Can’t afford insurance! – can you really afford not to have any?

Can’t afford insurance! – can you really afford not to have any?

Last week it was reported that a jewelry store in Melbourne’s CBD was robbed of over a million dollars worth of opals. The report went on to say that the owners elected not to insure at last renewal due to the increasing cost of insurance. What ever the premium was, with the benefit of hindsight would be significantly less than the financial loss they now […]

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Blog question: what should the Section 1 Declared Value be based on under an ISR

Blog question: what should the Section 1 Declared Value be based on under an ISR

I received the following question. Hi Allan Most insurers include the estimated cost escalation based on lead times contained with a building valuation as part of the CURRENT building Declared Values.    Obviously during the reinstatement phase construction costs increase due to the significant length in time required.  Do you think the calculation below is fair and reasonable to be included as a rateable value? […]

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Isn’t your home worth good insurance?

Isn’t your home worth good insurance?

The old saying goes that every person’s home is their castle. Castles were made to be protected, as like the modern home, they house the people and possessions that mean the most to us. A good insurance policy by its very nature is the last line of protection. The reality is that even the best maintained property can be subject to an accidental fire, storm […]

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Loss of rent for a serviced office

Loss of rent for a serviced office

I have not been as active as in the past of late as I have simply been flooded with questions from brokers, insurers and adjusters on a draft on policy and policy interpretation issues. While I wish I had the time to post them all, the one below I thought was appropriate to share. This question today is regarding the way to insure the business […]

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We need uniform laws around bushfire zoning

We need uniform laws around bushfire zoning

As my wife and I were to attend a recent insurance conference on the Gold Coast we flew up a day early so that we could catch up with some very long standing friends. They had moved from their beautiful ocean side apartment up to a 10 acre block in the Tallebudgera Valley. This is in the Gold Coast hinterland. They had only recently purchased […]

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Emergency Services Levy – the added cost to insurance

Emergency Services Levy – the added cost to insurance

A few weeks ago when I was watching the disturbing photographs of the bush fires in Queensland and New South Wales they showed footage of the Premier of New South Wales meeting with volunteer fire fighters. I wanted to post something at the time, but did not feel it appropriate when people’s lives and homes were at risk, but the thought crossed my mind. How […]

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Under Declaring – You are now the insurer!

Under Declaring – You are now the insurer!

Yesterday I had one of those calls where you can feel the frustration and stress in the broker, where a long standing client is under attack by another broker who is simply selling on price and stripping away the years of hard work that the holding broker has put into the client. In this case, the attacking broker is advising the Insured to only declare […]

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Large gum trees in residential areas pose a threat to life and property

Large gum trees in residential areas pose a threat to life and property

Like most people I am all for protecting the environment and greening our towns and cities but we do need to balance this with the risk to life and property. Today in much of South East Australia strong winds are again forecast. As a child growing up in Brisbane I always thought of August as Kite month. While the weather is great for kites it […]

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Beware harsh exclusions that turn the policy into junk insurance

Beware harsh exclusions that turn the policy into junk insurance

Over the past few years more and more claims have been brought to my attention where the client cannot believe that their claim has been denied. The cases that I refer to are ones where the claim has been denied for faulty workmanship, faulty design or faulty products/materials and there is no write back provision for subsequent damage to the property from a peril not […]

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Why insurance will not meet the cost of removing and replacing non-conforming building materials

Why insurance will not meet the cost of removing and replacing non-conforming building materials

The vast majority of insurance policies that insure buildings and or the liability that may arise from owning or occupying one, contain a number of standard exclusions found across the entire market that specifically exclude claims arising from faulty workmanship, faulty materials and or faulty design. These policies include but are not limited to residential home, residential and commercial strata, contract works, industrial special risks […]

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