Have you ever stopped to wonder what all three of these have in common? Or how they could impact one another – and YOU? These are three ingredients to a perfect storm…
Ingredient # 1: The Great Resignation
The Great Resignation is undoubtedly a term you have heard recently. You’ve heard the stories. Employees are no longer willing to trade their happiness at work for just a paycheck. They want purpose and perks on top of pay. But pay is still important – so much so that they can leave their current role and get hired elsewhere at a higher rate than you’re paying them now.
If you haven’t felt this directly, your skilled trade and labor partners certainly have. Hiring (and keeping) people is more expensive and difficult than ever before – resulting in price increases that hit you in the wallet.
Ingredient # 2: Hurricane Season
The NOAA’s (National Oceanic and Atmospheric Administration) news and warnings have shown us that the 2022 Hurricane Season is predicted to be above average, with current climate conditions like when Katrina hit the US. That means more (and stronger) predicted storms than normal, which means a higher possibility that one of your properties sustains damage (by the way, it doesn’t end until November so we’re not out of the woods yet).
So what do they have to do with each other?
More damage means more need for restoration and repair services. But the partners you depend on for those are facing the same challenges from The Great Resignation as you. These services require a significant amount of labor, supplies, and project management – all of which are more expensive because good people and supplies are hard to come by – and those costs will likely peak even further in the event of a major storm on US soil.
Ingredient # 3: Your (possibly) insufficient insurance policy
So what does this mean for you and your insurance policy? How long ago did you sign your policy? When is the last time you reviewed or increased your coverage amount? Is it outdated – and insufficient?
It’s reasonable to assume that if your policy automatically renews year after year, you may not have gone back to examine the coverage amounts and limits. If you have not increased your coverage amounts or limits in the last two years (prior to 2020 when The Great Resignation began), then you may be forced to work with a policy that will not cover the ACTUAL cost to do business and rebuild your property in TODAY’s marketplace.
Will your policy cover the replacement costs to rebuild after a major event? Or the costs for code upgrades? If you own or manage a business, will you be covered for the cost to YOUR bottom line for a business interruption, due to a building being uninhabitable?
Do you see what we mean, now?
This could be the perfect storm – not enough labor to do the work needed…so the cost of doing business increases…then a major weather event in your area drives up the demand for those services … and you have an insurance policy based on rates and business costs from years ago….
That could mean A LOT of money out of pocket, if not addressed in time.
Pro Tip – Work with your insurance agent NOW to make sure your coverage is up to date with the current market conditions and pricing. Make sure they are in touch with you with every renewal to evaluate if any changes or increases in coverage limits are necessary.
Ultimate Pro Tip – Build a rapport with a reliable, reputable restoration company before a hurricane hits your region. Make sure you have a Priority Service Agreement in place so you can receive expedited services in the event of a region-wide storm. Make sure you have a chance to review their price list in advance as well.
And finally, our Ultimate Mega Pro Tip – Stay tuned to the SecureCore and the RestoreCore social media channels for more information on preparedness and disaster response.