Winter Weather Risks: How to Handle Ice Damming and Freeze-Related Insurance Claims

Shorter days and cooler weather mean freezing precipitation is possible. When a commercial property suffers winter weather damage, it is likely that an insurance claim will follow. 

Ice dams are related to a relatively high percentage of winter and freeze-related insurance claims each year. Ice damming becomes more commonplace even as the weather turns warmer. Moderate daytime temperatures meet cold nighttime air, and ice damming can result. 

What is ice damming?

Icicles on the eaves of a home can be beautiful to behold. However, what these icicles can tell us is that a ridge of ice has built up at the edge of the roof immediately behind those icicles. The consequences of that ridge of ice held on top of the roof are that snow cannot drain. 

Over the course of multiple freeze and thaw periods in the cold weather months, ice damming can result when snow remains on a roof for an extended period of time. What ends up happening is that snow will eventually enter the building. 

What are the tell-tale signs of ice damming?

When walls and ceilings are stained with water damage, it becomes probable that ice dams are the cause. Going into the attic of a home, look for stains on rafters or the insulation. Other areas where ice damming may occur are the base of chimneys and along gutters at the edge of a roof. 

Do commercial property insurance policies cover freeze-related insurance claims?

To varying degrees, ice-related insurance claims, including ice damming, are covered by most commercial property insurance policies. However, insurance claims after winter storms can be challenging in many regards. Determining what is covered by the policy-and what is excluded- is essential to moving forward after suffering winter weather-related loss. 

Begin by reviewing your insurance coverage. Winter storm-related losses can be quite diverse. Business owners’ policies typically cover damage to the structure of the building, equipment, and inventory. It is also possible that the policy contains liability coverage. This can be important if a person is injured due to an ice-related fall while on the premises. Icy walkways can be a dangerous reality for many business owners during the cold weather months of the year. 

What may be excluded from an insurance policy?

Taking the time to understand what is excluded by an insurance policy matters just as much as reading through what is covered. There are winter weather-related damages that are not covered by most commercial insurance policies. That means additional policies may be necessary to supplement an existing commercial insurance policy. 

Flood damage is not a condition covered by most commercial property insurance policies. Most of the time, a separate policy will need to be purchased.

Next, negligent acts are excluded from most commercial insurance policies. This is seen when a property owner fails to make walkways safe for pedestrian usage in the winter months. If someone slips, falls, and injures themselves, it could be that the property owner’s negligence caused the accident.

What are policy limits in relation to winter storms?

Different commercial property insurance policies handle issues related to winter storms differently. A policyholder must be familiar with their particular insurance policy in terms of coverage and exclusions. 

When a business is unable to open due to winter storm-related road closures or damage to its property, it is likely that a loss of income will occur. In the world of insurance, this is known as a business interruption. Many policies provide coverage for these types of losses. Keep in mind that a policy may have limits, or a cap, on what benefits may be paid out in the event of a business interruption. 

On top of business interruption losses, a business owner must be aware of his or her potential for damages as a result of a winter storm. For instance, if a leak in their roof occurs and inventory is damaged, would a business be covered for these losses? Many insurance policies make available riders or supplements to a policy that do cover these damages. A business owner must understand their potential for losses and prepare accordingly. 

What can be done to efficiently proceed with an insurance claim?

There are steps when filing an insurance claim related to winter storm damage. The better a business understands these steps, the more likely he or she is to receive appropriate compensation for the damages that were suffered. 

First, as soon as possible, a policyholder should contact their insurance company once a loss occurs. Reporting the damage as soon as it occurs helps ensure that the claims process will proceed quickly. 

When filing a claim, it is essential to provide detailed information about what has occurred. The type of storm involved and the damage sustained are all good places to start. If a building were flooded due to an ice dam, that should be explained in clear language. How the water entered the building can add a level of detail that assists a claims examiner immensely. 

Next, documentation is important when filing a claim. Photos of the damage, invoices or receipts of repairs made, and communications between the business owner and repair companies can all make a major difference when proving the necessity of filing the claim. 

Once documentation is available, a policyholder must make sure to file the claim within the time period allowed by the insurance policy. Failing to meet a filing deadline means that a claim denial is likely. 

Contact Pearson Legal, P.C. for strong advocacy after the winter storm

Filing an insurance claim after suffering winter storm damage is stressful for a business owner. When the insurance claim wrongfully denies or delays paying a valid claim, that can put a business in jeopardy of closing or suffering significant financial losses. When this happens, do not back down. Instead, contact Pearson Legal, P.C. for the opportunity to speak with our experienced legal team. We serve clients who trust our firm’s commitment to advocating in the strongest manner possible with insurance companies. Protect your rights by contacting our office today.