Best Way to Start Recovery after Hurricane Harvey
The true impact and devastation of Hurricane Harvey won’t be completely known for weeks, maybe even months. And yet, it’s not too early to look forward to what it’s going to take to begin recovery efforts.
If you have a business that’s been affected by this latest natural disaster, the first thing to do is make sure your people are taken care of and have shelter and food.
Then, it’s time to start thinking about the long road ahead of insurance claims for both property damage and lost profits due to business interruption, casualty loss deductions on your tax returns, government aid, and all the other things that can help you recover from this disaster.
Even if you did not suffer direct physical property damage from the hurricane and the floods, if you have business interruption insurance coverage, you may be able to file a claim for lost business income. If you’ve lost business because your customers were directly affected by the hurricane, or your distribution and supply chains have been affected and you can’t operate normally, this coverage provides asset recovery for loss of sales and lost profits.
As you start to assess damages, make sure you follow these basic best practices:
- Document – Take pictures, make videos, and gather any paperwork that’s salvageable.
- Call early – Contact your insurance agent to get on their radar and find out what their preferred methods are for claims and documentation.
- Talk to your accountant – It may seem counterintuitive, but if you’ve suffered major losses or, worse, have lost property that you’ll need to replace, there are numerous deductions, helpful filing extensions and rules to know about that could save you tens of thousands of dollars.