23 Jul Hurricane Season Safety for Chemical Facilities
About The Author
Kolten Hoffman, CIC, CRM, CRA – Business Risk Advisor
As a Business Risk Advisor, Kolten works in both sales and service, generating new business opportunities while delivering personalized solutions to address our clients’ multifaceted challenges.
As hurricane season escalates, the U.S. Chemical Safety and Hazard Investigation Board (CSB) advises chemical facilities to take the appropriate steps to prevent incidents caused by severe storms and flooding. Hurricane season safety for chemical facilities is critical, as businesses that manufacture, store, or handle chemicals are particularly susceptible to hurricanes and other natural disasters. These events can trigger dangerous chemical releases that pose serious threats to employees, emergency responders, and surrounding communities.
Why Preparation Matters
The chemical manufacturing industry faces not only property damage threats from hurricanes but also the potential for environmental disasters, fires, and toxic exposure. Due to the high-risk nature of these operations, only a select few insurance agencies are equipped to properly service this sector.
In addition to having an emergency response plan in place, facilities should proactively assess storm-related vulnerabilities and ensure they have both physical and financial safeguards in place.
The Role of Insurance in Chemical Facility Risk Management
Proper insurance coverage plays a vital role in supporting recovery after a disaster, but it goes best alongside strong prevention efforts. While insurance can’t prevent a hurricane or chemical incident, it can help mitigate the financial impact when one occurs.
Tailored protection includes:
- Pollution liability coverage for environmental clean-up, legal expenses, and third-party claims
- Property and equipment protection for flood, wind, and storm-related damage
- Business interruption insurance to help keep your company afloat if operations are impacted
- Custom risk management plans based on your operations and storm exposure
By combining tailored insurance coverage with the CSB’s readiness guidelines, chemical manufacturers can better protect their people, property, and surrounding communities.
Resources to Review
The CSB has released valuable materials to help facilities prepare for hurricane-related hazards. It is recommended to review and implement these CSB materials to reduce risk and improve chemical safety readiness:
- Extreme Weather, Extreme Consequences: CSB Investigation of the Arkema Crosby Facility and Hurricane Harvey
- FINAL REPORT: Arkema Inc. Chemical Plant Final Investigation Report
- Fire from the Storm: Chemical Release at Bio-Lab – Safety Video
- Caught in the Storm: Extreme Weather Hazards – Safety Video
The best strategy for safeguarding your business during hurricane season is a combination of proactive preparation and specialized insurance solutions. Hurricane season safety for chemical facilities requires both operational planning and financial protection. By following CSB guidance and working with an experienced insurance partner, your facility can minimize risk, protect your team, and ensure operational resilience.
A safe business is a strong business. If you’d like help identifying risks or making sure your insurance coverage protects your unique needs, we’re here to help. Contact one of our talented Risk Advisors to review your policies and identify potential risks.
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