Determine the elements your insurance should include
You only have one chance to make sure your business can withstand a natural disaster; you need to purchase appropriate insurance and put together a disaster recovery plan. The ideal insurance includes:
Sufficient coverage. Make sure your policy covers all indirect costs of the disaster. It should pay for rebuilding the head office (if it is destroyed) and compensate for business disruptions.
Earthquake and flood insurance. Standard property insurance does not include these 2 elements, so you should purchase additional coverage if you work in an area prone to earthquakes and floods.
Business interruption insurance. Again, check to see if the broker covers the profits you lose due to interruptions. The fee should be based on your records, which show the company’s income before the disaster. It should also reimburse operating expenses to help you continue your business until you record income again.
Understandable terms and conditions. You need to understand the terms of your insurance coverage so you understand what it pays for.
If you run your business from home, when asking for quotes on homeowners insurance in Florida, check to see if they also cover home business in case of natural disasters.
Safe Assets.
All businesses have two types of assets: recoverable and non-recoverable. In the event of a disaster, all non-recoverable assets are lost, as their name implies. So, to keep all your documents and applications safe, upload your systems, software and documentation to the cloud. That way, you won’t have a problem recovering your information remotely. Whether or not your business office is destroyed, you can work from home if you have access to your documentation and systems.
As for assets to be restored, you should check the structural integrity of the building and furniture. Make sure they provide quick evacuation in case of disasters, because protecting the lives of your employees is important.
Have a temporary place that you can use if a natural hazard destroys your permanent office.
Make a recovery plan
To understand how to protect your business from natural disasters, do a business impact analysis. You can hire a dryland manager to do this job because they have experience in disaster planning and recovery. They can help you with plans and even plan on their own so that a disaster doesn’t affect your business.
When creating a business disaster plan, you should:
Make an emergency response plan. Even if a disaster hasn’t happened in your city for a while, you should tell your employees what to do in the event of a disaster. They should know who to notify about the situation and what steps to take to save their lives and reduce property losses.
Detail each step of the plan and assign responsibilities. Use simple language to describe each employee’s responsibilities so they can understand the procedures and remember them.
Make a list with important contact information. Make sure your employees can reach the right people during and after a disaster. The list should include phone numbers for local and state emergency agencies, an insurance broker, major clients, vendors, contractors, financial institutions and realtors.
Choose the communication strategy you prefer to prevent losing clients. You can place an ad in the newspaper to inform them that you need to interrupt business because of a natural disaster. Send emails to customers telling them that you cannot provide services for a limited period of time. Contact partners and suppliers by phone to ask them to stop delivering materials because you don’t have the storage space to store them.
With access to all of this information, you can put your business on the list of companies that can beat the odds and withstand natural disasters.