Will your insurance cover your business for looting?

Why we think you need physical security during civil unrest in New Zealand.

It’s easy to think, “Looting doesn’t happen here in New Zealand.” But ignoring potential realities leaves businesses unnecessarily vulnerable. While widespread events might be rare, history shows that public demonstrations and periods of heightened tension can, and often does, lead to property damage and disruptions that impact businesses. Responsible business owners understand the importance of proactive preparedness, not out of fear, but out of a commitment to protecting their assets, staff, and livelihoods. Furthermore, many standard business insurance policies contain standard exclusions for losses arising from “war, terrorism, and civil commotion,” meaning relying solely on insurance may leave you exposed. Considering robust physical security is therefore a sensible step to mitigate potential risks associated with public disorder.

Recent news highlights the reality of protests and demonstrations in New Zealand. For instance, just last week, nationwide protests erupted across the country in response to the government’s sudden changes to pay equity laws, with gatherings in Auckland, Christchurch, and other cities. While these protests were largely peaceful, the potential for escalation or opportunistic criminal activity remains a concern for businesses in affected areas. Furthermore, in November 2024, a protest occurred within Parliament itself, demonstrating the unpredictable nature and reach of civil action. These events underscore the importance of preparedness for businesses, regardless of their location or sector.

Physical security plays a multifaceted role in mitigating risks during civil unrest. Firstly, it acts as a deterrent. Visible measures, such as robust barriers and security personnel, can discourage potential offenders from targeting a business. Knowing that entry will be difficult and time-consuming can lead them to seek easier targets. Secondly, physical security provides a delay, even if it doesn’t completely prevent an intrusion. This delay can be crucial in allowing time for law enforcement to respond and for internal security protocols to be activated. Thirdly, it creates a safe zone for staff who may be caught within the premises during unrest. Secure entry points and reinforced structures can protect them from external threats, providing a place of refuge until the situation stabilizes.

Planning for potential disruptions is paramount. Businesses should conduct risk assessments to identify vulnerabilities and develop comprehensive security plans that can be activated swiftly when needed. This includes establishing communication protocols with staff, identifying safe areas within the premises, and having contingency plans for potential lockdowns or evacuations. Regular reviews and updates of these plans are essential to ensure they remain relevant and effective.

Xpanda Security Measures for Mitigating Looting and Vandalism:

Xpanda offers a range of physical security solutions specifically designed to mitigate the risk of looting and vandalism during civil unrest or protests:

• Expanding Security Grilles and Trellis Doors: These are highly effective for securing storefronts, windows, and doorways. Made from high-strength steel, they provide a visual deterrent and a robust physical barrier that is difficult to breach. Their collapsible design allows for unobstructed access during normal business hours while offering a strong layer of protection when locked. For example, installing Xpanda grilles on shop windows can prevent smash-and-grab incidents, a common tactic during unrest.
• Security Bollards and Ram-Raid Beams: For businesses with street frontage or vulnerable entry points, bollards and ram-raid beams are crucial in preventing vehicle-borne attacks aimed at forcing entry. These heavy-duty barriers can withstand significant impact, protecting both the building structure and the contents within. Retail stores or businesses with valuable goods on display near entrances would benefit significantly from these measures.
• Fixed Bars and Mesh Screens: These provide a more permanent security solution for windows and other openings. While less flexible than grilles, they offer a constant level of protection against forced entry. Warehouses or storage facilities often utilize fixed bars and mesh screens for enhanced security.
• Steel Security Cages: For securing high-value assets that are not locked within a premises, steel security cages offer an additional layer of protection. These can be used to safeguard electronics, aircon, other outdoor plant equipment.
• Roller Shutter Doors and Grilles: Ideal for larger openings such as loading docks or garage entrances, roller shutters provide a solid and easily deployable barrier. They can be quickly lowered and locked to secure the premises in the event of impending unrest.

Investing in robust physical security measures is not just an expense; it is a strategic investment in the resilience and longevity of your business. It provides peace of mind for staff, protects valuable assets, and minimizes the potential for costly disruptions. While insurance is an important part of risk management, businesses should be aware that many policies have exclusions for events like “war, terrorism, and civil commotion,” potentially leaving them vulnerable to losses from civil unrest. By proactively planning and implementing effective physical security solutions, such as those offered by Xpanda, New Zealand businesses can significantly enhance their ability to weather the storm of civil unrest and emerge with their operations intact.

Our aim isn’t to sow fear, but to highlight the factual realities of potential disruptions and the crucial role of physical security in responsible business preparedness for New Zealand enterprises.

Don’t wait for a crisis to highlight vulnerabilities in your physical security or your insurance coverage. Contact Xpanda today for a consultation on how our tailored physical security solutions can help safeguard your business against the risks of civil unrest and protests. Secure your peace of mind.

Important: This main image was created using artificial intelligence for the sole purpose of illustrating a potential scenario of looting during civil unrest in Auckland, as discussed in this article. It is not a photograph of an actual event.