Thursday 8th December saw the worst storms the UK has seen in a decade. Schools, businesses and council offices were forced to close and more than 70,000 homes were without power.

A second storm is heading for the UK and this time the entire country looks set to suffer. Forecasters say the next severe storm is brewing in the North Atlantic and will bring with it cold air, snow and sleet as well as hurricane-strength winds from Monday evening. They say next week’s massive storm will affect the whole of the UK and will last through the whole of Tuesday and into Wednesday.
Early insurer estimates suggest the industry might be facing claims totalling about £200m. While we are yet to see the effects of the storm, there are still practical steps you can take to manage the risk to your business.
Are you prepared?
For businesses, storm damage should be one of the events considered in your business continuity plan. Preparations can be undertaken to ensure minimal damage is incurred:
- Impact-resistant glass
- Ensure exterior and yard items are removed or are securely tied down or stored away
- Close all doors, particularly up-and-over type garage doors
- Safety and communications plans are in place for employees
- If instructed to do so turn off utilities
- Trim back any dead or weak branches from trees.
A relevant and up-to-date plan will demonstrate to insurers and lenders that you’ve taken a proactive approach to risk management and can help stabilise the cost of your insurance in the long term.
Are you covered?
Commercial property owners should check their insurance policies to ensure cover includes storm/ flood damage. It is also advisable to review the key features of the policy including any excesses you will be expected to pay in the event of a claim. It is vital for companies to regularly review their insurance cover.
Most organisations will have material damage cover and business interruption cover but a full review of the sums insured and the indemnity period should be frequently undertaken. This isn’t just a question of insuring storm as a peril, denial of access and loss of attraction may all have an equally disastrous impact on business. If the nature of your business is complex, you may need expert advice from a specialist surveyor to review your requirements and help calculate the gross profit sum insured.
What to do if your business is affected?
- Contact your insurer as soon as possible
- If your property or workplace is damaged make sure the building is safe before you enter and ensure electricity and gas supplies are switched off
- Do not use electricity or water supplies until the ‘all clear’ is given
- Keep the numbers of people entering the building to a minimum
- If necessary, arrange for temporary repairs to be carried out to stop any damage getting worse
- Keep receipts, as these will be needed for your insurance claim
- Always make your own record of damage – photograph or video record your damaged.
Contact
If you would like to discuss your business insurance and/or risk management needs, please call your usual Perkins Slade contact, alternatively telephone 0121 698 8000 or email b.ramos@perkins-slade.com
Perkins Slade is authorised and regulated by the Financial Services Authority.