A lot of Americana Insurance clients are farmers, and that
forces us to pay close attention to the weather. But it occurred to us that other business
owners might not be thinking about summer weather yet.
The news in farm country last year was dominated by
drought. While a few farmers in
unaffected areas were able to take advantage of high commodity prices, many
more found themselves facing yields and revenues that were much lower than
expected.
This year, it looks like the drought is back. According to
forecasts from NOAA (the National Oceanic and Atmospheric Administration), the
2013 growing season will not be much better than last year. NOAA’s February through May forecast predicts
that only the very eastern regions of Minnesota and Iowa can expect to see any
relief. Farmers in central and western
Minnesota and Iowa can expect that drought conditions will be the same as last season. (The forecast is here: http://www.cpc.ncep.noaa.gov/products/expert_assessment/seasonal_drought.html
)
Under circumstances like these, most farmers understand that
it is essential that they do some wise planning when it comes to their crop
insurance.
But what if you’re not a farmer? Have you planned on how your business might
be impacted by a dry summer?
If you own a lawn-care company, for example, how will dry
weather hit you? Your clients may be asking you to mow only once a month rather
than once a week. Do you know how else
you might generate revenue? If you
operate a golf course, are you ready for the possibility that you may face a
water shortage that will interfere with your watering and maintenance plans? Have you budgeted for the possibility that
you may have to truck in water? Do you have plan in place?
At Americana insurance, we’re known as “the insurance guys”,
but insurance is a lot more than just a policy you buy. It can also just mean planning ahead: knowing
that you’ve taken the time to think through all the possibilities so you’re
ready to deal with the challenges that crop up.
A prolonged drought will be a game changer for many business
people, not just farmers. Of course, whenever circumstances change, it’s never
a bad idea to sit down and have a talk with your insurance agent and explore
insurance policy possibilities that you may have overlooked…but it’s even MORE important that you set aside a little time for
planning ahead, so that you know your bases are covered.
