There are many ways to protect your customer’s effects during a house move or period of storage, but regardless of whether you sell insurance using the deregulated model or have opted for an enhanced liability or self-insurance option, there are some common elements to successfully handling a claim.
Respond To The Customer’s Claim As Soon As Possible
The first thing to remember is that regardless of the merits of the claim, your customer is likely to have just experienced one of the most stressful periods of their life, so emotions are often running high. This can mean that an incident which would typically be overlooked can work its way up to being a major issue as far as your
customer is concerned.
If your customer needs to make a claim, a prompt and sympathetic response goes a long way to taking the heat out of the situation. Following a house move, customer stress levels may be significant, especially if a loss occurs to family heirlooms, high-value chattels or irreplaceable items such as family photo albums. This does not mean accepting liability, but facilitating the customer’s ability to initiate a claim and for it to be considered on its merits by Insurers’ appointed claims handlers.
Does The Customer Have To Make A Claim?
Your customer does not have to make a formal claim, so upon receipt of a claim, the matter may be dealt with amicably without them going through a formal claims process. Ultimately, this is a decision for the customer. Still, for relatively small claims, an acknowledgement, apology and small recompense in a speedy manner would retain a positive relationship, ensure a good customer experience and result in positive feedback or word of mouth.
Not making a formal claim may also reduce the impact claims can have on future premiums. Nonetheless, the right to claim remains with the customer, and no barriers should be put in place to dissuade a customer from pursuing a claim should they wish to do so.
Should the claim fall below the customer’s excess, it is worth politely pointing this out to them rather than having them spend the time and effort preparing and submitting a claim only to be informed after all that effort that no payment will be forthcoming.
If you have decided to take an enhanced excess as a business (which is not passed on to your customers), you will need to consider the appropriate response to any claims received that fall below that level. Of course, the customer always retains the right to submit a claim.
Provide A Claim Form
Insurers will require the completion of a claim form. In order to assist the customer, we suggest you provide this form to the claimant as soon as possible, requesting that it be returned to you for onward transmission to the insurers’ appointed claims handlers.
When returned to you, please complete your section of the claim form carefully with as much detail as possible and then forward it to the claims handlers together with all contractual documentation (including quote and acceptance, invoices and any inventories, job sheets, collections/delivery notes, etc.).
Provide Documentation To Support A Claim
Documentation is vital when making a claim. The customer is likely to be asked to provide documentation to substantiate their claim, such as:
• Receipts/Invoices
• Quotes/Estimates
• Photographs
The claims handlers will work with the claimant regarding the required documentation depending on the nature of the claim once the initial claim has been received, and the documentation required as explained on the claim form.
When submitting a claim to the claims handlers, the prompt provision and accuracy of your documentation will help smooth and expedite any claims process.
What If Someone Makes A Claim Against You?
Finally, and worthy of note, if someone is making a liability claim against you, you should inform your broker or the insurer’s claims handlers as soon as possible. It is important that you avoid admitting liability or enter into any discussion regarding the claim (unless it is a very low amount, which you are considering settling as a goodwill gesture without any admission of liability).
Accepting you are at fault can potentially prejudice both your position and that of your insurers. It may negate defences to a claim which might otherwise have been available to the insurers. In extreme cases, this could result in the insurers denying coverage under your policy and informing you that you will have to deal with the claim against you without their assistance or the benefit of coverage under the policy.
Any claim, letter, notice, writ or summons relating to a claim against you should be forwarded to your broker or the insurer’s claims handlers immediately upon receipt.
We all hope we do not have to make a claim. Nevertheless, insurance aims to protect and indemnify claimants (subject to the terms and conditions of the coverage).
CONTACT US
At Reason Global, our brokers and claims handlers take pride in assisting our clients on any claims they may receive to ensure the process is as painless as possible. Get in touch to learn more.
