How can windstorm damage hurt a business?
Windstorm damage can occur during weather events like a severe thunderstorm or tropical storm. This damage can impact both the exterior and interior of a commercial property. It can cause significant damage such as roof collapse, broken windows, downed signage and even flooding from wind-driven rain.
The severity of wind damage depends on how vulnerable your property is — and how prepared you are.
Some key ways wind damage might affect your business include:
- Property damage. Roofs, windows, doors and signs can be destroyed or severely damaged, leading to costly repairs.
- Safety hazards. Wind damage may result in debris or broken structures that can cause physical injury to employees, customers or passersby.
- Inventory loss. Wind damage can lead to the destruction of stored goods or materials, leading to more financial losses.
- Business income interruption. It may take days or even weeks to get up and running if your building is damaged and operations are disrupted. During this time, you may lose revenue and customers.
All of these can add up to both tangible and intangible costs, from expenses for repairs to lost business opportunities.
What type of commercial insurance can cover wind damage?
Many small businesses find themselves unprepared — and underinsured — for natural disasters. According to recent NEXT research, nearly 40% of restaurant owners lack business insurance coverage for extreme weather.
Check that your insurance company offers the following windstorm insurance policies:
Commercial Property insurance
Commercial property insurance, sometimes known as hazard business insurance, is often the first coverage for help protecting your building, goods and gear. It can also cover the loss of revenue your business may experience after a covered event. This type of small business insurance could provide financial help — whether you’re a property owner or rent.
BOP insurance (Business Owner’s Policy)
A Business Owners’ Policy (also called BOP insurance) combines general liability insurance with commercial property coverage in a single policy.
General liability insurance is the most common general coverage for small businesses covering a wide range of risks — but it doesn’t protect against property damage to your own business. That’s where commercial property insurance comes in. Bundling these two policies together in a BOP can provide you with more business protection. And it’s often less expensive than purchasing each policy separately.
Commercial Auto insurance
If a business vehicle gets caught in a windstorm, commercial auto insurance may provide coverage for damages.
8 commercial wind damage protection tips
To help minimize the impact of windstorms and protect your business from significant damage, take proactive steps before, during and after a storm.
1. Create an emergency plan
Having an emergency plan in place can help you respond quickly and effectively during a windstorm.
- Develop a storm preparedness plan. Establish a step-by-step plan that covers everything from securing the building to notifying employees and customers of the storm’s impact.
- Stock emergency supplies. Keep essential supplies like flashlights, batteries, first aid kits and a portable power source on hand. Ensure employees know where these items are stored.
- Maintain a communication plan. Keep employees, customers and vendors informed. Set up an emergency contact system to communicate during and after the storm.
- Back up important data. In case of power loss, ensure your data is backed up regularly, ideally both on-site and off-site (like through cloud services), to prevent data loss.
2. Protect your employees and customers
Physical safety should be your top priority during a windstorm. Implement the following measures to help ensure your employees — and any customers who might be onsite — are protected:
- Create a safe workspace. Move people away from windows, doors and glass walls during high wind events. Create designated safe zones in your building where people can gather.
- Develop an emergency evacuation plan. Make sure all employees know evacuation routes, emergency exits and designated assembly points. Conduct regular drills so everyone is familiar with the procedure.
- Provide personal protective equipment (PPE). Ensure your employees have access to PPE like helmets or reflective vests for outdoor tasks if windstorms are expected to bring debris.
3. Review your insurance coverage
Ensure you’re adequately covered before the wind blows:
- Check your coverage. Review your insurance policies to ensure they include windstorm coverage. You may need to add a rider for wind coverage if you’re in a high-risk area.
- Increase your insurance coverage if necessary. If you’re in an area that frequently experiences high winds, you may want to increase your coverage limits to help you replace or repair your property if it’s damaged.
- Review exclusions: Some policies may exclude certain types of wind damage. Make sure you’re aware of any exclusions and take steps to add coverage when necessary.
4. Document your property
Up-to-date records and photos of the property’s condition can help speed up a claims process (if needed) and it can help you get the right coverage you need.
- Record your inventory. Good recordkeeping can be helpful if you need to file a claim for windstorm damage.
- Track relevant details. Take notes and save receipts to document the condition of your property. For example, if you install storm-proof windows, save the receipts from purchase and installation.
- Take photos and videos. In addition to written records, photos and videos can be really helpful to validate your claims. Be thorough in capturing relevant information both inside and outside your property.
5. Maintain your roof
Regular building inspection is a good place to start, but ongoing maintenance is also key. A well-maintained roof is your first line of defense against wind damage. To reduce the likelihood of roof damage:
- Inspect the roof. Check for loose or missing shingles, cracked tiles or signs of wear that could allow wind and water to cause damage. Do repairs as needed to help prevent issues during a storm.
- Trim trees around the roof. Overhanging branches can damage roofing materials or cause structural harm if they break off during high winds.
- Ensure proper drainage. Clogged gutters can lead to water buildup that could destroy your roof or walls. Clean gutters regularly to avoid blockage.
6. Fortify your building: Walls, doors, windows and drains
Strengthen your building’s physical features to help withstand the force of strong winds and other natural disasters:
- Check for cracks or structural issues. Inspect the foundation, walls and exterior for cracks or weaknesses that could be exacerbated by strong winds.
- Strengthen the walls. Check for weaknesses in your building’s structure and reinforce load-bearing walls or weak points.
- Examine doors. Look for signs of wear or damage that could make doors more susceptible to breakage.
- Reinforce windows. Install storm shutters, impact-resistant glass or plywood over windows to help prevent breakage and reduce the chance of water entering the building.
- Clear drains. Ensure that drains are clear and able to handle large amounts of water in case of wind-driven rain. Clogged drains can lead to water pooling around your foundation, causing structural damage.
7. Secure outside your property
Outdoor items such as signs, furniture or equipment can become dangerous projectiles in high winds. To help prevent this:
- Examine exterior structures. Make sure fences, gates and other exterior structures are securely fastened. You don’t want them knocked over by high winds to wreak havoc on your landscaping — or worse yet, become hazards.
- Bring in or secure loose items. Move outdoor items — such as chairs, tables or signs — inside the building or anchor them securely to prevent them from being tossed around.
- Store inventory in safe locations. If you store goods outside or have items in a storage shed, make sure they’re protected from the wind or move them indoors if possible.
8. Protect company vehicles
Vehicles on your property can also be damaged by windstorms, especially if they’re left exposed to flying debris. Here’s what to do:
- Park vehicles in a garage or shelter. If possible, park company vehicles in a protected area like a garage, under a canopy or away from large trees.
- Use tie-downs. For larger vehicles or equipment, use tie-downs or heavy-duty covers to secure them against wind damage.
- Consider comprehensive insurance. If your vehicles are damaged by wind or flying debris, commercial auto coverage may help cover the cost of repairs or replacement.
What to do after a windstorm — filing a business insurance claim
If wind strikes and your property has suffered damage, you’ll want to repair and resume regular business operations as quickly as possible. Here’s what to do:
- Assess the damage: After a storm, it’s crucial to fully review the extent of the damage, both inside and outside your business.
- Document your loss. Take notes, record names and contact information for everyone who was a witness to the incident, and document the damage with photos and videos.
- Contact the authorities. If there’s any potential threat to public safety in the aftermath of the windstorm, reach out to local law enforcement to inform them of potential hazards and get help.
- Secure the scene. Take steps to prevent further damage. For example, if some of your property has blown away, you can retrieve it. Board up broken windows or patch a leaking roof (only, of course, if it’s safe to do so). The goal is to minimize additional harm. Make sure to keep receipts for any temporary repairs.
- File an insurance claim. If you’re a policyholder, notify your insurance company as soon as possible. Be an active partner with your insurance carrier, and provide them with all requested information. Your claims advocate will guide you through the claims process and help you understand what comes next.
