Are Your Buildings Under-Insured?

Overview

If you suffered a devastating loss to one of your buildings, do you have peace of mind that the sums insured on your current insurance programme are sufficient to rebuild your building back to its pre-loss condition?

The vast majority of businesses in the UK would respond ‘no’ to this question.

According to a number of reports, 70% of properties are under-insured at the point of an insurance claim, leading to reduced pay out and delay. Additionally, prior to the Coronavirus pandemic, around 20% of insurance claims exhibited under-insurance. The most recent statistics show that this has increased to 40%, and that is before the inflation of the last few months took hold (BIBA, 2022).

Howden Insurance Brokers are acutely aware of the risks associated with incorrectly insuring your buildings. We also recognise that it may have been some time since your buildings were last valued. When determining the true rebuild costs of a building there are numerous factors to consider, which can only be done by a qualified individual.

Read the full report here.

References

BIBA (2022) BIBA Works with Allianz To Create A New Guide To Help Reduce The Risk of Underinsurance. Available at: https://www.biba.org.uk/press-releases/biba-workswith-allianz-to-create-a-new-guide-to-help-reduce-the-risk-of-underinsurance/