event such as clogged drains or leaking water heaters. If you have a business in the New Orleans area or anywhere in Southeast Louisiana you should seriously consider adding a commercial flood insurance policy.

What Businesses are Required to have Flood Insurance?

Businesses with mortgages from federally regulated or insured lenders in high-risk flood areas are required to have flood insurance. While flood insurance is not federally required if you live in a moderate to low-risk flood area, it is still available and strongly recommended. Private lenders may require flood insurance on mortgaged properties in flood zones.

What Flood Zone is My Business Located In?

The FEMA Flood Map Service Center is the official public source for flood hazard information. It is produced in support of the National Flood Insurance Program (NFIP). Visit the official FEMA Flood Map Service Center. Just enter your business address for your official flood zone information.

Can’t I Wait and Get Flood Insurance Right Before a Storm?

No! There is typically a 30 day waiting period from date of purchase before your policy goes into effect. Do not wait until it’s too late to buy flood insurance!

How Much Coverage Is Available for My Business?

Commercial flood insurance coverage gives you up to $500,000 of insurance to protect your building and up to $500,000 to protect its contents.

What Does Commercial Flood Insurance Cover?

A commercial flood insurance policy is designed to protect your business if you sustain damage from floodwaters. This includes protection for your business’ building property such as floors, walls, ceilings, plumbing and electrical systems and the contents such as equipment, inventory, fixtures and furniture. Flood damage must be a direct result of flooding. For example, damage caused by a sewer backup is not covered by flood insurance unless it’s a direct result of flooding.

NOTE: Refer to your commercial flood insurance policy or consult your Alliance Commercial Insurance Specialist for an exact list of what is and what is not covered!

Building Property coverage includes:
• Insured building and its foundation
• Electrical and plumbing systems
• Water heaters
• Central air conditioning equipment, furnaces and ventilating equipment
• Permanently installed carpeting over an unfinished floor
• Permanently installed paneling, wallboard, bookcases and cabinets
• Pumps and machinery for operating pumps
• Awnings and canopies
• Walk-in freezers
• Outdoor antennas and aerials attached to buildings
• Fire extinguishing apparatus and fire sprinkler systems

Personal Property (Contents) coverage includes:
• Machinery and equipment
• Merchandise held in storage or for sale
• Raw materials and in-process or finished goods
• Furniture and fixtures
• Electronic equipment and computers (not data or software)
• Portable and window air conditioners
• Portable microwave ovens and portable dishwashers
• Carpets or rugs not included in building coverage
• Clothes washers and dryers
• Food freezers (other than walk-ins which are covered under Building Property)
• The food in any freezer
• Certain valuable items such as original artwork (Limited to $2,500 in total)
• Non-licensed self-propelled vehicles if stored inside the insured building and used to service the described location (for example forklifts or tractors) or designed to assist a person with a disability
• Up to 10 percent of contents coverage to improvements made to a building the insured occupies as a tenant
• Other personal property owned by you and used in your business

Commercial Flood Insurance does Not Cover:
• Damage caused by moisture, mildew, or mold that could have been avoided by the property owner
• Damage caused by sewer or drain backup unless there is a flood in the area that caused the backup
• Currency, precious metals and valuable papers such as stock certificates and business records
• Recorded data or computer software
• Property and belongings outside of a building, or in another structure, such as trees, plants, wells, septic
systems, walkways, decks, patios, fences and seawalls.
• Financial losses caused by business interruption or loss of use of insured property
• Most self-propelled vehicles such as cars and trucks including their parts.

Alliance Insurance Agency Services, Inc. provides flood insurance policies to businesses in New Orleans, Metairie, Kenner, the Westbank, the Northshore and throughout the entire New Orleans Metropolitan area. We also offer commercial flood insurance policies to businesses anywhere in the state of Louisiana.