Business Management
The Insulator • June 2026 
26
26
DISASTER RECOVERY PLANS
The Right Preparation Can Protect Assets and Profits
F 
ires in California. Tornadoes in 
Kansas. Hurricanes in Florida. Floods 
in North Carolina. 
Natural disasters can strike anywhere, causing 
lost lives, destroyed homes, and damaged 
communities.
Businesses are not spared. Those left behind 
can find themselves repairing collapsed 
structures, replacing destroyed inventory and 
reworking disrupted supply lines. Little wonder 
one out of four businesses does not open 
again after a disaster, according to the Small 
Business Administration (SBA). 
“Damage from disasters can 
be especially great for smaller 
operations with insufficient financial cushions,” 
said Erica Bornemann, Vice President of 
Planning and Risk Reduction at AC Disaster 
Consulting. “In the worst-case, a disaster can 
put a company out of business.”
Plan ahead 
Given the stakes involved, adequate 
preparation is critical. “Every business needs 
to develop a comprehensive all-hazard 
emergency response plan,” said Bryan Davis, 
a consultant with Texas A&M University 
extension service. “The plan should cover 
Dedicated to keeping its members at the forefront in their industry
Businesses face existential threats from disasters such as fires, 
hurricanes, tornadoes and floods. Prudent advance planning will help 
preserve assets, retain customers, and ensure the preservation of 
systems required to continue operations. Recovery routines must be 
supported by sufficient insurance to cover specific regional risks.
Phillp Perry

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