FM Global have recently released a report that outlines the potential catastrophic exposures every business faces due to operator error.
The report highlights a number of worst case scenarios and how an often simple mistake can have massive consequences. The repercussions can also result in a loss of market share, substantial drop in revenue and brand, with some businesses never able to recover from.
The first step is to embrace a safety first culture, and the somewhat distant 2nd step is to ensure you have the right financial protection in place in case the worst happens (avoidance is a far better option).
The FM Global report goes on to consider why Operator Error occurs and notes there is often no such thing as pure operator error, with an error more being a function of the environment; i.e. many contributing factors lead to the error including design, management, training and maintenance. FM Global have noted that roughly two thirds of commercial property losses were at least partly to blame on human error.
Top 8 Common Vulnerabilities:
Low Functioning workers
Business Interruption insurance is a vital component of ensuring you are financially protected when you are most vulnerable, and you and your business can survive and prosper after a disaster occurs.
The full article was created by Bret Ahnell – Executive Vice President FM Global; published via Insurance Hound.