Hurricane-Hit Businesses Brace for Drawn-Out Insurance Disputes

Following catastrophic losses caused by hurricanes Helene and Milton, local companies’ expectations are colliding with the reality of insurance coverage in an unfriendly market.

Businesses may be surprised to learn their policies cover disruptions only for a limited number of days, or for a limited number of properties, policyholder representatives said. Many disputes over insurance coverage will likely end up in court, delaying payouts and burdening policyholders with legal expenses.

Insurers that are still selling in high-risk areas like Florida have gotten more “creative” in how they cover commercial property, said Thomas Cotton, president of insurance agency AssuredPartners’ Orlando office. ...