All too often news reports fill our phones and television screens describing flooding effects and similarly disastrous damages caused to businesses and homes. If such problems affect a dental practice, individuals lose the opportunity to provide care, which not only impacts the lives of patients, but a clinician’s chance to maintain and develop their own income. Extra expenditure may be necessary for repairs, some equipment may not even be salvageable – being unprepared costs money, time and effort.
Buildings insurance is imperative for many, if not all, dental business owners. It is the final failsafe that gives practices have a viable short- and long-term future when disaster strikes. But why is it particularly important for flood risks, what should clinicians look out for when securing insurance, and is it even all that important going into the summer months?
The scale of damage
Approximately 6.3 million properties in England are at flood risk from rivers, the sea and surface water, amongst other sources.[i] Clinicians can immediately find the predicted flood risk to their practice on the GOV.UK website,[ii] but support from external surveyors is also helpful.
When problems do strike, they can be an irrecoverable blow, especially to dental practices. This is because a majority (69%) are managed by individual principal dentists, perhaps operating as self-employed, in a partnership or as directors of small limited companies.[iii] Another 20% of practices are owned by smaller, usually incorporated, groups.iii Sadly, for every ten small businesses that are affected by catastrophic flooding, four will never reopen.[iv]
Estimates of the average repair cost for a flooded commercial property typically link back to a report on the winter of 2013-14, which saw around £1.3 billion of flood damage in England and Wales.[v] For individual business properties, repair costs totalled an average of £82,000.v
Practitioners must consider the impact on a dental practice and the value of the equipment that could be damaged – alongside walls, doors, and flooring, equipment of significant value such as digital imaging systems, autoclaves, treatment centres and even patient records could all be damaged beyond repair. The cost of replacing these alongside repair to a property – on top of the added time it takes to replace items and get the practice running again – can be debilitating if a clinician doesn’t have adequate coverage in place.
The insurance you need
Dental practice owners should procure appropriate insurance that covers damage caused by natural weather problems such as floods, especially if they are at a significant risk. Premises damage will typically be covered by specific types of business insurance.[vi]
Whilst dentists are required to have employers’ liability insurance, which supports ill or injured employees, and professional indemnity in order to practice dentistry, commercial property insurance is sometimes an optional asset (though many mortgage providers may require it).vi There are two types key, buildings insurance and contents insurance.
The need for each is clear. Buildings insurance will help practices repair and rebuild structures in the event of significant damage, and professionals should ensure this cover includes support for flood damage.
Contents insurance will help to reduce some of the pressures that come with replacing specialised and often expensive dental equipment. Without it, some practices may have to refer out patients for imaging purposes or treatment that would have been routine, purely because the equipment needed is no longer available in-house. Replacing items such as treatment centres or cabinetry which may be personalised to practice colours can be an entire headache in itself; the knowledge that an insurer can help you replace – or take the opportunity to upgrade – such solutions is key.
In areas with a clear flood risk, buildings and contents insurance premiums may be driven up in price. Comparing business insurance solutions from different providers, with the support of an independent financial adviser, can help clinicians find the most economically viable but safe solution.
Move quickly
Summer may still feel far away, but some clinicians may wonder if there is the need to get appropriate insurance as a priority, especially with warmer weather around the corner. However, flooding is a year-round problem, and increasingly hot and dry summers means flooding during the mid-year months is increasingly common.[vii]
Ensuring you secure the most appropriate cover that is comprehensive but economically sensible is key. money4dentists features a team of expert independent financial advisers who have supported dentists for decades, meaning they understand the needs of a clinician better than anyone else. They offer support on a range of insurance solutions, helping to find the value in business and building protection, as well as supporting clinicians with their mortgages, pension planning, and much more.
Flooding has significant financial consequences for an affected dental practice. Whilst the correct insurance cannot alleviate all of the stress involved, it provides ample support when its needed most.
For more information, please call 0845 345 5060 or 0754DENTIST.
Email info@money4dentists.com or visit www.money4dentists.com
Author: Richard T Lishman – Managing Director of the 4dentists Group of companies
[i] The Flood Hub, (N.D.). Am I at Risk? (Online) Available at: https://thefloodhub.co.uk/am-i-at-risk/ [Accessed February 2025]
[ii] GOV.UK, (N.D.). Check the long term flood risk for an area in England. (Online) Available at: https://www.gov.uk/check-long-term-flood-risk [Accessed February 2025]
[iii] College of General Dentistry, (N.D.). Dental workforce. (Online) Available at: https://cgdent.uk/old-for-patients-and-public/old-facts-and-figures/ [Accessed February 2025]
[iv] Hume, K., (2022). Five statistics brokers should know about commercial floor risk in Britain. FloodFlash, (Online). Available at: https://floodflash.co/five-flood-risk-statistics-brokers-should-know/ [Accessed February 2025]
[v] Chatterton, J., Clarke, C., Daly, E., Elding, C., Fenn, T., Hick, E., Miller, J., Morris, J., Ogunyoye, F., Salado, R., (2016). The costs and impacts of the winter 2013 to 2014 floods. (Online) Available at: https://assets.publishing.service.gov.uk/media/60354990e90e0740b7caac90/The_costs_and_impacts_of_the_winter_2013_to_2014_floods_-_non_technical_report.pdf [Accessed February 2025]
[vi] Association of British Insurers, (N.D.). Business insurance. (Online) Available at: https://www.abi.org.uk/products-and-issues/choosing-the-right-insurance/business-insurance/ [Accessed February 2025]
[vii] British Red Cross, (N.D.). What you need to know about floods in the UK. (Online) Available at: https://www.redcross.org.uk/stories/disasters-and-emergencies/uk/what-are-floods [Accessed February 2025]
