Assured Risk Cover, a provider of parametric hurricane insurance, launched a commercial insurance policy for small businesses in Florida under the StormPeace name. The policy contains all the features of the StormPeace residential policy, plus business interruption coverage with or without physical damage.
According to Alok Jha, CEO of Assured Risk Cover, the new commercial product protects businesses from loss of income after a hurricane even if their building isn’t damaged.
“Business owners told us one of their biggest concerns is loss of revenue so we added business interruption that automatically kicks in whether or not there’s physical damage,” he said.
Just like its residential policy, StormPeace commercial insurance promptly pays the policyholder an amount calculated on two factors: the strength of a named hurricane, and the storm’s distance from the insured’s address. Payments are promised within 24 to 72 hours and can be applied to virtually any hurricane-related expense, including:
- Replacement of lost income, with or without property damage
- Power restoration
- Data recovery and records restoration
- Transportation costs – e.g. fuel and maintenance
- Paying employees and contractors
Business owners can also use their StormPeace payout to cover the deductible on their property policy. Coverage up to $60,000 or the hurricane deductible, whichever is lower, is available and premiums are based on the coverage and insured’s address. Any business is eligible for coverage, up to the current $60,000 limit offered.
The StormPeace claims money can be used for a wide range of hurricane-related losses and it does not matter how the loss was caused (e.g. by wind, flying debris, water, rain, storm surge or mold from water), so long as the triggers for claims payment are met.
Assured Risk Cover (ARC) is a venture-backed Silicon Valley corporation based in Pleasanton, Calif. Coverage is backed by Topa Insurance Co. and a global reinsurer rated A+ by A.M. Best.
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