Assured Risk Cover (ARC), a residential hurricane insurance start-up, has launched a new parametric commercial insurance policy for small businesses in Florida under its StormPeace brand name.
The new policy will contain all the features of the existing StormPeace residential policy, with the addition of business interruption coverage regardless of physical damage to property.
“With our new commercial product, businesses are protected from loss of income after a hurricane even if their building isn’t damaged,” says Alok Jha, Chief Executive Officer (CEO) of ARC.
“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.”
The StormPeace commercial insurance policy provides policyholders with coverage of up to £60,000 and calculates pay-outs based on both the strength of a named hurricane and the storm’s distance from the insured’s address.
ARC aims to provide payments within 24 to 72 hours and the policy covers a comprehensive range of hurricane-related expenses, including replacement of lost income, power restoration, data recovery and records restoration, transportation costs, paying employees and contractors, and coverage for the deductible on property policies.
Jha continued: “According to the Institute for Business and Home Safety, an estimated 25 percent of businesses don’t reopen after a major disaster. StormPeace should be part of every disaster plan because it pays instantly with a simple claims process, which helps a business get back on its feet faster.”
Kevin McCarty, a member of ARC’s Board of Advisors, added: “In my experience as Florida Insurance Commissioner I saw firsthand the impact of business interruption not being covered without physical damage under a traditional commercial policy, so I was pleased to see a product like StormPeace come along because it helps close the hurricane protection gap.”
“StormPeace has proven the effectiveness of parametric insurance for individuals and it has a logical application to business as well.”
