Top Things Business Owners Should Know About Hurricanes

Top Things Business Owners Should Know About Hurricanes

WASHINGTON (July 7, 2020) – This year's hurricane season began in June. Forecasters predict this season will be more severe than average. Hurricanes can take a huge toll on small businesses if owners aren't prepared. Here are a few facts small business owners should know to protect themselves and recover faster after a flood. 

  • About 40 percent of businesses never reopen after a flood – usually because they were uninsured and can't financially recover. 
  • Just like homeowners, business owners can buy flood insurance. They do not have to be located in a flood plain to buy a policy.
  • There is typically a 30 day waiting period before a flood insurance policy takes effect. 
  • According to FEMA, flooding occurs more than any other natural disaster. 
  • Flooded businesses can get federal funding from the Small Business Administration for recovery in the form of loans. 
  • It's important to have disaster provisions at the workplace, along with evacuation maps, and a working radio to hear instructions from local authorities. 
  • Be sure to back up all personal and company data on a regular basis to help ensure you are prepared in case information is lost during a disaster. Keep a copy of your organization's flood insurance policy. If a disaster strikes your business, contact your insurance agent immediately and ask what information is needed to file a claim.
  • Visit for more information about flood insurance.

About the NAIC

As part of our state-based system of insurance regulation in the United States, the National Association of Insurance Commissioners (NAIC) provides expertise, data, and analysis for insurance commissioners to effectively regulate the industry and protect consumers. The U.S. standard-setting organization is governed by the chief insurance regulators from the 50 states, the District of Columbia and five U.S. territories. Through the NAIC, state insurance regulators establish standards and best practices, conduct peer reviews, and coordinate regulatory oversight. NAIC staff supports these efforts and represents the collective views of state regulators domestically and internationally. For more information, visit

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