Premium data as of 10 November 2026 · compiled by Prakanthai.com
A coffee shop owner takes out shop insurance with a sum insured of THB 2 million. The quote says "flood cover", so they assume that if water gets into the shop they will receive the full THB 2 million.
But the conditions say "20% of the sum insured". What does that figure mean, and how much will the shop get if a flood really happens?
What does shop insurance with flood cover at 20% of the sum insured mean?
Short answer: shop insurance with flood cover at 20% of the sum insured means the insurer's maximum payment for flood is the main sum insured multiplied by 20%. For example, with a sum insured of THB 2,000,000, the most it pays for flood is THB 400,000, not the full THB 2 million. The shop pays any damage above this limit itself, and some plans, such as Chubb SME Select / Select+, give no flood cover for premises in the flood-risk areas the insurer designates.
How much flood limit does each sum insured give?
| Sum insured (THB) | Flood limit at 20% (THB) | Rest of the sum insured covers other perils |
|---|---|---|
| 500,000 | 100,000 | Fire and other natural perils at the full sum insured |
| 1,000,000 | 200,000 | Fire and other natural perils at the full sum insured |
| 2,000,000 | 400,000 | Fire and other natural perils at the full sum insured |
| 5,000,000 | 1,000,000 | Fire and other natural perils at the full sum insured |
| 10,000,000 | 2,000,000 | Fire and other natural perils at the full sum insured |
The examples in the table are based on the Chubb SME Select / Select+ plans, which cover windstorm, earthquake and hail at the full sum insured, separately from flood, which is capped at 20%.
How much would a real flood in the shop pay?
A worked example to illustrate
A coffee shop with a sum insured of THB 2,000,000. Water 50 cm deep gets into the shop. Assume the damage is as follows:
| Item | Damage (THB) |
|---|---|
| Chiller cabinets and ice machine | 180,000 |
| Counter and wooden floor | 220,000 |
| Ingredients and stock | 100,000 |
| Total | 500,000 |
- Flood limit = 2,000,000 × 20% = THB 400,000
- The shop pays = 500,000 − 400,000 = THB 100,000
- If the plan has no excess, nothing more is deducted from the THB 400,000.
This example is for illustration only. The amount actually paid depends on the insurer's claim assessment. The rule of thumb: estimate the total damage to the ground-floor contents if water got into the shop, then compare it with 20% of the sum insured. If the two figures are far apart, the plan's flood limit is not enough for the shop.
Can a shop in a flood-risk area buy this insurance?
Each insurer has its own list of risk areas. For Chubb SME Select / Select+, the conditions state:
- Flood at 20% of the sum insured, except in areas the insurer designates as flood-risk areas
- The premiums in the table apply only to premises that are not in a risk area, and the areas may change as the insurer decides.
The list of risk areas goes down to sub-district level in many provinces across the country, including some sub-districts in Bangkok, for example in Khlong Sam Wa, Nong Chok and Min Buri districts. So check your shop's actual address, not just the province.
What should you look at if you want more flood cover?
| Questions to ask before you buy | Why it matters |
|---|---|
| What percentage of the sum insured is the flood limit? | This figure is the real ceiling, not the main sum insured |
| Is the shop in that insurer's risk area? | Some plans give no flood cover at all in risk areas |
| Is there an excess? | If there is, you receive less than the limit |
| Is the sum insured close to the real value of the property? | A low sum insured means a low 20% limit too |
For shops that want to compare other plans that also include flood at 20% of the sum insured, see BKI fire insurance for shops, flood included, from THB 861 per year. For a home, read more at National catastrophe insurance: how much does it pay for floods, and who is covered?
Which shop insurance has flood at 20% and no excess?
Chubb SME Select / Select+ from Chubb Samaggi Insurance covers flood at 20% of the sum insured with no excess in any case. The sum insured is THB 500,000–10,000,000, and the total premium starts at THB 997.24 per year (data as at 10 Nov 2026). The actual premium depends on the business group, the sum insured and the plan. See the full details at Chubb SME Select / Select+ shop insurance.
Send us the type of business, the shop address down to sub-district level and the sum insured you want. Our team will check for flood-risk areas and send the premium back within the business day. LINE Official: @prakanthai · Tel. +66 2 459 2223
Frequently asked questions
Can you raise the sum insured to get a higher flood limit?
The flood limit rises with the sum insured, but the sum insured should reflect the real value of the property. A higher sum insured raises the premium according to the insurer's table. For example, for a coffee shop on the Select plan, a sum insured of THB 2 million costs THB 3,088.02 per year and THB 3 million costs THB 4,328.15 per year.
Do "water damage" and "flood" share the same limit?
In the coverage table for Chubb SME Select / Select+, "water damage" and "flood" are separate items. Water damage has a limit of THB 200,000 (Select) and the full sum insured (Select+), while flood is capped at 20% of the sum insured on both plans. Which category a real event falls into depends on the insurer's assessment under the policy conditions.
Do you need to tell the insurer if the shop has flooded before?
You should give accurate information on the application form. Underwriting decisions are for the insurer.
Notes
The limit and premium information in this article is based on the SME Select / Select+ product document, edition 01/2025, and the sales document for the product from Chubb Samaggi Insurance Public Company Limited, checked on 10 November 2026. The damage figures in the examples are assumptions for illustration. It is general information and not part of the insurance contract. Premiums and conditions may change as the insurer announces. Underwriting and claim payments are decided by the insurer. Prakanthai.com is a non-life insurance broker, not an insurer, licence no. 5104000004. Please read the policy and the quote in full before deciding.
