The Business Impact of Hurricanes in Sint Maarten
Hurricane Irma in 2017 demonstrated the devastating impact a major storm can have on Sint Maarten's business community. Many businesses faced not only physical damage to their premises and equipment, but also extended periods of closure, loss of stock, and disruption to supply chains. Some businesses never reopened.
The businesses that recovered most effectively were those with comprehensive commercial insurance coverage, thorough asset documentation, and a clear business continuity plan. Preparation before the season begins is the single most important factor in business recovery after a hurricane.
Key Commercial Insurance Coverages to Review
Commercial Property Insurance
Covers physical damage to your building, fixtures, fittings, and business equipment caused by hurricane winds. Confirm your insured value reflects current replacement costs and check whether your policy includes a separate hurricane deductible.
Business Interruption Insurance
Covers lost revenue and ongoing fixed expenses (rent, salaries, utilities) when your business cannot operate due to hurricane damage. This coverage is critical for businesses that may face weeks or months of closure during repairs.
Commercial Vehicle Insurance
Covers damage to business vehicles caused by hurricane winds, flooding, or falling debris. Ensure all business vehicles are listed on your policy and stored in a secure location before a storm.
Contents and Stock Insurance
Covers business contents including furniture, equipment, and stock-in-trade. Create a detailed inventory of all business contents and ensure your coverage limit reflects the current value of your stock.
Six Steps to Protect Your Business
Review All Commercial Policies
Gather all your business insurance policies and review them with your broker before June 1. Confirm coverage limits, hurricane deductibles, and any exclusions that may affect your claim after a storm.
Document Business Assets
Create a comprehensive inventory of all business assets: equipment, furniture, stock, vehicles, and technology. Photograph and record serial numbers. Store copies off-site and in the cloud.
Secure Your Premises
Install hurricane shutters on all windows and doors. Secure signage, outdoor equipment, and any items that could become projectiles. Inspect your roof and address any vulnerabilities before the season begins.
Back Up Business Data
Ensure all critical business data — financial records, customer databases, contracts, and operational files — is backed up to a secure cloud service. Data loss after a hurricane can be as damaging as physical property loss.
Create a Business Continuity Plan
Document how your business will operate if your premises are damaged or inaccessible. Identify alternative work locations, key supplier contacts, and the minimum resources needed to resume operations.
Communicate with Staff and Suppliers
Ensure all employees know the emergency plan and their responsibilities before, during, and after a storm. Notify key suppliers and customers of your contingency arrangements in advance of hurricane season.
Business Interruption: The Coverage Most Businesses Overlook
Many business owners focus on insuring their physical assets but overlook business interruption coverage. After a hurricane, the physical damage may be repaired within weeks, but the loss of revenue during the closure period can be far more financially damaging. Business interruption insurance covers your ongoing fixed costs and lost profits while you are unable to trade.
Review your business interruption policy carefully. Check the indemnity period — the maximum length of time the policy will pay out — and ensure it is long enough to cover a realistic recovery timeline for your type of business. For some businesses in Sint Maarten, a 12-month indemnity period may not be sufficient.
Is your business fully protected for hurricane season?
Request a commercial insurance review from Compass Insurances. We will assess your current coverage, identify any gaps, and recommend the right policies to protect your business assets and income.