That sinking feeling – flooding could be devastating for your business
A feature of our winters now seems to be heavy rain rather than extreme temperatures. In addition, this summer we saw dramatic flooding around the country.

The media tends to concentrate on the impact of flooding on housing but flooding of business premises can be just as costly – especially as a number of modern business parks are built on flood plains. Business disasters attract far less political and public sympathy and indeed whilst insurers feel they have a current duty to offer flood insurance to all households they are likely to be selective in providing cover on commercial property.

There are a number of locations in the UK where cover is difficult to obtain or is highly priced. Maps of high-risk areas are available on the Environment Agency website www.environment-agency.gov.uk/subjects/flood and businesses can subscribe to a flood alert system by calling 0845 0988 11 88. However, even if your premises are not in a flood prone area, it can still be hit by flooding caused by a sudden downpour which drains may not cope with.

It would be foolish for those at risk not to have a business continuity plan. This is often called a Disaster Recovery Plan. It should cover all the normal items regarding contacts, employee evacuation, shutdown procedures, dealing with hazardous materials, protection and security of assets, salvage procedures and details of specialist drying contractors. Alternative working options should also be investigated in case of a prolonged shutdown.

There are a number of ways a business can minimise the impact of flood in advance. Some of these cost nothing and others are expensive and will depend upon the degree of risk of flooding occurring.

If the worst happens and a flood occurs your broker should be available immediately to help in dealing with the aftermath and any insurance claim.

Good practices
  • Consider the height at which goods are stored; the higher the goods the less chance of damage
  • Look carefully at equipment stored at or below ground level. Certainly electrical equipment should be kept at as high a level as possible, perhaps on platforms
  • Identify a suitable site for evacuation of vehicles to higher ground
  • Install back flow valves on all toilets and drains
  • Raise electrical sockets above potential flood levels
  • Store stock on pallets or shelving
  • Raise cabling, or position in suspended ceilings above ground level
  • Purchase an emergency power generator
  • Look at the range of permanent or semi permanent flood protection products available.

If the worse happens and a flood occurs then you need to consider the following:

  • Ensure it is safe to enter your property. There may be structural damage
  • Be very careful of downed power lines. These could make the building an electrocution chamber
  • Do not enter the building until you are sure all mains electrical supplies are disconnected and gas is turned off
  • Be careful of slippery surfaces and get the drinking water tested as it could be contaminated
  • Watch out for debris as it could be polluted by sewage
  • During clean up, wash your hands thoroughly and often
  • Keep staff and public away until all health and safety checks have been cleared.

We have written a guidance paper for businesses who wish to create a Disaster Recovery Plan. Contact us on the details below and we will be pleased to share it with you.

For further information please contact the PoundGates team
e-Mail: info@poundgates.com or 01473 216406
Authorised and regulated by the Financial Services Authority