Adjusting Today Issue #3004: Expecting the Unexpected Part of the Unexpected

Property Insurance Roundtable

Policyholders may not realize the benefits of hiring a public adjuster until they understand the complexities and time required to prove and file an insurance claim. Disaster claims are a difficult type of claim to handle for commercial business owners whose core business is not insurance. Understanding ambiguous policy terminology of individual insurance providers and applying them to a claim are both solid reasons to hire a public adjuster. Public adjusters work for your business to maximize your claim in the event of a disaster.

For further information on this topic, please read our corresponding Adjusting Today article: "Expecting the Unexpected Part of the Unexpected."

Show Notes:

• Actual Cash Value (ACV): The value of property immediately before loss taking into account its "used" condition, wear & tear, etc.; usually considered the "depreciated value" although "market value" and obsolescence may sometimes also be taken into account.
• Replacement Cost: The cost to replace lost or damaged property new, with no deduction for depreciation or obsolescence.
• Selling Price Clauses: Clauses that allow the insured to recover loss of finished goods at selling price, including the loss of profit.

Key Takeaways:

[1:48] Is it possible to be 100% prepared for a natural disaster?

[6:27] What is the difference in evaluating a policy on cost versus post-lost, for a policyholder?

[9:57] What are some real world disasters that are not commonly thought about?

[23:06] Is there a timeframe in which people are able to add disaster coverage to their policy?

[25:10] What key items should a policyholder consider in the pre-loss, planning stages?

[33:32] Understanding the terminology used in today’s policies:

• Actual Cash Value - Replacement cost less physical depreciation
• Replacement Cost Coverage
• Selling Price Clauses

[41:43] Where should a policyholder go when they feel they need additional clarification?

[43:51] What is the policyholder responsible for, following a loss?

[53:46] Do commercial policies cover the charges for professional fees or public adjusters?

[1:03:34] Informative articles on this subject and others are available on the Adjusters International website

Panelists:

Ron Cuccaro – Executive Chairman at Adjusters International

John Marini – President and CEO at Adjusters International

Tony D’Amico – Senior Vice President at Goodman-Gable-Gould/Adjusters International

C. Todd Thomas – Executive Director of Consulting Services and member of the Society of Risk Management Consultants - Adjusters International

Links:

Adjusters International