risk management. course 7: risk management2 introductions your name where you work your job...

Risk Management

Course 7: Risk Management 2

Introductions Your name Where you work Your job responsibilities How long you have been in the

industry What you hope to get from this class


Agenda Introduction to Risk Management Minimizing Risks to Residents Minimizing Risks to Staff Handling Emergencies Liability and Insurance

Course 7: Risk Management Chapter 1 4

Property Assets to Protect People – staff, residents, visitors Property – buildings, facilities,

equipment, materials Community Goodwill – reputation,

stature in the community, appeal to prospective residents


Definition of Risk Management Risk Management is a process that

involves recognizing, confronting and preparing for any potential threat to your property.


Risk Analysis Process Identify potential risks in company

operations Analyze the frequency and severity of

past and potential losses Work to eliminate or reduce the risks Build financial protection to cover risks

that cannot be eliminated Set up policies and procedures to carry

out the risk management process.


Areas to Address Minimizing Risk to Residents and

Staff Emergency Planning and Handling Liability Insurance


Effective Practices Conduct, document and maintain

periodic inspections Involve everyone in risk

management Stay current with changes in health

and safety laws and regulations Document and update safety

records


Effective Practices, cont.

Implement preventive maintenance procedures

Post and communicate safety procedures. Establish and enforce safety programs for

the entire multifamily housing community Educate site personnel and residents on

their role and responsibility Understand how insurance and contracts

transfer risk


Activity # 1

Work within your group to identify a potential risk for each of the three property assets and then discuss what action can be taken to protect the asset from the identified risk.

Chapter 2

Minimizing Risk to Residents



Areas to Address Property Hazards Crime Deterrence Environmental Hazards


Property Hazards: Habitability

Suitable maintenance of housing properties is known as habitability.


Required Housing Provisions Protection from weather with roofs,

walls and windows Working water, heat, air

conditioning, electrical, plumbing and lighting systems

Trash collection and pick-up Clean and safe elevators, lobbies,

stairwells and other common areas


Required Housing Provisions, continued

Elimination or warning of environmental hazards

Control of nuisances such as excess noise and overcrowding

Maintenance of all appliances and equipment supplied


Steps to Ensure Habitability Conduct, document and maintain periodic

inspections Follow a preventive maintenance program Keep current and comply with building,

housing, health and safety codes Keep records of all requested and

completed repairs, inspections and preventive maintenance


Steps to Ensure Habitability, cont.

Encourage residents to notify management of needed repairs and make repairs quickly

Inspect repairs upon completion Follow-up with residents to ensure

the repair work was satisfactory


Activity # 2 and 3

Types of Property Hazards


Resident Responsibilities Notify management of any item they damage Dispose trash properly Keep the residence safe and in sanitary condition Pay the cost of repair for damaged property Notify the manager of needed major repairs and

normal usage maintenance Perform minor repairs (replace light bulbs, clean

drains)


Crime Deterrence Stay informed of neighborhood

crime Respond quickly to neighborhood

crime Control building access and keys Provide adequate lighting Complete employee background

checks


Governing Agencies Environmental Protection Agency

(EPA) Occupational Safety and Health Administration (OSHA)

State and County Health and Environmental Departments


Types of Environmental Hazards Asbestos Freon Lead Radon Carbon Monoxide Mold


Asbestos

Asbestos is: a mineral that is supposed to be

inextinguishable when set on fire. found in pipe wrapping, acoustical

ceilings, floor tile and caulking in joint and spackling compounds


Freon

Freon is: a shortened term for

chlorofluorocarbon a gas used in appliances and HVAC

systems to provide cooling known to deplete the ozone layer

protecting the earth’s atmosphere


Lead

Lead: can cause lead poisoning and

serious disabilities is found in paint, soils, lead pipes

and lead-based solder used on copper pipes


Radon

Radon: as a radioactive gas emanating from

uranium-rich soil or water can enter a building through the

water supply, building material and soil beneath he building


Carbon Monoxide (CO)

Carbon Monoxide is: A poisonous gas, colorless and odorless Produced when fuels burn incompletely

and/or are emitted from appliances such as gas stoves, fireplaces, kerosene space heaters, gas dryers and water heaters that are not properly ventilated


Mold

Mold: comes from various moisture

sources is also known as mildew and fungi is found almost anywhere grows on wood, paper, carpet, foods

and insulation


Components of Resident Education Ensure residents understand they are

responsible for their personal safety Provide safety information and

emergency numbers in the resident handbook

Periodically update safety information Clearly communicate that management

cannot guarantee resident safety Tell residents that management is not

liable for resident property


Components of Resident Education, continued Stress the importance of adopting personal safety

measures, including: Never leave an apartment unlocked Keep all windows and doors locked Never provide a relative, neighbor or friend with

a key Get to know the neighbors and watch out for

one another Report all crime to police authorities Complete an incident report for management


Survey Results 77% of owner firms noted security was

very important to their residents 78% of such firms have a Crime

Prevention/Resident Safety Awareness Program

80% have disaster/emergency management procedures in place

Only 36% of the firms managing these units conduct formal security assessments for their communities


Recommendations Know what’s going on Communicate with residents Screen and check backgrounds Strengthen relationships with legal

authorities

Course 7: Risk Management Chapters 1 and 2 39

Skill Check #1

Chapters 1 and 2 – Risk Management

Chapter 3

Minimizing Risks to Staff



Safe Working Conditions

Employees can ensure safe working conditions by:

following all OSHA employer safety and health rules

reporting hazardous conditions and any job-related injury or illness

using assigned personal protective clothing and equipment


OSHA RegulationsBeing informed of OSHA regulations and

performing regular inspection will help you:

prevent a situation where you fail to meet code standards during an OSHA review

Reduce/avoid possible claims an injured employee might file against you


Areas of Focus for OSHA Hazard Communication Standard Lockout/Tagout Standard Bloodborne Pathogens Personal Protective Equipment (PPE) Electrical Safety Related Work

Practice OSHA Record Keeping


Purpose of Hazard Communication Standard

The Hazard Communication Standard is intended to educate employees:

of the hazardous chemicals they work with

on how to use them properly on how to avoid potential accidents

or injuries


Employer Compliance Requirement Hazard Evaluation Labeling Material Safety Data Sheets (MSDS) Information and training programs Written Hazard Communication Plan


Hazard Evaluation Identify and disclose available

scientific data concerning hazards Identify chemicals based on statute

requirements Provide appropriate labeling


Labeling Identity of the hazardous materials Appropriate hazard warnings First aid instructions Name and address of the chemical

manufacturer or distributor


Labeling, continued


Labeling, continued

Portable or non-original containers such as spray bottles, pump sprayers, mixing containers or metal cans:

NO label required if for immediate use LABEL required if will not be emptied

by the end of the work shift or if more than one person will use


Material Safety Data Sheets (MSDS)MSDS: is a document that describes the health

and physical hazards associated with a particular chemical

Must be prepared and provided to all users

Must be written in English to conform to Hazard Communication Standard requirements


Minimum MSDS Requirements Chemical mixture Hazardous condition Manufacturer and distributor Directions for safe handling of the substance Explanation of why the chemical is hazardous Ways that one might be exposed to the hazard Actions to take if exposed to the chemical Actions to take if the chemical is spilled or an

emergency arises from its use


Information and Training ProgramsInformation provided to employees should

include: Written Hazard Communication Plan List of hazardous material in the

workplace Location of Material Safety Data Sheets

(MSDS) Explanation of non-routine tasks Relationship employers have to outside

contractors


Written Hazard Communication PlanAssignment of duties:

Ensure labeling of shipped or original containers and labeling of non-original and portable containers

Update inventory of all hazardous chemicals in the workplace

Review MSDS information and check to make sure all chemicals have an MSDS

Assign tasks noted above and maintain the written plan Verify onsite contractor statements regarding hazardous

materials Notify all employees of the written plan including

information on requesting a copy of the plan


Written Hazard Communication Plan, cont.

Plans to ensure compliance:

Hazardous materials in the workplace will be properly labeled

MSDS forms will be maintained Workers will be provided with specific hazard

information training There will be a list of:

All hazardous materials associated with non-routine tasks

Unlabeled bottles Possible hazards to contractors working in your facility


Lockout/Tagout Standard

Requires the de-energizing or placinglocks and tags on: Electrical switches Liquid or gas valves Other energy control points


Lockout/Tagout RequirementsMust: be a written document be accessible to employees at all times

during normal working hours establish contractor responsibilities establish annual auditing procedures establish inventory of hazardous energy

sources and procedures to de-energize equipment

detail training and retraining programs


Inventory Hazardous Energy Sources Electrical Hydraulic Chemical Pneumatic Mechanical Thermal


Who Needs Training Authorized employees (those actually

performing service and maintenance)

Affected employees (those who are affected by actions of authorized employees)

Other employees (office employees)


Contents of Training The scope of the standard Methods and procedures to de-

energize equipment Employee responsibilities Auditing procedures Hazardous energy inventory


Assignment of Duties Maintain the written program Notify employees of the written plan,

including information on requesting a copy of the program

Notify outside contractors of the property’s lockout/tagout requirements and guidelines


Bloodborne Pathogens Standard OSHA’s Exposure Control program

for dealing with the control of bloodborne pathogens in the workplace, including Hepatitis B Virus (HBV) and the Human Immune Deficiency Virus (HIV).


Areas to AddressThe following areas must be addressed to comply

with the Bloodborne Pathogens Standard: Surveying employee exposures Assignment of tasks to third party abatement

specialists Investigate exposure accidents Offering employees the HBV vaccine Establishing a written exposure control plan Communicating hazards to employees Training and retraining


Exposure Control Plan

The Exposure Control Plan must be in writing and should include:

an exposure determination a schedule and method of implementation post-exposure evaluation and follow-up interaction with health care professionals training


Who Needs Training Each property must provide formal

training for employees who engage in potential exposure activities as defined by the standard.


Contents of Training Scope of the standard Basic definitions of bloodborne pathogens Exposure parameters Methods of compliance Inoculation/HBV Decontamination and proper disposal Reporting incidents and procedures to

follow with a healthcare provider Recordkeeping parameters and follow-up

procedures


Personal Protective Equipment (PPE)

OSHA requires the use of PPE to reduce employees’ exposure to hazards in the workplace. Employers are required to determine if PPEs should be used to protect their employees. The standard does not require a written program, but does require a written assessment and documentation of exposures.


Electrical Safety-Related Work-Practice Program

Phase Two of OSHA’s Lockout/Tagout Standard for training “qualified” and “unqualified” employees who perform electrical service


Qualified Employee Training includes: Basic electrical principles Safety related work practice (proper

hand and power tool usage) Emergency procedures and

response


Unqualified Employee Training includes:

Basic electrical principles Emergency procedures and

response


OSHA InspectionsOSHA Inspections are performed without advance

warning and the OSHA officials are authorized to: Enter any workplace covered under OSHA

regulation during regular hours Inspect and investigate any facility, equipment,

personnel records mandated by the regulations Interview Personnel Observe areas that aren’t covered by the

employers’ consent or the inspection


Criteria for Selecting Facilities to Inspect Imminent danger Catastrophes and fatal accidents Employee complaints/referrals Programmed inspections Follow-up inspections


Record Keeping Injury and illness records for the

past five (5) years All required written programs OSHA Form 300A OSHA poster Documentation of all training and

written assessments Medical and exposure records


Activity # 4

What Would You Do?

Chapter 4

Handling Emergencies



Areas to Address Develop a clear plan with specific

procedures to follow for various types of emergencies

Educate staff and residents about their roles in emergencies

Train staff to respond to emergencies in specific ways

Hold periodic drills


Emergency Plan

An emergency plan can help: Conserve limited resources during an

emergency Prevent poor performance Limit or avoid negative media attention Limit liability for your multifamily housing

community Help you meet regulatory requirements


Guidelines for Emergency Plans Determine which types of emergencies

you are most likely to experience Identify the areas of high risk for

experiencing an emergency Evaluate the impact of those emergencies Create a plan according to the impacts Implement the plan Train and drill according to the plan Review and adjust he plan based on drill

experiences

Determining Type of Probability Review historical data Proximity Adjacent properties Weather and geography Residents Property arrangement Property infrastructure



Impacted Entities People Property Business

The goal should be to minimize impact on the residents, staff and business operations.


What to Include

The plan should specify details for: Prevention Detection Communication Evacuation Containment/Mitigation Recovery Public Relations


Common Emergencies Fire Natural Disasters Technological disasters Criminal Incidents First Aid situations


Activity # 5

Property #1-3 Handling Emergencies

Course 7: Risk Management Chapters 3 and 4 83

Skill Check #2

Chapters 3 and 4 – Risk Management

Chapter 5

Liability and Insurance



Liability

A duty owed A breach of that duty Damages resulting directly therefrom


Loss Prevention and Control

Loss Prevention: Being proactive in preventing losses

Loss Control: Doing everything you can to

mitigate or lessen the impact of the loss once it occurs


Cancellation

Insurance policies may be canceled under the following conditions:

failure to pay the premiums failure to remedy an identified

hazard new risk factors


Property Insurance Covers property loss and/or damage

to buildings, their contents and external equipment.


Coverage Examples Fire Mechanical Equipment Burglary and Robbery Rent Loss Flood Loss Business- interruption


Fidelity Insurance Fidelity insurance and bonds cover

losses from frauds and thefts by employees and in some cases by third parties.

Sometimes referred to as “crime insurance”.


Workers’ Compensation Insurance Provides employee medical and lost

wage benefits in the event of a work related injury or illness.

Benefits are paid to the employee regardless of liability.


Third Party Liability Insurance General Liability Errors and Omissions


General Liability

General Liability coverage includes:

Bodily injury Property damage Personal injuries


Incident An incident includes all accidents,

crimes, property losses and resident losses.


Claims Avoidance Criminal episode or injury Security representations Referral to police Confidentiality Locked files Documentation


Handling Claims Incident report Follow up and document Photographs Rent concessions Promises Medical bills Claims re: resident car Police reports

Course 7: Risk Management Chapters 5 97

Skill Check #3

Chapters 5 Risk Management

risk management. course 7: risk management2 introductions your name where you work your job...

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