Claims are the main reason (apart from peace of mind) for buying insurance, so you certainly want them to run well.
What do you need for a good claims service and outcome?
Preparation is everything. Using independent advice, you need to have...
- Correct levels of cover to...
- Avoid under-insurance and ‘average’ clause being used. This is key, whether you are looking at Buildings, Equipment, Stock or Business Interruption.
- Ensure that any Business Interruption cover is set up correctly, and is ideally ‘Declaration linked’. This gives an additional 33% cover and deletes the average clause. The length of time that cover is provided (indemnity period) can be vital. The standard 12 months is often totally inadequate. Many extensions are available.
- To comply with warranties and any relevant clauses...
- Insurers like to assess risks before they are insured, and to reduce them as far as possible. They use clauses and warranties as ways to ensure that you act to minimise these areas of risk in pre-agreed wordings.
- Most special clauses are specifically drawn to your attention. However, in addition to standard exclusion clauses such as wear & tear, some insurers put significant clauses into the main body of the policy, such as Minimum Security and Electrical Certificate requirements.
- For insurers to understand what you do. Does the business description on your policy documents give a full and accurate reflection of everything you do?
- In addition to having an independent insurance broker to fight your corner, it is ideal to have your own Loss Adjuster (we use a special scheme that that pays for their services). They can take what we can do to a different level including...
- Project managing the whole claim
- Equipment & stock inventory
- Finding new premises
- Interim payments
- 1 hour response, 24/7/365