Storm damage insurance: advice from Phoenix

Written on the 13 February 2018

The cost of recent storms to businesses in Broome is difficult to quantify, but easy to see it's an enormous burden to the individual operator.  From loss of trading to dealing with the aftermath - it's a long winded process which can be months in the process and cause irrepairable financial burden.

Local insurance agency Phoenix Insurance has some advice to share for anyone not wanting to get caught out again in the future.

Manager of the Broome insurance branch Clare Smith explains, "Some businesses aren't even aware that they could claim for lost income due to storm damage to them or their suppliers which causes an inability to receive stock due to damage to roads." 

Business Interruption insurance under a business policy will cover a number of insured events which result in a loss of income. A brief overview of some of these events are:
 

• Cyclone damage
• Storm damage
• Closure by a public authority due to illnesses, bomb threat, infectious diseases, shark or crocodile attack
• Prevention of access to your premises
• Damage to a suppliers/customers premises
• Damage to roads, bridges and railway lines
• Damage to utilities

• Moving to an alternative premises to continue trading
• Advertising

Clare says, "Of particular benefit at this moment may be the loss of income due to damage to roads. If the damage to the roads is caused by an insurable event which then prevents your stock or raw materials being conveyed and you suffer an interruption to your business then you can claim the loss of income (including any trends) for this incident."
 
Each policy will have its own excess period (generally 12-24 hours), exclusions and conditions and this will need to be taken into account to determine the correct coverage required for the business.
 
For further information contact: 

Clare Smith | Manager / Senior Broker | Phoenix Insurance Brokers
91936814 | csmith@phoenixins.com.au

Note: The above is general advice and does not take into account your specific circumstances.