Farmers and Gardeners: Prepare Now to Weather the Whims of Mother Nature

Commercial farms and home gardens alike present similar challenges when natural disasters are a threat. The flat, open land that crops grow in and animals graze on has few natural defenses against flooding, and any tall buildings on farmland, such as barns and silos, can be vulnerable to lightning strikes.  While the average home garden doesn’t have the same scope of a large farm, owners of both can use similar methods to protect their crops, livestock and property from the impact of a natural disaster.

Take a full inventory of everything: livestock, equipment, pesticides, fertilizers, other chemicals and fuel. Animals should be tagged so they can be returned if they get lost or hurt during an incident. Have sandbags and plastic sheeting on hand to cover and protect crops and garden plots in case of flooding. Use wire and rope to secure objects, and lumber and plywood to protect windows. Put a fire extinguisher in every building and vehicle on your property.

Choose a safe, flood-proof location to store extra fuel for tractors and vehicles, food and water for livestock, and a gas-powered generator in case of power failure. Make sure that electrical power to flood-prone machines and structures can be easily turned off. Have hand tools accessible to assist in preparation and recovery.

If you are in a particularly flood-prone area, figure out escape routes for livestock to get to higher ground. Also, keep them out of barns that may flood, as their natural instinct is to seek shelter in a barn during an emergency.

In the aftermath of a disaster, report leaks of any hazardous materials (pesticides, fuel, fertilizer and other chemicals) to authorities.

Check your utilities for signs of damage, and contact your utility company before turning anything back on. Spray surviving livestock with insect repellent to protect against mosquitoes, and have all animals checked for infectious diseases such as pneumonia or foot rot.

Test the soil, especially in smaller gardens and flower beds. It is recommended that flooded areas not be planted again for at least 30 to 60 days. Before replanting, make sure the soil is dry and has been reworked. Salt water can get washed up by waves and storm surge and get into the soil and on plants and trees, causing leaves to brown and damaging roots and buds. The damage salt spray can do to plants can last for several years.

Dispose of any leafy green vegetables and any other crops with edible parts that were touched by flood water. Affected root vegetables can be sanitized for consumption by rinsing them and soaking them in a bleach/water solution.

New York Metro Area at Risk for Hurricane Storm Surge Damage

Although scientific predictions suggest lower-than-normal storm activity for 2014, the risk of significant damage to homes is a constant threat. “Though the 2013 hurricane season will be remembered for the fact that no storms made landfall along the U.S. coast, this reprieve from hurricane-related damage should not lead to complacency in preparing for future storms and the potential life-threatening conditions they can bring,” said Dr. Thomas Jeffery, senior hazard scientist for CoreLogic Spatial Solutions. “This year’s season is projected to be slightly below normal in hurricane activity, but the early arrival of Hurricane Arthur on July 3 is an important reminder that even a low-category hurricane or strong tropical storm can create powerful riptides, modest flooding and cause significant destruction of property.

Florida topped the list for states with the highest number of homes at risk of storm surge damage, with nearly 2.5 million homes at various risk levels and $490 billion in total potential loss.

Additional findings include:

The five states with the highest total number of properties at risk are:

Florida (2,488,277)

Louisiana (738,165)

New York (466,919)

New Jersey (445,928)

Texas (434,421)

The five states with the highest value of reconstruction costs for homes at risk include:

Florida ($490,403,653,377)
New York ($182,474,294,695)
Louisiana ($161,062,467,382)
New Jersey ($134,194,963,314)
Virginia ($92,001,482,217)

Home reconstruction value in the Gulf is much less than the reconstruction value of homes in the Atlantic region. The total reconstruction cost value of homes along the Atlantic coast is nearly $951 billion, approximately double the value of at-risk properties in the Gulf region at just over $545 billion. 

Property Insurance and Disaster Recovery - Part 5

The plan for getting your loss adjusted and paid should also consider (both before a loss and most certainly after) issues that are specific to your property needs:

-Telecommunications leasing and services should be analyz ed. Both existing and any new contracts should be tailored to your operations and the realities of the space within which you will conduct business.

 

-The recovery may require financing–be it an acquisition loan, line of credit to continue operations, or construction loan to fund the rehabilitation or new construction. The different means available for acquiring such financing should be considered.

 

- Depending upon what a business plans or ends up opting to do after a loss, tax consequences may arise. A tax analysis should factor into the ultimate decisions made about either repairing/replacing the damaged property, or even abandoning the property and opting for a new property for conducting business. Attention should be paid to your property insurance as it may specifically address tax treatment and provide certain options and benefits depending upon the circumstances.

 

While no one can work out every detail of a disaster plan before disaster strikes, preparing checklists in advance, and taking steps such as scouting out viable temporary space, can greatly smooth the path to recovery and maximiz ation of insurance claims.

                                                                                                                    

Property Insurance and Disaster Recovery - Part 4

The plan for getting your loss adjusted and paid should also consider (both before a loss and most certainly after) issues that are specific to your property needs:

 

- Is your space worth rehabilitating? If it is, then your company will need to contract for design and construction services to rehabilitate the current space or rebuild on site. If the space that will be rehabilitated is leased, your company needs to coordinate its efforts with the landlord.

- If it is not worth rehabilitating, then your company must consider how it will dispose of the space (for example, selling the property or cancelling the lease), and how it will acquire new permanent space. In addition, your company will need to contract for design and construction services for its new space. This process should involve a z oning analysis to ensure that your company build what it needs and conduct its operations on the chosen site.

-How will you operate on a current basis? Whether or not your company relocates, it will likely need to lease temporary space to resume current operations. It may also need to rent space to store saved or salvageable equipment and inventory.

 -Depending on the cause of the loss (for instance, if it was a loss during construction/renovation), litigating against the party causing the loss (and its insurance company) should be considered, either directly or through your insurance company.