Commercial Flood Insurance

Flooding has caused unprecedented damage and stress to business owners across the country in recent years. Businesses in high-risk areas have been denied commercial flood insurance in the past, leaving them vulnerable to a situation out of their control in the event that flood risk insurance is required.

We are proud to offer a completely new type of flood insurance, which is only provided by a small number of flood risk insurance brokers.

What is commercial flood insurance?

Commercial flood insurance provides your business with a payout that can be used in the event of serious flooding, which impacts property, interrupts trading, or damages contents.

Many small and medium-sized companies have struggled to obtain the flood insurance coverage they desperately need because they are located on floodplains or have flooded in the past.

We think this is unfair and recognise the importance of British Insurance Brokers’ Association (BIBA) in developing a transformative commercial flood insurance scheme. We believe business and property owners should be able to buy flood insurance that is risk assessed for their individual needs, wherever they are located.

Why do I need business flood insurance?

Sutcliffe & Co, have also lived through Worcester’s flooding, so we understand the importance of specialist commercial flood insurance during such a difficult and worrying time.

Despite substantial government funding for flood defences, worth £2.6 billion by 2021, businesses and properties are experiencing ever-more damaging flooding as a result of climate change. We know that business owners and landlords can’t simply wait for infrastructure projects to be in place to protect their properties. They need insurance with flood cover in light of this specific risk they face.

How climate change has affected flood insurance coverage

Climate change has significantly impacted insurance with flood cover. The increased frequency and severity of floods due to changing weather patterns have led to higher demand for flood insurance coverage. 

Commercial flood insurance brokers have adjusted underwriting practices and pricing models to reflect the heightened risk. Innovative solutions, including risk assessment tools and advanced modeling, have emerged. Governments are allocating funds for flood defences and implementing regulations which aim to provide accurate pricing, improved flood insurance coverage, and faster claims processes. Climate change necessitates ongoing adaptation and innovation within the flood risk insurance industry to ensure businesses and property owners are adequately protected.

Who can benefit from commercial flood insurance?

Traditionally, commercial flood insurance for businesses or landlords has meant expensive premiums, prohibitively high excesses and a lot of paperwork and evidence to submit a claim. For businesses in areas at risk from coastal or river flooding, it may be impossible to get commercial flood insurance at all.

It is time for a commercial flood insurance revolution and Sutcliffe & Co Insurance Brokers has the answer. We are one of only a handful of insurance brokers across the country that has access to a completely new type of commercial flood insurance: one that removes the uncertainty and time usually associated with traditional commercial flood insurance. This is authorised and regulated through BIBA.

This specialist insurance is designed to help small and medium businesses in high flood risk areas and has been developed in association with DEFRA who have created a useful guide.

Benefits of commercial flood insurance with Sutcliffe & Co

Our business flood insurance offers an innovative combination of technology and simplicity. The cover is based on a straightforward set of steps, agreed with you in order to achieve the perfect cover for your business or rental
property:

• Depth – you select the depth of water that would cause flood damage
• Payout – you select the amount of money you would receive if the water reaches the agreed depth
• Sensor – an electronic sensor is installed on the outside of your building (it looks like a drainpipe so shouldn’t cause any aesthetic impact)
• Trigger – if flood water reaches the selected ‘trigger’ depth, the sensor transmits a message and payment is arranged

We are proud to offer this essential flood risk insurance, which is based on a pre-agreed target depth of floodwater. That means there is no need for customers to spend hours answering questions and going through policy documents. You get the protection you need immediately – avoiding the panic, delays, and paperwork that have accompanied commercial flood insurance claims in the past.

What does commercial flood insurance cover?

Our flood risk insurance payout does not come with conditions – you can use it for any purpose, including:

• Covering losses from business interruption
• Replacing damaged stock
• Costs from damaged crops
• Pitch reseeding
• Repair costs

The premium can be tweaked by adjusting the ‘trigger’ depths and payment amount – and there can be 5 trigger depths, giving further payouts if the flood level rises.

Unlike other insurance policies, there isn’t the issue of ‘dual insurance’. This means businesses and landlords can buy flood insurance coverage in addition to an existing building insurance policy, perhaps to help with the large excess.

Alternatively, this could be used to replace the flood element of your company’s business insurance cover and significantly reduce the overall premium.

What can I do to protect my business from flooding?

Along with the right commercial flood insurance broker, there are plenty of practical steps you can take to protect your property:

• Sign up for the Environment Agency’s Floodline Warning Direct service
• Create a business or rental property flood plan, including:
  • measures to stop water getting into the building, such as flood boards or air-brick covers
  • measures to limit the damage caused by floodwater, including cleaning floors and contents
• Arrange for an independent flood specialist to carry out a risk assessment

We know that our customers rely on having the right protection in place so that when the worst happens, their business is protected. Our insurance with flood cover can be tailored to the specific needs of each individual business so that owners can experience the reassurance that commercial flood insurance can offer.

We can help advise on how our commercial flood insurance could help you and your business. Give our team a call on 01905 21681 or contact us.