Spring is upon us and as in previous years, the weather is already a challenge for many people. Business owners often see Autumn and Winter as the biggest risk seasons of the year; however, Spring can also bring new risks to businesses.
Weather remains a high risk factor in Spring with flooding being one of the main risks’ businesses face. Even when the weather does improve, often this is the time of year that businesses begin to make changes and risks increase or insurance needs change.
In this blog, we look at things you should consider at this time of year in relation to your business and your insurance needs.
Flooding
The UK continues to experience unpredictable weather conditions with 2023 recording rainfall well above average in England, with some areas experiencing 161% of typical Spring rainfall. Flooding remains one of the most common and widespread natural sources of damage to property.
High levels of rainfall can lead to flooding in places not always associated with flood risk. Even if your premises are not at risk, flooding can still disrupt your business.
- Have you considered how you would recover from a flood if the worst should happen?
- What happens if one of your suppliers is flooded and have to shut down and cannot supply you?
- What happens if vehicles delivering supplies are delayed due to flooded roads or your delivery vehicles
Considering what precautions you should take to prevent flooding, or the impact flooding may have on your supply chain and your deliveries and be clear on the steps you need to take should the worse happen.
Flood resilience are measures that can be made to the fabric and services of the building to make it more robust, quicker, and easier to clean, dry out, repair and reinstate in the event of flood water entering a property. These types of measures are not cheap however, they will allow your business to recover quicker from flooding. They could also make your business easier to insure and may help secure more favourable terms from your insurers.
You can install these measures at any time, but if you are to consider implementing them as part of the insurance claim following a flood, you should discuss the options with your insurance broker at the earliest opportunity.
For more help and advice on flood guidance and mitigation download Aviva’s flood guide here.
Building Renovations and Managing Contractors
Spring is often a time when business owners look to start renovation or building work on their business premises. A lack of control of building contractors can lead to accidents and injuries to both contractors and employees.
Contractors on site can result in additional hazards around your business premises or damage to premises, machinery and equipment and potentially a loss of business. A possibility of civil liability and civil compensation claims being made against you increase also.
Contracting out a task does not mean you contract out the risk or exposure to your assets or your business activities. Sites are most vulnerable to an incident/accident during change. The use of contractors in many cases constitutes a change to the norm.
For more help and advice on managing contractors and protecting your business from the increased risk of contractors download the Aviva guide here.
Fire
Did you know that in the year ending June 2023 there were 621,552 incidents attended by Fire and Rescue Services in England, of those incidents, there were 173,872 fires, a 12% increase on the previous year.
Fire can cause serious harm to people as well as cause significant business interruption. Buildings, machinery and stock may be destroyed, impacting customers, revenue and the business overall.
There are areas that business owners should consider when assessing fire risk and preventing fires, these are as follows:
- Carry out regular fire safety inspections.
- Implement regular inspection and testing of electrical installations.
- Notify your insurers and do regular checks of EV chargers.
- Consider additional risks posed by contractors & construction work at your premises.
- Consider the security of your building in relation to the risk of arson.
- Monitor and inspect on the storage
Water risk and water leaks
Whilst flooding may not be a direct risk to your business premises, in the UK a large number of property insurance claims are for damage caused by water leaks or burst pipes. Flooding and water leaks can cause huge damage and disruption to any business.
Knowing what to do in the event of a water leak can make sure you are prepared and can help mitigate the damage. Carrying out simple checks, having good accessibility to your plumbing / isolation points, being proactive with your maintenance and understanding available leak detection technology, can help to prevent incidents.
It’s not always obvious burst pipes that cause problems, small leaks can often go on for months without being noticed and can cause significant damage if left undetected or resolved.
Leak detection is now more readily available and can help detect a leak early before major damage or disruption is caused. Leak detection can also be a good way to ensure your business is more sustainable. There is nothing environmentally sustainable about surplus of amounts of water escaping, so consider leak detection and reducing use of water as part of your sustainability strategy.
Theft and vandalism
Protecting your premises and reducing its attractiveness to thieves should be key to your strategy. Think about the layers of protection your property has or could have including:
Layer 1 – Outer walls, fences or gates.
Layer 2 – The buildings outer walls, doors, windows and shutters.
Layer 3 – Inner walls, doors and shutters.
Making each of those layers as robust as possible, will minimise risk of access to stock and equipment.
Theft prevention can include:
- Installing CCTV.
- Installing alarms.
- Additional door and window security.
- Upgrading locks.
- Securing or restricting access to areas containing stock or valuable equipment.
- Controlling keys and codes used around the building.
- Removing valuable stock and equipment overnight.
- Employing security companies and guards.
- Emptying valuable stock, equipment
Summary
Whatever the season, considering some of the seasonal risks that your business may face is key to prevention and protection and ensuring your business is adequately insured.
Communicate with your insurance broker to understand how changes may affect your insurance policies and premiums. For example, adding additional security may reduce your insurance costs or having building contractors on site may increase your risk.
Read Aviva’s comprehensive Spring Risk Guidance here.
At Harborough Portas, we work closely with our clients all year round to advise them should their business circumstances change and how this will affect their insurance. For more help and advice contact the team at Harborough Portas by calling us on 0116 260 0506 or email: mail@harboroughportas.com.
