Weather warning

Along with Covid-19 uncertainty, the weather at this time of year brings its own set of risks, so be prepared for any disruption or loss, writes insurance broker Brian Mullins

There’s no doubt that the Irish hair and beauty industry has had a challenging year. The 15-week closure of salons during lockdown was very diffi cult, as is the ongoing uncertainty around the different restrictions that may be put in place by the Irish Government in the foreseeable future. As the majority of businesses are now concentrating so much of their efforts on keeping their doors open, it’s easy to forget about other risks to premises, especially at this time of year.

As the months gets colder, and heating systems are being turned on, the potential for freezing temperatures, frost and ice brings a range of property risks. The average loss of a claim relating to burst pipes in Ireland is €27,000, and some water claims damages have been known to run into six fi gures.

Building types

The size of a building can increase its vulnerability to freezing pipes, as does the design and layout of the plumbing system. Many insurers have reported that poorly insulated attics and pipes are the most common cause of burst pipes. According to one leading property claims handler, a lot of businesses don’t realise there’s plumbing in attics, so they don’t think they need to heat that space or install insulation. The same goes for pipes in concealed spaces, between interior and exterior walls.

Age is another contributing factor. Claims from older buildings also tend to be more severe, because they often require further building updates during the clean-up and repair process. With the amount of equipment in Irish salons increasing, and becoming more sophisticated, any exposure to water damage can render these items useless, and the cost of replacements can be very high. It is vital that salon businesses insure their equipment, trade contents, and stock for the correct replacement values, to ensure that their policy will be there to cover their loss when it comes to making a claim.

As part of the Government’s winterready information, the Department of Business, Enterprise and Innovation has prepared a practical checklist for businesses, to help them prepare for severe weather events. To ensure business continuity, preparation is key to minimising disruption during such events. In order to do this, various severe weather scenarios should be considered, in terms of how they can affect the place of work, that is, the site and buildings. Some of the key points raised in the Government document include:

■ Is the location, or access to it, at risk of flooding?

■ Are access points liable to diffi culties; for example, are access roads positioned on a slope at risk of ice?

■ Are water pipes insulated, including in and around vacant buildings?

■ Is there information and contact details on file regarding key services available, including local authority details?

‘The average loss of a claim relating to burst pipes in Ireland is €27,000, and some water claims damages have been known to run into six figures’

The Government checklist also refers to insurance cover. It’s important that salon businesses review all aspects of their cover, and contact their insurance advisor with any concerns they may have. They should check if they are suffi ciently insured for circumstances likely to happen in a severe weather scenario, or weather emergency, such as liabilities that may arise from snow, ice or fl ooding. It’s also worth considering the potential impact if employees are unable to attend work during this time. The best advice is to take some time now to prepare your business for the months ahead, in order to avoid potentially catastrophic losses.

For more information visit bmib.ie or tel: +353 (0)71 9141030.