For small business owners, dealing with an insurance claim can be a bewildering experience, especially if you have never had to make a claim before. So, it pays to know who does what when it’s time to ring your broker to let them know you’ve had an insurable event.
After all, if a tree has smashed through your factory, a kitchen fire has destroyed your café, or anything in between, trying to figure out everyone’s roles will be the last thing on your mind.
So, whether it’s a claim for property damage, liability or business interruption, understanding who’s involved and what each party does can help demystify the process .
The insurance broker: your first point of contact
Your insurance broker is typically your first point of contact when a claim arises. They act as your advocate, guiding you through the claims process and liaising with the insurer on your behalf. Their role is to help present your claim accurately and assist you to receive the full benefits of your policy. Brokers can also provide advice on how to document your loss and steps to take immediately following a loss.
The insurer: assessing and processing the claim
Once you’ve contacted your broker, the insurer steps in to assess the claim. Their job is to evaluate the situation and determine whether the claim is covered under your policy. This involves reviewing the details of the loss, examining the documentation provided and deciding on coverage and the amount of compensation. The insurer’s claims adjuster may visit your business premises to assess the damage firsthand.
The loss assessor: independent evaluation
In some cases, a loss assessor may be appointed to provide an independent evaluation of the claim. Unlike the insurer’s claims adjuster, a loss assessor works on your behalf. They can be particularly helpful in complex claims where significant property damage or loss is involved. By providing an unbiased assessment, they can help you to receive a fair settlement.
The builder: executing repairs and restoration
When physical damage to your property is involved, a builder or contractor may be part of the process. They are responsible for carrying out the repairs or restoration work needed to return your business premises to its pre-loss condition. It’s crucial to work with reputable and experienced professionals who can provide quality work within the scope of the insurance approval.
Other experts: specialised input
Other experts may be called in, depending on your claim. For example, if your claim involves technical aspects like machinery breakdown or cyber incidents, specialists in those fields may be consulted to provide their input. These experts help ensure technical details are considered and addressed. Understanding who’s involved in an insurance claim and their respective roles can alleviate much of the confusion and stress associated with the process. With an in-house claims team, your AIB broker can guide you through each step of the way.
Important notice
This article is of a general nature only and does not take into account your specific objectives, financial situation or needs. It is also not financial advice, nor complete, so please discuss the full details with your Steadfast insurance broker as to whether these types of insurance are appropriate for you. Deductibles, exclusions and limits apply. You should consider any relevant Target Market Determination and Product Disclosure Statement in deciding whether to buy or renew these types of insurance. Various insurers issue these types of insurance and cover can differ between insurers.
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Important notice – Steadfast Group Limited ABN 98 073 659 677
This article provides information rather than financial product or other advice. The content of this article, including any information contained in it, has been prepared without taking into account your objectives, financial situation or needs. You should consider the appropriateness of the information, taking these matters into account, before you act on any information. In particular, you should review the product disclosure statement for any product that the information relates to it before acquiring the product.
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