Preparing for a Business Interruption Insurance Claim
Published: 09-Nov- 2011 | Category: Resources
Taking the following steps in preparing a business interruption insurance claim to help boost and expedite recovery of losses.
- Appoint a coordinator/key contact:
- Request that individuals from the insurer notify the key contact in advance of gaining access to a damaged facility and ensure that person is at every meeting with loss adjuster
- Ensure all staff are aware that any requests for access or information are to go through the key contact
- Take photographic or video evidence to depict:
- An item’s existence
- An item’s condition
- Quarantine the following pre-loss information:
- Maintenance records for real and personal property
- Fixed assets lists
- All budgets/forecasts
- All historical sales data
- Meeting notes/minutes dealing with plans for business, including capital movements
- Back-up all computer files and relocate a copy to a separate site:
- Ensure all critical files are copied and removed from the affected area
- Engage your it or it security function to manage these tasks
- Capture costs:
- Maintain a seperate voucher package for each claim disbursement. the voucher package should include description of disbursement, copies of purchase orders, invoices, etc. Allocate a special po number and ask suppliers to quote this on invoice.
- Create a separate general ledger account or sub-accounts for:
- Permanent repair/replacement costs for each damaged building affected by the loss event and track loss-related disbursements by building
- costs to mitigate sales loss or impact of damage (e.g temporary hire of equipment)
- If in any doubt record it and it an be reviewed at a later date
- For all in-house labour, note:
- employee movement details
- Additional labour hours, by employee, by building location (if can be allocated), including a breakdown for straight time and overtime
- Maintain employee time cards indicating straight time and overtime
- Employees should Be instructed to file “separate” expense reports for all costs incurred relating to the loss event.
- Chronology of events related to the loss and the impact that the loss has on their operations
- Diary notes of phone call and discussions with customers and suppliers
For more information, please contact your
local Marsh representative.
The information contained in this publication provides only a general overview of subjects covered, is not intended to be taken as advice regarding any individual situation and should not be relied upon as such. insureds should consult their insurance and legal advisors regarding specific coverage and claims issues. All insurance coverage is subject to the terms, conditions, and exclusions of the applicable individual policies.
The information contained in this publication is based on sources we believe reliable, but we do not guarantee its accuracy. this information provides only a general overview of subjects covered.
Copyright © 2011 marsh inc. All rights reserved. www.marsh.com
May 20, 2013 | Views: 881
A devastating, two-mile-wide tornado ravaged Moore, Oklahoma, just outside of Oklahoma City on Monday, May 20. As of May 22, it is believed that there have been 24 confirmed deaths... Read More...
May 16, 2013 | Views: 1532
Power outages caused by earthquakes, snowfall, cyclones and other natural hazards, as well as power grid issues are not uncommon. Given the likelihood that your organization will b... Read More...
May 14, 2013 | Views: 246
Power outages and other service interruptions — whether caused by natural hazards or other factors, such as stresses to power grids — can disrupt businesses’ supp... Read More...
May 14, 2013 | Views: 293
The 2013 Atlantic hurricane season is approaching quickly, with several forecasters predicting an active one. Read More...
May 13, 2013 | Views: 65
Major storm systems such as Superstorm Sandy in 2012 have the potential to create significant environmental challenges. Read More...
May 13, 2013 | Views: 111
Flooding — the most common natural disaster in the United States — affects thousands of homeowners and businesses annually. Typical causes of flooding include hurricane... Read More...
February 08, 2013 | Views: 849
With a nor'easter approaching the same region hit by Superstorm Sandy, now is the time to ensure you are prepared snow and ice. Read More...
November 20, 2012 | Views: 751
Any structure or material that has been wet for more than 48 hours can potentially be impacted by mold. Read More...
November 20, 2012 | Views: 773
Insureds that confirm or suspect pollution releases should examine their policies and provide notice to carriers. Read More...
November 20, 2012 | Views: 703
Managing recovery from Sandy will require project management time and proactive leadership. Read More...
November 16, 2012 | Views: 859
A significant issue in determining how coverage will apply will be the distinction between flood and storm surge within a particular policy. Read More...
November 14, 2012 | Views: 784
The Construction Consulting Practice, part of Marsh Risk Consulting’s Financial Advisory Services group, offers specialized reconstruction project management solutions follow... Read More...
November 02, 2012 | Views: 1208
Recovery from a catastrophic event such as Superstorm Sandy can be essential to your company’s finances, operations, and overall success. Read More...
November 01, 2012 | Views: 945
Our panelists will discuss the key insurance and recovery issues you may need to address in the wake of Sandy. Read More...
October 30, 2012 | Views: 1909
The latest resources and guidance for Superstorm Sandy. Read More...
October 29, 2012 | Views: 823
Our Real-Time Crisis Management team has extensive hands-on experience successfully supporting clients during some of the most severe, high-profile events. Read More...
October 25, 2012 | Views: 3263
Tips for action before, during, and after Hurricane Sandy. Read More...
October 24, 2012 | Views: 2918
Marsh’s local dedicated claims teams and client executives can support clients in their business recovery if they are affected by a hurricane or other disaster. Read More...
August 25, 2012 | Views: 4504
Recovery from a catastrophic event such as a hurricane can be essential to your company's finances, operations, and overall success. Marsh's Forensic Accounting and Claims Services... Read More...
August 24, 2012 | Views: 1244
Marsh is monitoring Isaac and has property risk, forensic accounting, business resiliency, and crisis experts poised to respond if necessary. Read More...