Collector - June 2017 - 16

Problems with insurance coverage
crop up when owners don't read
their policy's terms or take them
into account when drafting a
disaster recovery plan. For example,
property is most often valued
on a "replacement cost" basis
(no depreciation). Carrier loss
payments are made when the claim
adjustor is provided with evidence
of the replacement costs in the
form of receipts and invoices. As a
result, only after the insured entity
first pays out-of-pocket will many
of the costs be reimbursed.
Another great example is the
policy's business income coverage.
When disaster strikes, you have
the duty to prevent further damage
to your property and to resume
operations to a reasonable level
as quickly as possible. Failing
to do so may significantly limit
your coverage. These efforts will
generate extra expenses that may
be covered by the policy.
Tip: Your insurance coverage may
include reimbursement of the
time you spent on claim handling.
Keeping a log of your efforts
with dates and time will help you
adequately demonstrate these extra


employees jumped up and down, laughing
and cheering.
Disaster recovery is in many ways about
small victories, but even those can be difficult
to achieve if you haven't put in the time and
money to prepare for an emergency. Here are
six issues to consider when creating a plan to
protect your business.

There was a reason the lights came on at
Sunrise that morning, just a few days after
the area was battered by one of the largest
and costliest Atlantic tropical storms on
record: Doane had planned ahead.
Not only did he have a robust disaster
recovery plan in place, but he also had an
established relationship with a disaster
recovery provider, Agility Recovery, which
had arranged to have the generator delivered
and provided a temporary workspace
for Sunrise staff in the days immediately
following the storm.
The best first step you can take is to
think though the people and processes that
are critical to your business and what steps
you need to take to protect them. Identify
all risks, and how you will make sure those
areas are protected or recoverable in an
Certainly client requirements and audits
have already nudged you down this path to
some extent, as most companies expect their
third-party collection agencies to have at
least some parts of a disaster recovery plan
in place to protect their data. They may even
request proof that you're testing your system
"Some of our clients specifically say they
want to know if we are down for more than
three hours, and they need to know what our
remediation is going to be," Doane said.

Your data and servers are key elements
of your business-how are they being
protected from breaches and backed up in
case of an outage? Make sure your backups
are hosted at multiple sites, even if your
data is stored with a cloud service provider,
and test them regularly.
"Also be wary of configuration drift," said
Brady Keller, digital manager for Atlantic.Net.
"Backups get configured properly once, but
when new data or software gets added the

backup setup may not get adjusted, and the
resulting backup is useless when the time
comes and you actually need it."
Consider all of your business's systems
when creating your recovery plans. For
instance, if you overlook your VOIP phone
system, you may be surprised when none
of your clients or consumers are able to call
you after a disruption. Determine how you
will redirect in-bound calls remotely if your
phone line goes down, and designate staff
who will confirm it's working.

Data protection issues naturally get a lot
of attention when it comes to emergencies,
but a comprehensive disaster recovery plan
takes other factors into account too.
Doane found a few surprising gaps
when his disaster recovery plan was put to
the test. For instance, while he'd thought
through the big aspects of his business-
backing up his data, getting collection desks
up and running again-he'd overlooked
some payroll details.
"We use an outside payroll service and
they certainly helped [in the days after
Sandy], but being able to give them the
exact hours people worked was something
we hadn't planned for," Doane said. "In a
situation like that, people come and go based
on the number of seats open at the time.
And with no time clock, we had to go back
to using sign-in sheets to make sure people
were getting paid for their time."
When two separate car accidents occurred
in the parking lot of an NRA Group LLC
office in a two-week period last November-
one that took out a fire hydrant and another
that totaled several employees' cars-CEO
Steve Kusic called for a top-down review of
the company's disaster recovery plan.
"We went over every what-if situation we
could think of," Kusic said. "If one of the cars
had hit the telephone pole in our parking
lot, what would have happened and how
would we have responded? If we lost water
to the building, we'd have to bring in porta-potties-how many would we need? The
accidents prompted us to take a closer look
at the utilities coming into our building."

In the days after Hurricane Sandy struck,
Doane said he saw several companies that



Table of Contents for the Digital Edition of Collector - June 2017

President's Page
Industry News
Best Practices
Collection Tips
In Case of Emergency
Pulling Back the Curtain
ACA International's 2017 Convention and Exposition Preview
Honor Roll
Seeing Eye to Eye
The Business Battle
Blueprint for Success
Federal Court Nixes CFPB Enforcement Action That Claimed a Payment Processor Ignored Fraud
ACA SearchPoint
Last Word
Collector - June 2017 - Cover1
Collector - June 2017 - Cover2
Collector - June 2017 - 1
Collector - June 2017 - 2
Collector - June 2017 - President's Page
Collector - June 2017 - Industry News
Collector - June 2017 - 5
Collector - June 2017 - 6
Collector - June 2017 - 7
Collector - June 2017 - Best Practices
Collector - June 2017 - 9
Collector - June 2017 - FYI
Collector - June 2017 - 11
Collector - June 2017 - Collection Tips
Collector - June 2017 - 13
Collector - June 2017 - In Case of Emergency
Collector - June 2017 - 15
Collector - June 2017 - 16
Collector - June 2017 - 17
Collector - June 2017 - 18
Collector - June 2017 - 19
Collector - June 2017 - Pulling Back the Curtain
Collector - June 2017 - 21
Collector - June 2017 - 22
Collector - June 2017 - 23
Collector - June 2017 - 24
Collector - June 2017 - 25
Collector - June 2017 - ACA International's 2017 Convention and Exposition Preview
Collector - June 2017 - 27
Collector - June 2017 - 28
Collector - June 2017 - 29
Collector - June 2017 - 30
Collector - June 2017 - 31
Collector - June 2017 - Calendar
Collector - June 2017 - Honor Roll
Collector - June 2017 - Seeing Eye to Eye
Collector - June 2017 - 35
Collector - June 2017 - The Business Battle
Collector - June 2017 - 37
Collector - June 2017 - 38
Collector - June 2017 - 39
Collector - June 2017 - Blueprint for Success
Collector - June 2017 - 41
Collector - June 2017 - Federal Court Nixes CFPB Enforcement Action That Claimed a Payment Processor Ignored Fraud
Collector - June 2017 - 43
Collector - June 2017 - Compliance
Collector - June 2017 - 45
Collector - June 2017 - ACA SearchPoint
Collector - June 2017 - 47
Collector - June 2017 - Last Word
Collector - June 2017 - Cover3
Collector - June 2017 - Cover4