In the wake of recent natural disasters, everyone has heightened awareness for emergency planning. If yours is like most companies, you already have a written emergency plan, as well as posted emergency procedures and maps of fire evacuation routes and severe weather safe areas.
Recently a plastic extruder moved to a new location in an attempt to consolidate operations and save money. However, they neglected to consider three key points. They did not consider the design capacity of the sprinkler system, they did not consider the building construction and they did not consider the protection class – location of the building. The sprinkler system was significantly under capacity for the commodity exposure, the frame building could not meet the necessary construction design requirements for the storage of their raw materials and finished products and the property was in a protection class 7.
We’ve seen it rain quite a bit here in Southeast Wisconsin this past month. While that rainfall was generally welcome, as we needed to make up for last year’s deficit, what isn’t welcome is the potential water damage that can occur to our property if we get too much rain.
The new year is a perfect time to review your commercial insurance policy to make sure you have the coverages you need at different times throughout the year. For example, you may have more inventory during the holidays, but if you don’t have a high enough limit on your Business Personal Property coverage, you may not have enough protection for these items if there’s a total loss.