As a business owner, you know that a business venture has many risks: fire, tornados, break-ins and other property damage occur all too often. Hopefully, you’ll never experience a loss; but accidents happen. Fortunately, there are simple solutions for minimizing stress during potential nightmares that make you more prepared to handle the aftermath of a loss.
Aside from proper insurance coverage, organization can play a key role in managing stress during a claim. Creating a checklist is a great starting point. It’s important to remember to update the list from time to time, especially when you make any changes to the structure of your business and day-to-day operations.
Step 1: Take Inventory
Think about your salon. Go room-by-room and list everything inside the salon – the contents. Not only is there equipment, but also flooring and walls. Be sure to include the laundry room and its contents, any retail items, furniture, artwork, and items in storage.
Besides what’s inside the salon, it’s important to know the items you are responsible for in your property lease. Other items to consider include light fixtures, doors, front window glass, signs, heating and air conditioning units, and any add-ons.
Check with your insurance agent to make sure all of these items are included in your Building and/or Business Personal Property coverage, and that the limits are sufficient for your needs. Remember to also update your agent any time changes are made.
Step 2: Record Detailed Info
While the inventory list is a great starting point, it should also be as detailed as possible. Don’t just list nine sunbeds, one stand-up, one spray-booth. List the units’ manufacturer, model, serial number, and information such as the date of purchase. The more detailed info you can list, the better.
If you have unusual items, or some that are higher in value, make sure you discuss these with your agent to make sure that no limitations exist on fine art and if so, be sure to add it to your policy. Sometimes, taking time to physically write everything down reminds you of things you have forgotten about or didn’t consider. Photos of your salon’s contents are also a great addition to your checklist. In the event of a claim, the easiest way for an adjuster to see the caliber of your salon is by seeing pictures of the space prior to the loss.
Step 3: Storage
Taking inventory and creating a detailed checklist are important things to do, but it’s also essential to make sure these records are kept in a safe and secure place. This secure place should be somewhere outside of your business proper, possibly at your bank or another protected spot. Having the list is great, but it needs to be protected.
In the event of an accident, here are a few quick tips:
- Call 911 (or the police/ fire department) and report the accident.
- Make sure you and your employees are safe.
- Take steps necessary to prevent further complications.
- Stay on the scene unless you are at risk.
- Only discuss the specifics of the accident with the emergency respondents. Avoid the media.
- If the area is safe, take photos for record.
- Keep a copy of the police/incident report.
- As soon as possible, notify your insurance agent.
Remember that above all else, the best way to protect your investment is to purchase the appropriate insurance coverage. Make sure to work with an agent familiar with the industry, who is able to tailor coverage to your specific needs.
Remember that above all else, the best way to protect your investment is to purchase the appropriate insurance coverage.
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