As 2013 begins, residents in the Northeast whose homes, businesses and communities were torn asunder by Superstorm Sandy are on the long road to recovery. From the federal government on down to neighborhood organizations, discussions are being had over how—or whether—to repair and rebuild.

These conversations provide the insurance industry with an opportunity to help break the tragic cycle of coastal-property destruction/replacement/destruction in which our nation has been caught for far too long.

In addition to the havoc Mother Nature has wrought in several communities in 2012 and 2011, with wind, water and wildfire, she will inflict more harm in 2013—and every year to follow. It is time to show that we actually have learned from past and current devastating events. We must commit to taking a better path forward and to educating insureds and other stakeholders in areas broadly exposed to catastrophe about how they can better prepare for the next storm.

Insurers have an important interest in the way federal and private dollars flowing into communities devastated by Sandy are spent. We should be making sure that contractors, builders, code officials, engineers, architects and other public policymakers support, encourage and, where possible, incentivize storm victims to invest recovery dollars wisely by creating more resilient structures. Whenever one stakeholder doesn’t support hardening structures—or worse, talks a home or business owner out of putting the pieces of their life or livelihood back together stronger and safer—an opportunity to break the cycle of destruction is lost.

Fortunately, it is no mystery how to create safer, stronger residential and commercial structures exposed to hurricanes. While the majority of damage caused by Sandy was water-related, the next storm could very well bring high winds as well. Some of the most effective loss-mitigation techniques are simple, are not controversial within the building community and do not cost much—especially when measured against the benefits they pay in return.

First, we must “get the roof right.” The roof is a building’s first line of defense against high winds and wind-driven rains. Using ring shank nails instead of smooth nails or staples to hold roof elements together actually doubles the strength of a residential roof and costs only about $100 for an average home. Also, effectively sealing the roof deck to prevent wind-driven rain from getting inside costs only approximately $500 for an average home.

When it comes to commercial roofing, ensuring that the roof elements are securely anchored to the roof deck, particularly around the perimeter, and that flashing is robust and well attached is critical—and relatively inexpensive. By keeping wind and water out, such small investments can greatly reduce exterior and interior structural damage, as well as additional living expenses and Business Interruption losses; the latter is particularly true when power is out for an extended period of time, as was the case post-Sandy.

Second, we must create a strong self-defense system for coastal property by connecting the larger pieces of a building with metal straps, creating a strong, continuous load path from the roof to the walls, the walls to the floors, and from walls to the foundation. This prevents punishing waves from pounding and tearing buildings apart. Doing this during initial construction or substantial rebuilding keeps expenses down, adding at most 5 percent to total construction costs.

In addition, windows and other building openings must be protected (employing impact-resistant glass or shutter systems) and proper elevation in flood-prone areas (such as having elevated foundations or building upon pilings) should be non-negotiable. The only truly effective way to reduce or prevent flood damage is to ensure a building is elevated well above the base-flood elevation for the area.

There is a very old saying that goes, in part: “If not now, when?” Insurers have a long, impressive history of leadership in advocating loss-mitigation tools and techniques. Right now, it is time for insurers once again to rally and act as a force for change by leading the effort to break the cycle of destruction along our nation’s coasts.

Special Reports /

If Not Now, When?

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