Plum Underwriting Homeworks
Keena Wiegert
We're pleased to let you know that some of the products available to you via our digital platform - the Plum Online Portal, have updated policy wordings effective 1st May as part of our annual review.
We're here to help. COVID-19 is causing uncertainty to every aspect of daily life - we want to provide you and our policyholders with comfort about our stance on the effects of the current crisis. Here are some answers to FAQ's we've received recently - if you have a specific question not answered here, please email underw...@plum-underwriting.com and we'll be happy to help.
We are writing to let you know that we will be live testing our Business Continuity measures today in the event there is an escalation of preventative measures due to COVID-19. Our underwriting staff in the UK will be working from home today only to ensure our Business Continuity measures are resilient and we are well prepared to service you and our policyholders throughout the current situation.
We're looking forward to working with you this year - here are some reminders and updates about what we do We hope you enjoyed the festive period and wish you a happy and prosperous new year. 2020 has a lot in store and we're looking forward to sharing some exciting new initiatives with you over the coming weeks and months.
Crotty Insurance Brokers, a private company limited by shares, 6 Leopardstown office Park, Burton Hall Avenue, Sandyford, Dublin 18, Ireland (Registration Number: 217756), trading as Plum Underwriting is regulated by the Central Bank of Ireland (Register number C4721). Crotty Insurance Brokers Limited trading as Plum Underwriting, Registered Office 6 Leopardstown Office Park, Burton Hall Avenue, Sandyford, Dublin 18, Ireland (Registration Number: 217756) is regulated by the Central Bank of Ireland (Register number C4721) and authorised and subject to limited regulation by the UK Financial Conduct Authority. Crotty Insurance Brokers is a subsidiary of Brown & Brown (Europe) Limited.
With new and improved covers added from 1st July 2020 HomeWorks is our signature building works policy for homeowners and landlords renovating, refurbishing and extending their residential properties in the UK.
Our policy provides cover under one single, seamless policy for the existing structure, the contract works, the home contents and the homeowner's liability exposures for the period of any rebuilding, refurbishment or construction.
HomeWorks is backed by a team of specialist underwriters who have many years experience of contract works and household insurance. They understand the very real risks that your client' could be exposed to if they do not have adequate protection from their household cover.
Our cover is tailor-made to fit the specific requirements of your client and ensures that they are protected against the risks they either contractually agree to insure, or ought to be concerned about when insuring properly.
Our HomeWorks product has been designed to give the type of cover you would expect from a standard household insurance policy but which also extends to include the contractual obligations of the homeowner.
Please note that this summary is not intended as a full list of our policy conditions and exclusions. For full terms, conditions, exclusions and limitations please refer to our policy summary and policy wording, available at the Document Centre.
Why HomeWorks? When notifying their current household insurer of a significant home renovation, particularly where insurance cover is prescribed by contract, homeowners can frequently find themselves faced with numerous difficulties.
Alternatively, an insurer may provide some cover on the existing house but this is usually on a vastly reduced and highly restricted basis. This then puts the homeowner at risk of being in breach of any contractual obligations that may apply to the contract.
Household insurers will not normally cover the contract works, preference being this is arranged by the contractor. This means the homeowner is reliant on the contractor's insurance to provide adequate cover.
By agreeing to insure in joint names the homeowners existing insurer loses the right to pursue the contractor and recover any costs they may have to pay out in the event of a claim, even if they have been negligent.
Insurers can be extremely reluctant to maintain insurance which is in joint names and could seek to reduce their exposure by limiting the extent of cover. This means meaning the homeowner might then be in breach of their contractual obligations as stated within the JCT contract.
A homeowner may think that if a builder he hires injures a visitor, that builders insurance will pay. This belief has some merit but a visitor will see the owner as the creator of the risk, even if someone is working on his behalf.
Another important aspect to consider is the extent of liability cover required under a JCT contract. The standard JCT wording states that the contractor is only liable for their own negligence and not the negligence of the homeowner.
Under this policy, cover is written on an indemnity basis. The cover provided will ensure that the existing property will be restored to the condition it was in prior to any loss (providing it has been insured for the correct value).
The breadth of cover provided will however vary dependant on the construction of the property and its condition. For example, if a property is lived in as a main residence and is in a sound condition, we should be able to provide \\\"All Risks\\\"* cover. If the property is in a dilapidated state and unoccupied, then the perils operating would probably need to be restricted in some form.
Our HomeWorks policy gives an automatic cover of up to 2,000,000 in respect of your client's legal liability to others to compensate them for injury or damage to their property, arising out of their capacity as property owner during the period of insurance.
Within the UK* policy automatically provides a 24 hour advisory service for telephone advice on any private legal problem of concern to the homeowner or any member of their household. Specialist lawyers are at hand to help the homeowner or if they need a lawyer or accountant to act for them.
During the course of works at their home, your client will be exposing this valuable and important asset to increased risk. Regardless of whether your client chooses to buy insurance to protect themselves (and of course, we strongly recommend that they do), it is still important that they consider ways of protecting their property and exposures resulting from injury or damage to a third party.
Considerations such as JCT contracts, non negligence and basement excavations all require additional understanding and explanation to the client. To help with this we have compiled the following which you may find useful to remind your client of the issues they need to be aware of when their home is undergoing works.
What is the risk? During works, the exposure to fire is greatly increased due to electrical work, welding work, use of paint removal torches etc. Should fire occur, it has the potential to cause severe damage to property (which could put the project back months) and endanger life.
What is the risk? Always ensure that the home and its contents are adequately protected from intruders. However, during the course of works, with workmen perhaps going in and out of the premises, doors and windows may be left open and unattended. Scaffolding may make access to the upper parts of the building easier.
Whilst certain contract conditions between the client and the contractor may mean that they are responsible for insuring certain aspects of cover in joint names, (meaning that the client or their insurer cannot pursue a negligent contractor causing loss from a contract specified cause), there may be circumstances where the client or their insurer are able to pursue a recovery from a contractor.
If you would like to arrange one of these sessions please contact Head of Business Development Steven Bishop at steve....@plum-underwriting.com or speak directly with your Regional Trading Manager.
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