Natural Disaster Insurance for Commercial Properties in NZ Earthquake, Flood & Fire Coverage
Get the right cover from top insurance companies
Or call us on 0800 374 691
WE WORK WITH TRUSTED A-RATED INSURANCE COMPANIES
Natural Disaster Protection NZ
Natural disaster insurance, It’s not exactly your everyday, run-of-the-mill insurance chat, is it? This isn't about a bit of accidental damage or a minor theft. We're diving into the heavy stuff – the kind of financial shield you need when Mother Nature decides to throw a real curveball. Think earthquakes, floods, those wild storms, and yes, even volcanic eruptions. Living in Aotearoa, with its stunning but sometimes shaky landscapes and unpredictable weather, means these aren't just abstract worries; they're genuine risks we need to face head-on
Why Gerrards?
5mins
Average time to complete our online application
20%
The savings generated a typical sees when switching to Gerrards
10+
A-rated commercial property insurance companies that we partner with
24/7
Support from a 5-star rated insurance broking team
Natural disaster cover for your commercial digs is a different beast entirely compared to what homeowners get with their residential properties. You’ve probably heard about the Natural Hazards Commission, right? Well, for commercial buildings, the NHC safety net isn’t there in the same way. That means commercial property owners have to navigate the private insurance market to get the comprehensive protection they need. And believe me, getting this wrong can be more than just a headache; it can seriously threaten your business continuity, your rental income, and the long-term value of your property. With climate change apparently dialling up the frequency and intensity of weather-related disasters, getting your natural disaster insurance sorted isn’t just smart – it’s becoming absolutely essential if you want to protect your hard-earned investments.
The kind of cover you can get, and what it costs, can vary wildly. It all depends on where your property is, what it’s made of, how old it is, what it’s used for, and any steps you’ve taken to make it safer. If your building is in a high-risk spot – say, near the Wellington fault line or in an area prone to flooding – you’re likely looking at a tougher insurance journey. The big shakes in Canterbury and Kaikōura really did shake up the insurance world too. Insurers are much stricter now, premiums can be higher for risky areas, and sometimes, getting full replacement cover for certain natural perils is a real challenge. Staying on top of these changes is key if you want the right protection without breaking the bank.
So, this guide? It’s all about demystifying natural disaster insurance for commercial property owners here in New Zealand. We’ll look at what’s available for earthquakes, floods, fires, and other curveballs nature might send our way. We’ll also touch on how insurance ties in with building codes and making your property more resilient. Think of it as your practical handbook for building a solid protection plan in our uniquely beautiful, but sometimes challenging, corner of the world.
Get An Insurance Quote Today
With same day turn around and access to 30+ different insurers, Gerrards are your small business insurance experts.
Understanding New Zealand’s Unique Natural Disaster Risks
You know, New Zealand’s spot on the globe and its geological makeup give us a natural disaster risk profile that’s pretty unique, especially for a developed nation. We’re right on the boundary of the Pacific and Australian tectonic plates – a bit of a hotspot, you could say! This means we get a lot of seismic action. We’re talking around 20,000 earthquakes recorded each year. Most are tiny, thankfully, just little rumbles we don’t even feel. But this tectonic tango doesn’t just mean earthquake risks; it also brings volcanic hazards into the picture, especially in the North Island’s Taupō Volcanic Zone. That whole stretch from White Island to Mount Ruapehu? It’s home to some of the world’s most active volcanoes.
Two ways to get covered
Speak to a Broker
Our country’s natural disaster landscape has several distinct risk zones you should be aware of:
- High Seismic Risk Areas: Think Wellington, Hawke’s Bay, and parts of Canterbury. These places are sitting right along major fault lines. Wellington, in particular, is in a tricky spot with multiple active faults nearby. If your commercial building is in one of these regions, you’re looking at tougher building code requirements and, generally, higher insurance premiums.
- Volcanic Risk Zones: Auckland’s volcanic field has about 53 volcanoes – quite the collection! And then there’s the central North Island’s Taupō Volcanic Zone, which poses significant eruption risks. Commercial properties here could face damage from ash fall, lava flows, and the earthquakes that often come with eruptions.
- Flood-Prone Regions: If your property is in a low-lying coastal area or near a river system, flood risks are on the rise. This is especially true for places like Northland, Bay of Plenty, and parts of Canterbury. And the word is, climate change is likely to make these risks even more intense in the coming years.
- Tsunami Risk Coastlines: Our eastern coastlines are most vulnerable to tsunamis, especially after big earthquakes in the Pacific or closer to home. If your commercial property is in a coastal business district, you’ll need to give this some special thought.
- Storm and Cyclone Paths: The northern parts of the country get more exposure to tropical cyclones, while the west coast often bears the brunt of severe winter storms. Building designs and insurance needs often reflect these regional weather patterns.
Get An Insurance Quote Today
With same day turn around and access to 30+ different insurers, Gerrards are your small business insurance experts.
History has shown us just how hard these disasters can hit commercial properties. The Canterbury earthquakes in 2010-2011 caused unbelievable damage to Christchurch’s commercial heart, with over 1,800 commercial buildings eventually demolished. And the 2016 Kaikōura earthquake? It significantly damaged commercial buildings in Wellington, even though the quake was centred over 150km away. It really brings home how far-reaching these major seismic events can be.
And then there’s climate change, which is already starting to redraw New Zealand’s natural disaster map. NIWA (that’s the National Institute of Water and Atmospheric Research) is projecting some pretty sobering stuff:
- More frequent and intense extreme rainfall events – so, bigger floods, more often.
- Rising sea levels, which are a direct threat to our coastal commercial zones.
- More severe drought conditions, which can mess with building foundations.
- Potentially more intense tropical storms making their way to New Zealand waters.
These aren’t just future worries; they’re evolving risks that mean commercial property owners need to keep a close eye on their natural disaster insurance strategies. Insurers are definitely adjusting how they look at things to deal with these changing hazard profiles, so you need to stay informed.
Earthquake Insurance for Commercial Buildings in New Zealand
Right, let’s drill down into what’s arguably the most critical natural disaster cover for any commercial property owner in New Zealand: earthquake insurance. Given our shaky ground, it’s an unavoidable exposure for every commercial building, though, of course, the level of risk changes a lot depending on the region, the soil your building sits on, and how it was built.
Here’s a really important point of difference: unlike your house, which gets a bit of cover through the Earthquake Commission (EQC), commercial properties are on their own. There’s no EQC safety net for commercial buildings. This means, as a commercial property owner, you’ve got to sort out your earthquake protection entirely through the private insurance market. This distinction has some pretty big implications.
Ethan Gerrard, who’s CEO at Gerrards, explains it well: “Commercial earthquake insurance operates quite differently from residential coverage. Without NHC first-layer protection, commercial owners need comprehensive private coverage with carefully considered sum insured values and appropriate sub-limits.” You need to be thorough.
So, what does a decent commercial earthquake policy usually cover? Here’s a rundown of the key components:
- Building Structural Coverage: This is for the main bones of your building – foundations, frames, walls, and roofing systems if they get damaged by a quake. Policies will usually specify if this is for “indemnity value” (which is the depreciated value, so what it’s worth now, considering its age and wear) or “replacement value” (the cost to rebuild it to the same size and standard as new). Big difference there!
- Non-Structural Element Protection: Think about things like ceilings, partition walls, electrical systems, and plumbing. These often cop a lot of damage even in moderate earthquakes, so you want them covered.
- Building Code Upgrade Coverage: This is a big one. If your building is damaged, you’ll likely have to repair it to meet current building code standards, not just how it was before. These upgrades can add a hefty 20-40% to your rebuilding costs, so having cover for this is vital.
- Consequential Damage Coverage: This is for the secondary damage that can happen because of an earthquake. For example, a fire that starts due to seismic activity, or water damage from pipes that burst during the shake.
- Business Interruption Extensions: If your business can’t operate because of earthquake damage, this can cover your lost income during the rebuilding period. And trust me, after a major quake, that period can be pretty extensive.
Now, if you’ve seismically strengthened your building, that can make a real difference to both whether you can get insurance and how much it costs. After the Canterbury quakes, insurers started looking much more closely at how buildings perform in an earthquake. Your building’s New Building Standard (NBS) rating directly influences your premiums:
- Buildings below 34% NBS (these are officially earthquake-prone): You might be looking at extremely high premiums, or insurers might limit the cover they’re willing to offer.
- Buildings between 34-67% NBS: You’ll probably face some extra loading on your premium, but you can usually still get coverage.
- Buildings above 67% NBS: Generally, you’ll get more favourable insurance terms.
- Buildings at 100% NBS or more: You could qualify for some significant premium discounts.
Get An Insurance Quote Today
With same day turn around and access to 30+ different insurers, Gerrards are your small business insurance experts.
One thing property owners really need to get their heads around is that earthquake insurance often comes with specific sublimits (caps on how much the insurer will pay for certain things) and deductibles (the amount you have to pay yourself before the insurance kicks in) that are different from your standard property insurance. Earthquake deductibles are usually a percentage of the sum insured – commonly 1-5% – rather than a fixed dollar amount. That can mean a pretty significant amount you’d have to find yourself if a major event happens.
And what about tsunamis? For coastal commercial properties, this needs specific thought. Usually, if a tsunami follows an earthquake and causes damage, it’s covered under the earthquake part of your policy. But, if a tsunami happens without an earthquake triggering it, that might be excluded or have limited cover. If your property is in a tsunami evacuation zone, you really need to check the fine print on your tsunami coverage.
The Canterbury earthquake experience taught us some hard but valuable lessons when it comes to commercial property earthquake insurance:
- The absolute importance of having accurate building valuations that truly reflect what it would cost to rebuild.
- The need for enough business interruption coverage, with indemnity periods that are long enough to see you through a lengthy recovery.
- The value of having really clear policy wording about demolition coverage and your options for rebuilding.
- The challenges that can come up when trying to prove building damage, especially for claims where the building is only partially damaged.
- The critical importance of having thorough documentation – photos, reports, everything – from before and after any seismic event.
If you own commercial properties in different parts of the country, your earthquake insurance should reflect those varied risk profiles. You might even need different coverage structures for your high-risk locations compared to those in lower-risk areas.
Flood Protection for Commercial Properties in New Zealand
Alright, earthquakes are a biggie, but let’s not forget another growing headache for New Zealand commercial property owners: flood risk. It’s a bit different from earthquake risk, which kind of affects everyone to some degree. Flood exposure? That can change dramatically depending on exactly where your property is, how high up it sits, and whether it’s near any rivers, coasts, or other water bodies. This means that when it comes to flood insurance, what’s available and what it costs can be like night and day depending on the region.
The insurance industry has gotten pretty sophisticated in how it figures out flood risk for commercial properties. They look at a whole bunch of things:
- How close you are to rivers, streams, or the coast.
- The elevation of your property and the lie of the land around it.
- Any history of flooding in the area.
- What the land upstream is like and how it’s used (this affects runoff).
- What flood defences are in place and how well they’re looked after.
- And, increasingly, what climate change is predicted to do to that specific region.
Marcus Wolton, really nails it when he says: “Understanding the specific type of flood risk your commercial property faces is crucial for securing appropriate coverage. Surface water flooding, river flooding, coastal inundation, and groundwater flooding each present different insurance considerations.” He’s right – you need to know what kind of watery woe you’re most likely to face.
When it comes to commercial flood insurance, policies usually make a distinction between a few different types of water-related perils, and this can really affect your cover:
- Surface Water/Stormwater Flooding: This is when rainwater just can’t drain away fast enough, either naturally or through the drains, and it starts to pool and cause damage. This is often covered in standard policies, but if you’re in a high-risk area, there might be sub-limits (a cap on what they’ll pay).
- Rising Water/River Flooding: This is the classic scenario of rivers or streams bursting their banks and swamping commercial properties. If your property is in a designated flood plain or has a history of claims, getting cover for this can be tricky, or it might even be excluded.
- Storm Surge/Coastal Inundation: This is when seawater floods your property during severe weather. With sea levels on the rise, this is a growing challenge for coastal commercial properties. Some insurers are even putting in specific sub-limits or exclusions for coastal inundation.
- Groundwater Flooding: This is when the water table rises and can damage foundations and basements. It’s often a slow-developing type of flood, and cover for it can be limited or specifically excluded.
You’ll see big regional differences in flood insurance because of these local risk profiles. For example:
- Bay of Plenty/Whakatāne: After some major flooding events there, commercial properties are facing stricter underwriting and might find their coverage options limited.
- Westland/West Coast: These are high rainfall regions, so premiums might be higher, but generally, cover is still available.
- Coastal Auckland/Wellington: Concerns about sea level rise have led some insurers to bring in what they call coastal buffer zones, where the terms of cover might be different.
- Canterbury Plains: Here, flash flooding and risks from river systems mean there’s a mixed bag of coverage considerations.
The good news is that if you take steps to mitigate flood risk, it can really help your insurance terms. Buildings that have features like these usually get better cover and lower premiums:
- Electrical systems and critical equipment that are elevated out of harm’s way.
- Water-resistant building materials used in areas prone to flooding.
- Drainage systems that are properly designed and kept in good nick.
- Permanent flood barriers, or ones you can put up quickly when needed.
- Business continuity plans that specifically think about what to do in a flood.
- Regular maintenance of gutters, downpipes, and all your drainage.
Get An Insurance Quote Today
With same day turn around and access to 30+ different insurers, Gerrards are your small business insurance experts.
Climate change is a big factor in flood insurance underwriting these days. The Insurance Council of New Zealand has reported that weather-related insurance claims have shot up by about 400% in the last decade, and floods are the main culprit. This trend has insurers doing things like:
- Using climate change models in their risk assessments.
- Pricing policies based on your specific address rather than just a general area.
- Looking much more closely at properties in areas that are projected to be future flood zones.
- Offering premium incentives if you’ve taken effective steps to adapt to flood risk.
One last thing on flood insurance: commercial property owners really need to read the fine print for exclusions. Common ones include:
- Damage to things outside the building, like landscaping.
- Damage from gradual seepage rather than a sudden flood.
- Damage to property you’ve stored in basement areas.
- Flooding that happens because the property wasn’t properly maintained.
- Storm or flood damage to retaining walls.
And if you’re a tenant in a commercial building, it’s super important to understand what flood insurance the building owner has. Your business can be interrupted by a flood even if your own property isn’t directly damaged, so you need to know where you stand.
Fire, Storm, and Other Natural Disaster Coverage for Commercial Buildings
While earthquakes and floods tend to grab the headlines when we talk about natural disasters in New Zealand, commercial properties are definitely not off the hook when it comes to other significant natural perils. Things like fire (especially if it’s linked to a natural event), severe storms, and even volcanic activity in some regions, all need specific thought when you’re looking at your insurance.
It’s easy to think of fire as just fire, but when it’s a consequence of another natural disaster – say, an earthquake that damages electrical systems or gas lines – it can get complicated. You need to be sure your policy covers fire that results from other insured perils. Similarly, storm damage isn’t just about a bit of wind and rain; we’re talking about those major weather bombs that can rip off roofs, cause widespread water damage, and bring businesses to a standstill. And for those in volcanic zones, the risks from ashfall, lava flows (however unlikely for most), and associated seismic activity are very real considerations that need to be addressed in your insurance.
The key here is not to assume. Don’t just tick the box thinking your standard commercial property policy has you covered for every natural eventuality. Each peril can have its own set of conditions, exclusions, and limits. For instance, cover for storm damage might be straightforward, but what about damage from landslides triggered by heavy rain? Or what if a volcanic eruption doesn’t directly damage your building but ashfall makes it impossible to operate for weeks? These are the kinds of scenarios where the specifics of your policy wording become incredibly important.
Just like with earthquake and flood cover, insurers will look at your property’s location, its construction, and any preventative measures you’ve taken. For example, having robust roofing and well-maintained drainage can make a difference for storm cover. If you’re in a volcanic risk zone, things like specialized air filtration systems or roof designs that can handle ash load might be relevant.
The bottom line is to have a conversation with your broker about *all* the natural perils that could realistically affect your commercial property. Go through your policy with a fine-tooth comb and ask those “what if” questions. It’s much better to understand the scope (and limits) of your cover before disaster strikes, rather than finding out the hard way that you weren’t as protected as you thought.
What our clients are saying:
When to Review Your Natural Disaster Insurance Coverage
So, you’ve got your natural disaster insurance sorted for your commercial property. Great! But it’s not a “set and forget” kind of deal. Things change – your property changes, the risks around you change, and the insurance market itself is always evolving. That’s why regularly reviewing your coverage is absolutely crucial. Think of it like a regular health check-up for your financial protection plan.
When should you be taking a fresh look at your policies? Here are some key triggers:
- Before Your Policy Renews Each Year: This is a no-brainer. Your insurer will send you renewal terms, and that’s your prime opportunity to sit down (ideally with your broker) and make sure the cover is still right for you. Are the sums insured still accurate? Have any conditions changed? Are the premiums still competitive for the cover you’re getting?
- If You Make Significant Changes to Your Property: If you’ve done major renovations, extended the building, or changed its use, your insurance needs will almost certainly have changed too. You need to let your insurer know and adjust your cover accordingly.
- If Neighbourhood Developments Affect Your Risk: Maybe there’s new construction nearby that could change how water drains in a flood, or perhaps new infrastructure has been put in that could alter your risk profile. Keep an eye on what’s happening around you.
- When New Hazard Information Comes Out: We’re always learning more about natural hazards. If new reports or maps are released for your region that change the understanding of, say, earthquake fault lines or flood plains, it’s a good time to review.
- After a Near-Miss Event: If there’s been a significant natural event nearby that didn’t directly hit you but highlighted some potential vulnerabilities in your property or your existing cover, that’s a clear signal to reassess.
Working with brokers who really know their stuff when it comes to natural disaster insurance for commercial properties can be invaluable here. These specialists can help you navigate the complexities, spot any potential gaps in your cover, and really go to bat for you if you ever need to make a claim. They’re in the market every day, so they know what’s changing and what questions to ask.
Frequently Asked Questions about Natural Disaster Insurance
Navigating natural disaster insurance can feel a bit like wading through treacle sometimes, can’t it? There’s a lot to get your head around. So, let’s tackle some of the common questions that commercial property owners in New Zealand often ask.
Does Natural Hazards Commission cover commercial properties for earthquake damage?
No, it doesn’t. This is a really common point of confusion, but the Natural Hazards Commission (NHC), formerly Earthquake Commission EQC only provides cover for residential buildings and land. If you own a commercial property, you need to get your earthquake protection entirely through private insurers. This is a big deal because it means you don’t have that “first layer” of cover that NHC gives to homes. So, for your commercial building, you need a comprehensive private earthquake insurance policy with sum insured values that are properly calculated to cover the full replacement cost. Also, be prepared for higher deductibles with commercial earthquake cover – they’re usually a percentage of your sum insured, not a fixed amount – and there might be specific sub-limits or exclusions for certain types of earthquake damage. Your best bet is to work with a broker who’s experienced in New Zealand’s seismic insurance market to make sure you get the right cover for your building and its specific risks.
How can I tell if my commercial property is in a flood zone?
Good question! To figure out your commercial property’s flood risk, you’ll need to consult a few key resources. Your first port of call should be your local city or regional council – they maintain flood hazard maps that show known flood-prone areas, often categorised by how likely a flood is (e.g., a 1-in-50-year or 1-in-100-year flood zone). The Land Information Memorandum (LIM) for your property should also have flood risk information if the council has identified any specific hazards. You can also check out NIWA’s flood hazard mapping for broader regional assessments. If your property is coastal, look for specialised coastal inundation maps that show the potential impact of sea level rise. For the most detailed picture, a professional flood risk assessment is the way to go, as it combines historical data, analysis of the land, and climate projections. And don’t forget, insurance brokers who specialise in commercial properties often have access to insurer-specific flood risk tools that can give a more detailed risk assessment than the maps available to the public. Knowing your specific flood risk classification is super important because it directly affects whether you can get insurance, how much it will cost, and any limitations on your cover.
Will my insurance cover business interruption after a natural disaster?
Not automatically, no. Your standard commercial property insurance policy usually doesn’t cover business interruption (BI) if a natural disaster stops you from trading. To get that kind of protection, you need a specific BI extension to your policy, or a separate BI policy altogether, that covers lost income and ongoing expenses while you’re recovering. For BI cover to kick in after a natural disaster, a few things are key. First, the policy has to include that specific natural peril (like earthquake or flood) as a covered cause of loss for both the property damage *and* the business interruption. Second, the indemnity period – that’s how long the BI cover will pay out for – needs to be long enough for you to recover from a natural disaster. This usually takes much longer than for standard claims, often 24 to 36 months rather than just 12. Third, the sum insured for BI needs to account for potential post-disaster inflation, which can push up rebuilding costs and make recovery take even longer. Pay close attention to the policy wording around “denial of access” too – this determines if you’re covered if the authorities stop you from getting to your property, even if it hasn’t been directly damaged. If you’re a commercial landlord, rental income protection works in a similar way to BI cover but specifically addresses lost rent while the building is being rebuilt. And if you’re a commercial tenant, you should have your own BI cover, as the landlord’s policy typically only covers their lost income, not your business losses.
How does seismic strengthening affect my earthquake insurance premiums?
Seismic strengthening usually has a pretty significant positive impact on your commercial earthquake insurance premiums, but exactly how much benefit you’ll see can vary depending on the insurer, your building’s characteristics, and where it’s located. After the Canterbury earthquakes, insurers got much more sophisticated with risk-based pricing that directly reflects a building’s New Building Standard (NBS) rating. Generally, commercial properties with higher NBS percentages get substantial premium advantages compared to similar buildings that haven’t been strengthened. According to data from the Insurance Council, buildings strengthened above 67% NBS often see premium reductions of 15-40% compared to similar buildings below 34% NBS. But it’s not just about premium savings; strengthening also improves your chances of getting insurance in the first place and getting better terms. Buildings below 34% NBS can face limitations on their cover, higher deductibles, or even difficulty getting full replacement coverage. Of course, you’ve got to weigh up the insurance benefits against the costs of strengthening, any disruption to your business during the upgrades, and other factors like tenant attraction and potential property value increases. For the best insurance outcome, it’s a good idea to talk to your broker *before* you start any strengthening work to find out which specific improvements will give you the biggest bang for your buck in terms of premium advantages – not all strengthening measures are created equal in the eyes of insurers. And make sure you keep detailed engineering reports of all seismic improvements; they’re essential for getting those premium reductions when you’re negotiating your insurance.
Are volcanic eruptions covered by standard commercial property insurance?
This one can be a bit tricky, as volcanic eruption cover in standard commercial property policies varies a lot depending on where your property is and the specific wording in your policy. If your property is in a region outside of active volcanic zones (say, the southern South Island), volcanic eruption is often included without any special limitations. However, if your property is within a recognised volcanic risk area – particularly the Taupō Volcanic Zone or the Auckland Volcanic Field – your policy will likely have specific provisions, sublimits, or even exclusions for volcanic activity. Coverage usually distinguishes between different volcanic hazards. For example, direct fire damage from a volcanic eruption is typically covered under your fire provisions. Damage from ash fall to exterior surfaces, mechanical systems, and the interior contents might have specific sublimits. Structural damage from ash accumulation usually has its own separate terms. And business interruption due to volcanic events might have different waiting periods before it kicks in. What if you have to evacuate pre-emptively, even if there’s no actual eruption damage? That might be covered under contingent business interruption provisions, but again, it varies by policy. If your property is near an active volcano like Ruapehu, you might even find that volcanic hazards are excluded unless you have a specific endorsement on your policy. The bottom line for commercial property owners in volcanic zones is to review your policies very carefully, as standard policy templates can often be a bit ambiguous about volcanic cover. If you’re in a recognised volcanic hazard zone, working with a broker who’s familiar with volcanic risk insurance markets is definitely the way to go to help you secure the right protection. And if you’ve taken any steps to mitigate volcanic risk, like strengthening your roof or installing ash-resistant ventilation systems, make sure you document them, as it could improve your coverage terms.
Protecting Your Commercial Property Against New Zealand’s Natural Disasters
Look, there’s no denying that New Zealand’s unique natural hazard landscape throws up some real challenges for commercial property owners trying to get comprehensive disaster protection. Our vulnerability to earthquakes, floods, storms, and in some places, volcanic activity, means you need a smart, strategic approach to insurance – one that tackles not just the risks we see today, but also the ones that are emerging. With climate change seemingly turning up the heat on certain weather-related hazards, and insurance markets still adjusting after big events like the Canterbury earthquakes, being proactive about risk management isn’t just a good idea; it’s becoming incredibly valuable.
Effective natural disaster protection isn’t just about buying an insurance policy. It’s about understanding that comprehensive coverage is multi-layered. Successful commercial property owners don’t see natural disaster insurance as a single product; they approach it as an integrated strategy that combines several key elements:
- The right insurance structures: This means carefully chosen coverage limits, deductibles that make sense for your financial situation, and indemnity periods that are realistic for recovery.
- Physical property improvements: Taking steps to make your building more resilient against the specific perils relevant to your region.
- Operational protocols: Having plans in place to minimise damage if an event happens and to speed up your recovery afterwards.
- Financial planning: Making sure you’ve accounted for potential gaps in your coverage and those hefty deductible exposures.
- Business continuity strategies: Thinking about how your business will cope with both short-term and long-term disruptions.
And remember, natural disaster insurance isn’t static. You need to review and adjust it regularly as your property changes, the environment around you evolves, and the insurance options available shift. The lessons from Canterbury really hammered home that what seems like adequate insurance can reveal some pretty significant gaps when it’s truly put to the test by a major event. That’s why getting a professional assessment from time to time is invaluable.
For both commercial property owners and tenants, being prepared for natural disasters isn’t just about managing risk; it can actually be a competitive advantage. Properties that can show they’re resilient are increasingly commanding premium values and attracting quality tenants. And businesses that have robust continuity plans in place are the ones that tend to recover their market position more effectively after a disruptive event.
At Gerrards Insurance, our specialist commercial property risk advisors are here to help you figure out your natural disaster exposure and develop a protection strategy that’s tailored to New Zealand’s unique challenges. We work with the country’s leading insurers to secure comprehensive coverage that provides genuine financial peace of mind when disaster strikes.
Why not contact our natural disaster insurance specialists today for a no-obligation assessment of your commercial property’s specific risk profile and coverage needs? Our team’s deep understanding of New Zealand’s regional hazard variations and the nuances of the insurance market means you’ll get expert guidance that’s perfectly tailored to your property’s unique circumstances.