Weather-based insurance has evolved over the years to provide financial protection against loss and damages caused due to unforeseen climatic conditions.
Now that the winter is approaching, it is the right time to acknowledge the risks your personal and professional assets are prone to and take appropriate actions to secure them with adequate insurance coverage.
Pervasive Risks Due to Changing Weather Conditions
About 20% of the US economy is directly affected by weather events, impacting the revenues and profitability of almost every industry.
Weather-related insurance coverages majorly fall under three categories, i.e., rain insurance, temperature insurance, and snow insurance. While fluctuation in the rainfall volume could lead to flood or drought, drastic changes in temperature, snowing, or ice damage can potentially pose a threat to human health and overall well-being.
Following are the three major claims that pop up in the insurance industry when it comes to weather-related damages.
Personal or commercial, major weather-related insurance claims are made to recover accidental losses. So, the latest insurance policies now account for potential geographic weather risks, such as flood, storm, ice damage, and other collision or non-collision incidents, to provide optimal coverage.
Before you opt for any personal or commercial insurance, you should discuss these weather-related risks in your area with your insurance provider. You don’t want to invest your money in insurance only to realize later that it wasn’t enough to cover your losses.
2. Medical Emergencies
Accidents are most likely associated with medical emergencies, and you don’t want to overlook that while finalizing weather-related insurance coverage.
Having adequate medical assistance in the situation of weather-related threats is a prerequisite to avoid any loss. Although most insurance policies do provide adequate medical coverage in addition to asset recovery, you should still have a clear discussion with your insurance provider beforehand.
3. Natural Calamities
The risk of natural calamities in different seasons varies but remains probable. While the summer season has its own drawbacks, winters bring potential threats of heavy snow, winter storms, avalanche, ice damage, etc.
If we look at the data from the last ten years, an average of 24 people die every year due to avalanches.
Flood is another natural calamity that people least expect in the winter season, but with fluctuation in temperature recorded in recent years, it has become more probable. It can lead to potential damage to both personal and commercial business property.
How Does It Affect Your Insurance?
The parameters defining the efficacy of an insurance policy change drastically when compared on the grounds of providing optimal coverage during adverse weather events. As a personal property owner, you must be conscious about on-premise issues you might face, like roof collapse, frozen pipes, power outages, etc.
On the commercial front, coverage like commercial auto insurance and commercial property insurance plays an important role. It is especially crucial for small businesses to plan their insurance around weather events because the losses might get heavy for them to bear, causing their businesses to even shut down.
Must-Have Personal vs Professional Insurance Covers
1. Auto Insurance
Whether you own a private vehicle or manage a commercial fleet, auto insurance is a must to protect your automobiles against unforeseen weather events.
There are policies that provide adequate coverage in both personal and commercial auto insurance. Although premiums for such policies vary depending upon the number of vehicles insured, you can discuss your needs with your insurance provider to shortlist the best-suited insurance policy.
2. Property Insurance
Property is one of the most valuable assets, whether it is personal or commercial. Providing adequate coverage to protect it against adverse weather events requires proper planning so that the losses don’t pound on you as a surprise.
While you can take precautions to avoid weather-related damages to your property, sometimes, it can become unavoidable. In such cases, you must take the help of your insurance provider to reap the maximum benefit with minimum insurance investment.
3. Health Insurance
As discussed earlier, adverse weather events can pose a significant threat to human health.
Having adequate coverage for medical emergencies is a prerequisite to protect yourself from potential loss. There are associated health insurance that many insurance providers cater to as a part of weather-based insurance coverage. You should discuss the same with your provider before opting for such policies.
Gonzalez Insurance Is Here to Help
Gonzalez insurance stands out in the market competition because we provide value to our customers. We ensure that our team of experts is always available to attend to all queries and even go the extra mile to provide insurance options and advice to our customers and not just focus on selling policies.
If you are looking for a partner and not just an insurance provider to help you out, you’re at the right place. Get a free quote to get started.