June/July 2004

On June 1, Hurricane Season officially began for residents along the Atlantic coast, and experts are predicting a particularly rough one.

The National Oceanic Atmospheric Administration (NOAA) is expecting as many as 15 tropical storms to form during the season, which runs from June 1 to November 30. Of those storms, roughly eight are predicted to become hurricanes. On the other side of the country, NOAA forecasters are predicting four to five tropical cyclones in the central Pacific Ocean. Like the Atlantic Hurricane Season, the central Pacific season also runs from June 1 to November 30.

For businesses located along the coasts, the threat of property damage and business interruption caused by a natural disaster are harsh realities.

Natural disasters not only affect the company’s physical structures, they create significant disruptions in daily operations, manufacturing and distribution. In cases of business interruption caused by disasters, forensic accounting firms have established programs to assist in evaluating and setting procedures to accurately analyze claims for covered business interruption loss.