Convective storms are when warm, moist air rises and cools, leading to severe weather conditions such as heavy rain, hail, and tornadoes. These storms pose significant risks to properties and can have devastating financial implications for property owners.
According to a recent Swiss Re report, in 2024 natural catastrophes caused $60 billion in insured losses globally, of which $42 billion, mainly in the U.S., were from severe thunderstorms. The region is seeing more severe weather events, which can lead to extensive property damage. Hailstorms can shatter windows, dent roofs, and damage siding, while tornadoes can obliterate entire structures. The aftermath of such storms often results in costly repairs and can severely impact property values.
Preparation before a property loss occurs will speed up the claims process. Here are four ways to prepare:
- Create a disaster preparedness plan with contacts and resources necessary to ensure the continued safety of your tenants and staff while allowing for the most efficient restoration of your operations.
- Assign specific roles in the event of damage to make the overall process much smoother.
- Appoint key contacts and choose people from departments such as accounting and maintenance to gather data necessary to prepare a proof of loss.
- Understand what your policy covers and go through different scenarios. This will help answer questions about potential property losses when they arise. It’s best to know beforehand how your coverage will affect your business’ recovery.
As you navigate the complexities of property management, consider the importance of proactive risk management strategies. This includes investing in comprehensive insurance policies that cover storm-related damages and implementing preventive measures, such as regular property inspections and maintenance.
For more information on how to protect your real estate assets, check out our real estate practice.
