Preparation tips for the 'average' winter weather event
Here are some actions businesses can take to minimize the potential impact of unexpected minor winter weather events.
When weather forecasters predict a massive winter storm on the horizon, it receives the population’s undivided attention — every single local TV and radio station will stop what it was previously covering to track its path and preparation will immediately commence. For businesses, that means ensuring all procedures are locked down in advance, so the chance of loss is minimized.
But what about those lesser winter storms that slide under the radar? We’re talking about the ones that only bring a few inches of snow, ice or sleet. These types of storms, in some cases, can be just as impactful as the major one.
In fact, such weather events can have an even greater impact on businesses since they may be unexpected or deemed insignificant, so precautions may not be in place. For instance, a surprise storm pummeled the northeast in mid-November, leaving sidewalks untreated and employees scrambling to get home safely.
However, it doesn’t have to be that way when it comes to these weather events. There are actions businesses can take to minimize the potential impact to operations and reduce exposure to loss regardless of the weather forecast.
Lock in appropriate vendors and materials
Revisit all plans for handling adverse winter weather at the beginning of fall. Don’t assume just because a vendor took care of something last year that your property will automatically be a priority this year. Confirm vendor arrangements with reliable companies and be sure to also include a back-up plan for added precaution. Examples of vendor types include snow removal, emergency restoration and repair, and security firms.
With respect to material supply, create an inventory list to ensure there are enough tools on-site. For example, do you have enough ice melt? Shovels? Scrapers? Sand? Flashlights? Candles? Batteries? These are the items that will be critical resources in emergency situations.
Related: P&C insurance industry lessons learned in 2018
Develop a business contingency plan
Typically, businesses cannot afford for operations to come to a complete halt due to weather. That’s why it is important to develop a plan that will keep the critical parts of the business running smoothly despite unfavorable weather conditions. Identify the essential functions and individuals that are needed to ensure business continuity.
Establish select workarounds for those core functions and personnel to operate from remote locations, if at all possible. For example, the ability to work remotely is a growing trend and one that, in the event of bad weather, can serve as a valuable business tool. If employees have the ability to work remotely, it can afford flexibility for the company when making logistical decisions in the midst of weather events.
Communicate to key parties
Thorough communication and clear directives are key to ensuring all parties integrally involved are identified and abundantly clear as to the procedure and protocols at each stage (before, during and after the event). Set and communicate clear expectations and authority directives for those essential personnel. Continue a steady flow of communication throughout.
The same goes for communicating with employees in a non-critical role, when an emergency occurs. An emergency communication plan should be in place via email or text, so individuals can immediately be made aware of the situation and next steps. For example, make sure employees know it is acceptable to arrive late or leave early. It may also make sense to subscribe to, and send out, relevant public transportation updates to ensure no employee is stranded at the office due to a canceled bus or train.
Document everything
Smaller storms can easily be swept under the rug, but there are still claims that can be pursued and lessons that can be learned from these events. Documenting incidents on an ongoing basis can help qualify and quantify a weather event’s impact on business, as well as, identify opportunities to lessen exposure to loss.
We recommend partnering with your insurance broker to assist in the areas outlined above, ensuring potential risks are identified and proper coverage is in place for those exposures. Your broker can also assist in navigating the claims process after the event.
Lisa Talley is the Assistant Vice President and a Producer at Graham Company. She can be reached at LTalley@grahamco.com. Carter Bumgardner is a Producer at Graham Company and can be reached atCbumgardner@grahamco.com.