The resulting damage often goes beyond that of structure and contents. Your business operation can be interrupted by direct damages to your business location and equipment, or by failure of critical local infrastructures like electrical power, water supply and road systems. Over 630 businesses were affected in the Santa Cruz area by the 1989 Loma Prieta, California earthquake. Over 250 business in Chesterfield, Missouri where affected by the Midwest Floods of 1993. Only 65 of the businesses had re-opened a year after the flood and the Chamber of Commerce estimates that only 65 percent of the businesses will ever reopen.
Mitigation is a proven, cost-effective option, for businesses to reduce their exposure to damages.
For example, in a flood prone area, businesses can elevate machinery and utility systems to reduce the likelihood of water damage during a flood. In an earthquake prone area, mitigation can be as simple as securing desktop equipment, like personal computers or cash registers, with heavy duty velcro or straps to prevent them from falling to the floor. In a hurricane prone area, the installation of storm shutters over all exposed windows is an effective mitigation measure. Debris can break windows, allowing high winds inside your business which can increase the level of damages. Purchase applicable insurance.