Are You Ready ... When Disaster Strikes?

Prepare Your Business for Emergency

By: Debbi Conrad

Emergency or disaster planning generally has three basic components:

• Protecting staff and clients from personal injury and illness
• Protecting business assets
• Planning for business continuity

Personal Safety

Emergency Kit
Keep an emergency supply kit in each office location. A good emergency kit will include:

• Flashlights and extra batteries
• A battery-powered radio
• Basic first aid supplies including gauze and tape, antiseptic wipes, anti-bacterial ointment, a cold pack, non-latex gloves and a CPR breathing barrier
• Non-perishable, ready-to-eat food such as canned foods and granola or energy bars
• At least one gallon of drinking water in plastic containers
• Plastic utensils, cups and plates; plastic garbage bags; paper towels
• Medications such as pain relievers, stomach remedies, etc.
• Mylar blanket
• Basic tools such as work gloves, crow bar, wrenches, etc.
• Emergency contact list
• Plastic sheeting (thickness of 4 to 6 mil), duct tape (minimum thickness of 10 mil) and scissors (for sheltering in place)
• Camera and film

Evacuation Plan

Create a floor plan of the office and label at least two emergency escape routes. Mark the tornado shelter and shelter-in-place locations (for chemical incidents) and the location of the emergency kit (the shelter-in-place room, if possible). Label an assembly site where everyone can meet after they have exited the building. Assign key staff members to act as safety coordinators; they will decide when to evacuate the office and shut down computers and other equipment, close doors and lock the office. Distribute copies of the evacuation plan to staff and post it in the office.

Emergency Contact List

Prepare a list of contact information for the police department, fire department, hospital, building manger (if office is rented), insurance agent, utility companies, local building contractors and the Red Cross. Also list contact numbers for all staff (include home numbers and who to call in an emergency).

Safety Equipment and Training

Equip the office with fire extinguishers, smoke detectors and carbon monoxide detectors. Consider installing a sprinkler system and emergency lights that come on if the power goes out. Offer CPR training to staff.

Sheltering in Place

If local authorities believe the air is badly contaminated with a chemical (for example, a chemical tanker overturned in front of your building), you may be instructed to take shelter and “seal the room.” In this situation, bring everyone inside, close all windows and air vents, and turn off fans, air conditioning and forced air heating systems. Take the emergency supply kit to the shelter-in-place location (if the kit is not already stored there). A shelter-in-place location should be an interior room, such as a break room or conference room, with no or few windows. Once everyone is in the room, seal all windows, doors and air vents with plastic sheeting and duct tape. Measure and cut the sheeting in advance to save time.

Safeguarding Business Assets

• Make back-up copies of computer data and critical records and store them off-site
• Keep copies of important documents such as a lease and insurance policies at a different location
• Install surge protectors for all computers and phones, and use battery back-up systems
• Maintain critical information access passwords and login codes in a secure location

Plan for Business Continuity

Consider the impact if the office shut down as a result of a disaster. What would be needed to continue your business?

• Have a written delegation of supervisory authority that goes into effect only if the supervising broker or managing brokers become incapacitated, and leave any information that replacement or interim managers would need to effectively run the office. Seal this in an envelope to be opened only in the event of a disaster.
• Review office insurance coverage with your insurance agent and ensure that there is coverage for computers and critical business contents. Be aware of what is and is not covered (for instance, most policies do not include flood insurance). Consider whether business interruption insurance is needed.
• In the event of a loss, contact your insurance agent immediately and be ready to explain how, when and where the loss occurred and give a general description of the damage. Take pictures of property damage, if possible.

September 2005 Issue