Businesses at risk of being caught cold

With warmer than average temperatures experienced in November and mild weather predicted for December, businesses may be lured into a false sense of security this winter. The Met Office is predicting a late cold snap that could cause problems for owners and managers of small businesses. Additionally, AXA is advising that businesses check their insurance policies to ensure they cover adverse weather phenomena. With the UK experiencing an upsurge in unpredictable extreme weather, such as tornadoes and hurricanes, it is vital businesses have adequate financial protection.

During cold weather, burst pipes and the breakdown of heating systems present the biggest problems to businesses. Such events can cause water damage to property and key equipment, which can leave businesses with significant repair bills, damaged stock as well as loss of business, the financial cost can run into thousands of pounds.

ìBecause of the current mild weather, business owners may not be prepared for a sharp drop in temperature. With some commercial properties shutting down over the festive period, businesses should make contingencies to ensure they do not return to a large and costly headache. A few common sense precautions can be taken to reduce the risks cold weather can pose,î explains Doug Barnett, risk control strategy manager for AXA Insurance. ìFor example, making sure the heating is left on at a low temperature in unoccupied premises will prevent pipes from freezing and bursting.î

Other tips for protecting premises, stock and equipment against cold weather include:

Identify the location of stop cocks/valves inside the premises as well as the main incoming valve in the street. Be sure to advise staff of their location.

Businesses with share their premises should discuss contingencies for common/shared areas with their landlord.

Avoid storing computer and electronic equipment on the floor.

Ensure stock and packaging materials are a minimum of 150mm off the floor in racking or on pallets.

Ensure heating systems are given regular maintenance checks and frost stats are operational.

Review and update emergency contact lists.

Retain insurance company/intermediary details and ensure emergency contact staff have copies.

If the business is going to be closed for extended periods of time organise regular inspections during severe weather.

Businesses occupying shared premises should also discuss the following with their landlords:

Find out whether there are water tanks in building roof space, where they are and whether associated pipe work lagged or trace heated.

Discuss whether areas occupied by other tenants are protected against frost damage and burst pipes.

Ascertain whether there is a central emergency contact register. If there is, ensure the business has a copy.


If there are unoccupied areas in the building, find out who is in charge of inspecting them.