In the property business, the three most important things are (so they say) location, location and location. You can hear the wisdom of the ages in those words when it comes to buying, selling and renting – as long as the estate agent’s systems are in working order. And that according to a survey recently done by Travelers, a property insurance company in the US, is where the problem is. In a survey of 200 real estate (property) professionals, the company found that a whopping 57 per cent were operating without any plan for business continuity. But if you think that’s shocking, wait till you hear the other statistic that the survey revealed.
Not only were more than half the property professionals without business continuity plans, but in addition 43 per cent did not rate natural disasters as a business issue of any importance. Given that buildings are usually the first part of any organisation to be affected by floods, fires, tornadoes, natural disasters can rapidly have a significant financial impact. While Travelers, the company doing the survey, is specialized in property insurance, it also puts the emphasis on making a solid business continuity plan. To help its clients it offers a guide to help them understand and apply the basics.
It’s no secret that insurance companies also appreciate clients with good business plans because they can help to reduce insurance claims or payouts. On the other hand, those clients may possibly benefit from lower insurance premiums for the same reason. Travelers makes the point that business continuity must also be a continuing part of an overall business strategy if it is to be effective. The conclusions to the Travelers’ business continuity survey are also that reviews, tests and regular updates are all important parts of the business continuity process.