Daily Digest – 2012-04-18

Posted by Active under Latest News, Property News, Public Liability, Unoccupied Property News

Looking in the London Metro newspaper (18th April edition) it was interesting to see just how many insurance related articles were reported. The Metro reported that according to the watchdog Which?, water companies are encouraging customers to spend £100 million pounds a year on pipe insurance that, they say is needless when water firms offer free repairs anyway. Apparently, 667,000 homes in the Anglian, Southern and United utilities are paying £35 per year for this cover to a firm called Homeserve.

Which are calling on the regulator to take action. Some home insurance policies may cover this anyway so it is worth checking your policy. Where someone has an unoccupied house insurance policy or an empty home insurance quote, it is rarely covered.

In other news, a policeman accidentally tweeted that an aircraft had crashed in Camberley, Surrey. Apparently he actually meant to just update his status about his beat – most odd, but aircraft damage is covered by most policies in any case – except sonic booms.

The weather has also hit the news with “marble-sized”hailstones and an inch of rain in the South of England today along with winds of up to 60mph. Thankfully the strength of such winds would be classed as storm under the majority of house insurance polices. It is forecast that there is more to come, despite a hose-pipe ban.

It was also reported in the Metro that organ traffickers are suspected eyes of two deceased people in the state of Uttar Pradesh. Theft is a huge problem but is there nothing sacred?

A gas fitter has been jailed for manslaughter following sub standard work on a home that subsequently killed an occupant with carbon monoxide poisoning. Whether he had liability insurance and whether or not insurers would have indemnified him is unclear but the judge obviously took a dim view on his rushed boiler installation and sentenced him to three years imprisonment for manslaughter by gross negligence.

And finally, the Metro printed a picture of a car in the middle of the New Mexican desert, clearly with nothing for miles around and hit what looks like an isolated telegraph pole. Typical that there happened to be a photographer there….

Winter’s Coming – 10 tips to protect your property insurance.

Posted by Active under Latest News, Property News

Last winter’s prolonged periods of extreme weather disrupted many businesses right across the country. Even though you may have a shop insurance, office insurance or a liability insurance policy, prevention is always better than a cure and the following tips could help save a great deal of heartache and lost revenue.

Last year burst frozen pipes caused major damage to premises and many working days were lost due to escape of water from within business premises. Right now the time to put in place simple, checks to reduce the likelihood of your business suffering from water damage this winter. Even a small leak can easily become a major burst – destroying equipment, floors, ceilings; with everything from stock, machinery and computers being ruined beyond repair – a few simple checks and preventative measures could help you to avoid lost production from such damage, and having to claim on your property insurance. It is important to remember that even with business insurance the resulting stresses on a business of a major escape of water could prove devastating.

1. Keep your heating system on as though it is business as usual, but turn down the thermostat. This will ensure that in the event of freezing conditions the heating will come on, preventing the water in your pipes from freezing and bursting the pipes potentially leading to major water damage when the temperature rises.
2. Make sure pipes and the loft, if you have one, are insulated. This will help stop pipes freezing and bursting in areas most at risk from the cold such as outside walls and unheated areas.
3. If a member of staff or security company is responsible for keeping an eye on the premises over any shut-down periods let them know where the stopcock is in case they have to turn off the mains water supply in a hurry.
4. Have a clear plan worked out for what you would do if there was an escape of water and make sure all key telephone numbers are to hand for anyone taking care of your premises.
5. Where premises are empty for prolonged period of time, all services should be turned off at the mains and all water tanks apparatus and pipes be drained to the fullest possible extent. Where a property is likely to be unoccupied for any such extended period you should inform your broker and insurer as additional terms will usually apply.
6. Inspect plumbing joints from time to time. If you have copper pipes and you see a build up of green colouring on joints it might be a tell tale sign of a leak. Ensure that plumbing joints which are hidden from view, such as on radiators or hidden behind office furniture, are also checked.
7. Pipes in vulnerable locations can be damaged by machinery such as fork lift trucks. Keep a regular check on any pipes located in areas where there is a chance of damage and consider additional pipe protection.
8. Insulate header and water tanks where applicable and check ball valves for signs of wear. Consider taking out a maintenance contract for your plumbing, heating and ventilation systems and check that anyone employed carries suitable public liability insurance.
9. Be aware of where pipes run. Use a metal detection tool before you nail or screw in to walls. Pipes do not always run where you expect them too and a screw through a water pipe may not leak immediately, until the screw rusts.
10. When the heating is turned back on after a summer break check all radiators and pipes for any leaks that may have developed whilst the system had been off. If you have plastic plumbing joints then remember that they will probably degrade sooner than metal ones, so keep and eye out for even the slightest hint of water.

House Prices Affecting Insurance?

Posted by Active under Latest News, Property News

According to reports published by The Centre for Economic and Business Research, property prices could be 16% higher by the end of 2015. Looking at the closer picture, it is predicted that prices will continue to fall for the remainder of 2011 but then increase as a property shortage will have a knock on effect. Interestingly, this could well lead to banks loosening their lending criteria. Despite this it is still predicted that more and more young people will have no choice but to go down the rental market route. This is where landlords will be spoilt for choice when choosing tenants. Caution must be advised however as insurance companies are strict and charge higher prices for landlords insurance when allowing non-professional tenants to move in.This should leave fewer properties having to rely on unoccupied insurance policies that traditionally offer very limited cover but are comparatively expensive. The insurance Market will evolve to accommodate housing conditions but with so many insurers competing for the same business, let property insurance premiums will not change dramatically.