As active shooter and other workplace violent events continue to occur, more victims and their families are looking to the facility owner/operator where the shooting took place to assume responsibility. They claim the owner/operator could have been more proactive in prevention, and therefore, is liable for the violence that took place on their property.
In a number of cases, the property owner/operator has even been taken to court for damages. For example, the landlord and or business owners in the 2012 Aurora movie theater and 2017 Mandalay Bay hotel shootings were both sued in the aftermath.
While there’s no doubt that property owners/operators have a “duty to protect” occupants, the question of negligence revolves around the owner/operator’s “foreseeability” of the violent event.
Foreseeability is tied to a building’s risk factors and prevention. Does the strip mall have a higher-risk industry tenant(s)? Did the church receive previous threats of violence? If so, did was security increased and were authorities alerted? Does the property owner/operator have a violence prevention plan in place?
At a minimum, property owners/operators will incur the legal defense costs, and possibly a host of other expenses, including: victims’ medical bills, funerals, building refurbishments, loss of business and victim settlements. These costs may not be covered by a typical general liability or property policy and, when significant damage is done, or the case is high-profile, the total can be excessive. Estimates say the Mandalay Bay incident cost $600M.
Reduce your foreseeable risks by covering the basics
True story: An employee that was terminated from his job returned the following day with a gun and opened fire on the staff. During the investigation, it came to light that no one told the office’s HR department or security team of the employee’s termination. Therefore, he entered the building legitimately with his employee key card and had full access to the office.
Physical security alone is not enough. Pairing physical security efforts with a violence prevention program has proven to be significantly more effective. Aim to reduce your foreseeable risk with the following best practices:
- Complete a risk assessment at each property in your portfolio. Violent events are most often caused by someone who knows the establishment or is seeking it out, like a disgruntled employee or customer. Facilities that house certain services or industries will face greater risks, including healthcare services, social services, pharmacies, convenience stores, or establishments that serve alcohol. Regardless of how many properties are in your real estate portfolio, acknowledge each for its own individual hazards and risks.
- Identify stakeholders and assemble a workplace violence prevention committee. Ensure this group has received basic workplace violence awareness training so they are working from a shared understanding of the topic and known best practices. They will champion program development and sustained deployment.
- Build a violence prevention program focused on the types of businesses that occupy your facility. Consider the types of businesses that occupy your facility and the violence that exists in your area. Both are a direct indication of the breadth of program you need to employ. Review and follow existing published violence prevention plan standards and guidelines which include elements like physical security, dedicated HR policies, an incident reporting process and a process to assess known threats as they arise.
- Assess your current property and GL policies together with your broker. Find out what your policies cover in the case of a violent event, and with what limits. When necessary, consider additional protection including the following policy endorsements: Active Assailant, Bereavement Counseling Benefit, Crisis Management, Crisis Response, Employee Assistance Programs and Workplace Violence Coverage. Should you engage one of these endorsements, pay attention to its sub-limits. Make sure they are adequate enough to deal with a violent event.
Contact your HUB risk management expert for more information on instituting best practices, creating a violence prevention program and securing the coverage for the risks no one can foresee. Learn more about HUB's Risk Management Services offerings here!
