Claims Preparation - How to minimise disruption to business in the event of a claim
With the help of an insurance broker and the services of a claims preparation professional, you can turn a nightmare situation into win/win outcome for your business.
So the worst has happened and your business has suffered a loss. You lodge a claim with your insurance provider (hopefully via an insurance broker!) and now what do you do?
Business owners and/or managers have enough on their hands at this stressful time trying to keep a business running effectively after a loss. The additional pressure of trying to manage the insurance claim can be very overwhelming. You won’t necessarily be familiar with all the nuances of your insurance policy and trying to make sense of your policy at claim can be a daunting and time consuming task.
Depending on the size of the loss your insurance company may appoint a loss adjuster to help them process the claim. It is important to remember that the loss adjuster is appointed by the insurer to work for he insurer, not for you, the claimant!
So who will help you?
Your insurance broker can help you complete claim forms and advise on what to do at the time of the initial event but may not necessarily be able to prepare a claim settlement to provide to an insurance company. This is where the expert services of a professional claims preparing firm come in. Just as you engage a tax accountant to assist you with your tax returns because the tax system is so complicated and it is easy to make a mistake which can be very costly to your business, it is prudent to appoint a claims preparation professional to avoid costly mistakes when lodging and completing an insurance claim.
Claims preparation professionals are experts at explaining the finer details of insurance cover (in terms you will understand), assist in loss minimisation strategies and prepare the claim on your behalf. They will ensure your full entitlement under the policy is paid to you including any additional benefits that are claimable. An insurance company may not necessarily advise you of this. This allows the you to do what you do best: look after your business and get things back on track as quickly as possible.
Who pays the claim preparation fees?
You will responsible to pay these fees, however most insurance policies should cover claims preparation cost, but you usually need to get the written approval from your insurance company before your can engage the services of a claims preparation professional. This process can take time and when you are in the middle of a loss to your business time is usually something you don’t have a lot of. If you have your policy placed via a Steadfast insurance broker, using a Steadfast agreed policy wording, these cost are automatically covered within your policy and there is no need to seek this approval prior to engaging the claims preparation professional.
The sooner you can get expert assistance in the event of a claim, the better the outcome will be.
Advisr does not provide advice and does not hold a financial service license (AFSL). All information above has been provided by Tudor Insurance Australia.