Natural Disasters and Crisis Management W W W . C H I C A G O L A N - - PowerPoint PPT Presentation
Before and After the Storm Natural Disasters and Crisis Management W W W . C H I C A G O L A N D R I S K F O R U M . O R G Introduction Theresa Severson , VP Insurance & Risk, Retail Properties of America Inc. Mitchell Dane Henry ,
W W W . C H I C A G O L A N D R I S K F O R U M . O R G
Before and After the Storm
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What are the worst things that could happen to my
When is the worst time that an event could occur? What can be done to prevent or decrease the impact of the incident / event? What is the communication process during the crisis? How could a disaster impact employees? Impact to external stakeholders (e.g. community / public safety, local emergency access)
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− Quantifying key risk & exposures – property advanced analytics − Corporate risk tolerance − Traditional insurance vs. alternative risk transfer − Policy wording key – covering the claim before it occurs!
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Business Continuity Plans are as varied as the businesses they support and the associated hazards faced, but that is why they are worthwhile.
STANDARD CUSTOMIZED FOR YOUR BUSINESS
People Financial Technology
BUSINESS
Connectivity
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− Conference calls, updated storm information, potential risks − Employee safety
− Insurance Broker: Discuss coverage/financial impact, alert Insurers/TPA, share information − Vendor/Contractors: arrange contracts/commitment to respond to your assets as priority − Customers & business partners: communications/updates
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− RSM Risk Modeling
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mapping program − Evaluates risk in current portfolio by providing geospatial view of TIV aggregation and resulting exposure by peril − Assesses impact of any changes to exposure brought about by additions or deletions to portfolio − Visualizes loss impact by comparing portfolio to historical catastrophic event footprints − Provides real-time information and tools to assess the level of exposure to portfolio, in the event of a large present-day catastrophe
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Hurricane Harvey vs. Portfolio Exposure Heat Map / Hurricane Irma vs. Portfolio Exposure Heat Map
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Applicable Coverage – What coverage will be triggered? Deductibles – How will deductible be applied?
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Practical Applications: − Inspect properties − Secure loose equipment/ property − Inspect roof drains, remove debris − Place sandbags − Attach window protection Documentation: − Keep records of pre-storm preparedness − Document notifications/updates to tenants − Keep copies of employee contact list & continuity plan
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− Review lessons learned from past events and apply to preparedness plans
− Discuss your plan with all employees
− Advise employees to have 3-5 days of provisions, reinforce prudent practices, and update/validate contact lists
Protect Them − Elevate or secure critical equipment
− Consider electrical services, water, and communications – contact service providers accordingly
− Anticipate wind-driven debris and secure windows/openings
− Use plan outline to consider specific threats and anticipate staffing, supplier, and community impact
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Phase II: 48-72 Hours Phase I: 24 Hours Phase III: Continuity/Alt Ops
(Example: roadmap to recovery) Stabilize/Assess Remediation/Recovery Rinse/Repeat
Function/Owner
Incident Commander Communication, method of status reports Plan development and organization Establish process Security, Safety, Health, Environmental Safety tips, rounds (link do documents) Revised protocols, incident investigation and reporting Compliance reporting (link to standards) Operations, Facilities Assessments and protective measures Emergency repairs, monitoring damage Plan to normal ops (link to plans) IT, Finance, Legal, Procurement, etc. Communication, threat assessment Contractor support (link to contacts) Alternative supply, temp services, compliance
(This is a generic model – customize according to operations, hazard and applicable standards)
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Contact critical suppliers & business partners Put in place alternative methods to continue business ops − Incident response team liaise local authorities − Code requirements, curfews, communicati
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− Account for all employees – notify emergency responders if in peril − Consider employee needs – provide shelter, food, gas
− Take photos of damage/videos – What are first indications of damage? − Secure building – assess need for private security if necessary − Prevent further damage
− Emergency repairs – prevent further damage − Coordination between department regarding specific inspections, ie: roofing, buildings, etc. − Documentation of repairs, invoices with detail/back-up, work orders with detail, status reports
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− Risk management/property manager/ broker work together to coordinate − Identify damage − Reach agreed scope of repairs/pricing
− What’s covered/what’s not? How are deductibles applied? What falls outside coverage? − Is there an NFIP to consider?
− Daily calls & reports with relevant departments & broker − Communication with stakeholders − Property management communicates with tenants, tenant reports of damage/ impact − Continuous coordination/ communications with risk management & broker
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− Use resources from your broker – they are your advocate and ally − Understand your coverage before the storm − Prepare your properties and your people – set expectation of after the storm process − Include your broker claim advocate
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What worked? What could be improved? What didn’t work? Plans for the future?
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Stephen Fox SVP Property Risk Control Leader, JLT Specialty US stephen.fox@jltus.com Theresa Severson VP Insurance & Risk, Retail Properties of America Inc. severson@rpai.com Mitchell Dane Henry Claims Manager, Retail Properties of America Inc. Dane-henry@rpai.com Sarah Sherman EVP Property Practice Leader, JLT Specialty US sarah.sherman@jltus.com Lesa Medeiros VP Claims Advocacy , JLT Specialty US lesa_medeiros@jltus.com