Severe Weather Protocol

As we move into Spring, the brutal power of Mother Nature will yet again begin to wreak havoc on dealerships across the country. And while you cannot change the weather patterns to spare your dealership, you can take simple steps to minimize the impact that severe weather can have. Plus, being proactive will help you reduce the cost of your Open Lot insurance coverage. 

Below are my three steps to being prepared before a storm hits:

1. Focus on Your Lot – So much of severe weather preparation comes down to your physical lot and the unique features it has. For starters, do everything you can to keep your lot free of debris and items that may dislodge and become projectiles in a strong wind. Properly maintaining the trees and shrubs on and near your lot will help them resist breaking during a storm. 

Next, analyze which direction the majority of the storms come from and how your lot is set up accordingly. Many dealerships have the ability to intentionally position their inventory in a way that can reduce the impact of hail or strong winds. If your lot is prone to flooding, find a parcel of land nearby that you can temporarily move your inventory to. 

You also should give thought to how easily you can move the units off or around the lot in case of severe weather. Will you be able to put higher value units inside? Do you have customer units that you want to prioritize? Take a look at your Garagekeepers insurance coverage to see if it is set up on Direct Primary or Legal Liability to help you decide on how to arrange customer units on your lot. For a refresher on Garagekeepers coverage check out our article here. 

Lastly, assess whether or not your lot would benefit from the installation of canopies or shelters for your inventory. These can be expensive but provide more than just weather protection for your dealership. 

2. Create Emergency Plan – Once you’ve thought in depth about your lot and found areas to improve upon, now it is time to write out the plan. Use the simple Who, What, Where, When and How method to create your plan. There are many questions you should ask yourself when building out your protocol including:

1. 1. Who is responsible for determining when to activate the plan? Who is their backup?
   2. Who else will be involved and how will they be contacted? 
   3. Will you create a phone tree to minimize the number of phone calls one person needs to make and save time before the storm hits? 
   4. What will each person be responsible for; moving inventory, securing the building, contacting customers, etc.?
   5. What type of severe weather will activate your plan? 
   6. When will relocating of units be necessary?
   7. Where will you be moving inventory to, whether at your lot or off-site?

As with most important protocols, make it easy to understand and read, then post a copy in a visible spot within your dealership. 

3. Train Your Team – Finally, make sure you educate everyone on your team regarding this protocol. It is very likely that everyone within the organization will have some form of responsibility when severe weather is looming so taking time to walk through the specifics at their location with all employees is critical. 

I also strongly recommend that you actually practice enacting the emergency plan at least once per year. Emotions and anxiety get high when there is a real storm imminent so being prepared and having practiced your plan will ensure that your team will keep their cool and avoid making mistakes that might cost the dealership much more than the storm itself. 

If you are struggling with creating a severe weather protocol, reach out to a DealeRisk team member today or sign up for our Thrive Security and Safety Package for one-on-one help.