NOAA Predicts Increased Storm Activity in 2011 Hurricane Season

BDO Consulting Urges Businesses to Prepare Now

NEW YORK--()--The National Oceanic and Atmospheric Administration (NOAA) released its updated hurricane season outlook on August 4, which predicted high hurricane activity August through October. The mid-season update forecasts an increase in the number of hurricanes to 7-10 (up from 6-10 in May) with 3-5 potentially becoming major hurricanes in the Atlantic Basin. The number of named storms has increased from 12-18 to 14-19 for the whole season, which runs June – November. These ranges are significantly higher than the long-term seasonal averages of 11 named storms, six hurricanes and two major hurricanes.

In the wake of NOAA’s predictions, BDO Consulting urges business owners and risk managers to make early preparation a high priority. Named storms and hurricanes can severely affect companies of all sizes. Employees’ safety is at risk, assets are vulnerable, and businesses can be displaced or even shut down entirely. Business owners and risk managers then face the challenge of dealing with complex property and business interruption insurance claims.

BDO Consulting has worked with hundreds of businesses to help them prepare for unexpected catastrophes and accelerate the recovery process. Below are some actions businesses can take now to better prepare for hurricane season and ensure they are equipped to deal with the uncertain aftermath of a storm.

For more information on what your business can do to prepare, please contact Glenn Pomerantz, Partner at BDO Consulting, at gpomerantz@bdo.com

Disaster Preparedness Tips

  • Create or update disaster recovery plans
    • Consider changes in secondary or back-up locations and operations, mitigation strategies, logistic alternatives, tested employee safety and evacuation plans, critical contracts and other significant impacts to the business’s risk profile
  • Assess whether accounting systems can adequately capture information to quantify and document losses, including:
    • Lost orders, cancellations, decline in demand, extra expenses, property remediation and property repair
  • Assess whether employees have been adequately trained to capture relevant loss data and documentation
  • Review insurance policies for appropriate values and coverage, including:
    • Deductibles and self-retentions
    • Coverages such as flood, contingent business interruption, extended period of indemnity, civil authority, ingress/egress, ordinary payroll, power outages and claim preparation fees
  • Back-up records and other critical information in advance of a hurricane.

BDO Consulting can also advise businesses coping with disaster recovery and address all aspects of the hurricane property and business interruption insurance claims process.

About BDO Consulting

BDO Consulting, a division of BDO USA, LLP, provides litigation, investigation, restructuring and risk advisory services to major corporations, law firms, insurance companies, financial services entities, and government organizations. Our highly experienced and well-credentialed professionals draw upon a range of industry knowledge and completed consulting engagements throughout the United States and internationally to provide clients with unparalleled service. BDO Consulting leverages the global industry and accounting knowledge of the BDO International network, providing rapid, strategic advice to assist our clients with dispute resolution, risk management, mergers and acquisitions, financial solvency and regulatory compliance issues.

Contacts

BlissPR
Emily Simmons, 212-584-5482

Release Summary

Business should prepare for hurricane season with a disaster recovery plan. BDO Consulting's Business Interruption practice offers tips and advice for disaster preparedness to business owners.

Contacts

BlissPR
Emily Simmons, 212-584-5482