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

Our flood insurance industry experts answer your flood insurance questions.  This roundtable will help you understand which types of damages will be covered and excluded by flood insurance coverage. Replacement cost value and actual replacement value are discussed in length to prepare you for acquiring new policies as well as updating your existing ones. It is recommended you understand all aspects of your policy provisions. For further information on this topic, please read our corresponding Adjusting Today article: "Flood: Understanding and Recovering From One of Nature's Worst Disasters."

Key Takeaways:

[:58] What is the National Flood Insurance Program (NFIP) and why is it necessary to hold one of these policies?

[2:05] If a community does not have a floodplain management plan, can a policyholder still purchase flood insurance?

[3:00] Will the Federal Emergency Management Agency (FEMA) help in my recovery from a large flood disaster?

[4:14] What are the guidelines for a flood insurance claim with the NFIP?

[4:30] If a home or business lies outside of a floodplain area, is it still possible to carry flood insurance through the NFIP?

[5:19] What can a policyholder expect in terms of premium costs?

[8:48] Can shopping insurance companies find a policyholder better rates and policies on flood insurance?

[10:06] What coverages are included in a flood policy from the NFIP?

[11:23] Who would adjust a NFIP policy claim?

[12:26] Will flood insurance cover all contents inside and outside of a home/business?

[13:48] Explain the ‘Increased Cost of Compliance Coverages’ and how it could affect a policyholder’s recovery.

[16:27] Will deductibles come into play with these policies?

[16:43] By holding a standard insurance policy and a flood insurance policy, can an insured expect to be covered in full for their loss? What would be excluded by holding the two policies?

[18:57] Are there coverage and limit differences between standard built homes and manufactured housing?

[19:58] How does Replacement Cost Value and Actual Cash Value come into play when going through a flood claims process?

[21:05] Will a flood policy provide Business Interruption and Extra Expense Coverage?

[25:25] Garden-style apartments are popular and offered by a lot of apartment communities. How will a flood policy cover this type of abode?

[28:03] Has there ever been loopholes or unforeseen circumstances where a tenant of a garden-style apartment has been fully covered?

[29:18] What is the most important thing an insured should do to achieve a fair settlement when undertaking a flood insurance claim?

[31:59] Why would an insured need the help of a public adjuster when handling a flood loss?

[33:49] What roles do the people involved play in a claim? Why can an insurance company adjuster not handle all of it?

[35:42] Are there any problems with flood risk assessments?

[37:38] Things to consider when dealing with a flood insurance claim

[39:05] Are aggressive insurers offering alternatives to NFIP? 

Panelists:

Greg Raab, Vice President & Executive Director of Operations/Public Adjuster and Disaster Recovery Services - Adjusters International

James R. Mahurin, CPCU, ARM, Risk Management Consultant and member of the Society of Risk Management Consultants 

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

Our panelists agree - most business owners don’t completely understand the Business Income Coverage or coinsurance provisions within their policies. This discussion provides insights to navigating policies before you need to file a claim, the CP30 and what options you may have if not satisfied with the settlement offered from your insurance provider. If contacted during the policy buying decision process, a public insurance adjuster can help your business to get the proper coverage. For further information on this topic, please read our Adjusting Today article: "Business Income Insurance: Having and Understanding This Coverage Can Be Essential to a Company's Survival."

Key Takeaways:

[:35] Introducing the panelists

[1:04] Why is it so imperative commercial policyholders have adequate Business Income Coverage?

[4:02] How is the correct amount of business coverage calculated?

[7:54] How does coinsurance come into play when calculating Business Income claims?

[12:48] What responsibility does the insured have to resume operations in order to minimize Business Income losses?

[16:30] Do you believe commercial policyholders have an adequate understanding of Business Income Coverage?

[20:35] What options do policyholders have if they are not offered an adequate Business Income settlement?

[25:02] Relationship between the Business Income claim and the property claim

Panelists:

Steve Surace, Chief Financial Officer and Vice President - Adjusters International

Wendy Biety, Senior General Adjuster and Forensic Accountant - Globe Midwest/Adjusters International

Darin Checchia, Regional Vice President - Adjusters International/Basloe, Levin & Cuccaro

C. Todd Thomas, Executive Director of Consulting Services and Member of the Society of Risk Management Consultants

Brought to you by - Adjusters International

We assembled four industry panelists to answer these very important insurance coverage questions. This information is intended to assist policyholders by clearing up common misnomers, gauge proper coverages and finding the right broker. Remember, it’s important to read the contract language thoroughly and understand which policies cover which assets to make sure you are reimbursed properly in the event of a loss. For further information on this topic, please read our corresponding Adjusting Today article: "Coinsurance/Insurance to Value Revisited: An Essential Concept in Property Insurance."

Key Takeaways:

[:35] Introducing the panelists

[1:08] What is coinsurance?

[4:46] Why would coinsurance be included in a policy?

[9:04] What challenges do policyholders face when filing an insurance claim on policies including coinsurance?

[17:00] What role does the deductible play in calculating coinsurance penalties?

[20:56] What can policyholders do to ensure their policy coverage is adequate?

[37:54] What options do policyholders have if they have a coinsurance challenge?

[42:41] Calculations of depreciation

[44:30] Are brokers doing an adequate job of explaining coinsurance, deductibles and replacement costs to insureds?

Panelists:

Craig Becker, SPPA, Senior Executive Adjuster and Vice President of Claims - Globe Midwest/Adjusters International 

Scott Eich, Executive General Adjuster - AI/CO

James R. Mahurin, CPCU, ARM - Risk Management Consultant and Member of the Society of Risk Management Consultants

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