How to Prepare for Winter-related Business Interruptions

Winter can bring many challenges for businesses, from severe weather conditions to supply chain disruptions and other winter-related business interruptions.

A single storm, accident or other unexpected situation could quickly derail your operations and destabilize your company’s financial wellness. Fortunately, by preparing for these potential interruptions, your business can position itself to recover swiftly and minimize losses.

Steps for Limiting Winter-related Business Interruptions

When considering things that could go wrong during the winter, take the following steps:

1. 1. Develop a winter preparedness plan.
      • Identify critical operations and create contingency plans.
      • Establish communication protocols for employees and stakeholders.
      • Conduct regular training and drills to ensure everyone knows their roles.
   2. Maintain infrastructure and equipment.
      • Schedule regular maintenance for heating systems, generators, and other essential equipment.
      • Ensure that buildings are well-insulated and that pipes are protected from freezing.
      • Stock up on necessary supplies like salt, shovels, and emergency kits.
   3. Monitor weather conditions.
      • Use reliable weather forecasting tools to stay informed about upcoming storms.
      • Implement a system for timely alerts and updates to employees and customers.
      • Adjust operations based on weather predictions to avoid unnecessary risks.
   4. Consider flexible work arrangements.
      • Encourage remote work options where possible.
      • Develop policies for flexible hours to accommodate travel delays and safety concerns.
      • Ensure employees have the tools and access to work from home effectively.

   How Can Business Interruption Insurance Help?

   Business interruption insurance can be a valuable tool for mitigating the financial impact of winter-related disruptions.

2. This type of coverage may often be available as an addition to a commercial property insurance policy and can be a valuable enhancement for your loss control measures.
3. Specifically, business interruption insurance may help pay for the following losses and expenses following a covered incident:
   • Reduced income
   • Rent or mortgage payments
   • Employee payroll
   • Taxes
   • Utility bills
   • Loan payments
   • Temporary relocation costs

   We’re Here to Help

   Contact Strawn & Co today to learn more about business interruption coverage and other workplace precautions to limit the potential impact of winter-related disruptions.

    

   This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.