A claim on the works part of a policy may not necessarily mean a claim on the existing structure. However, quite often the two are linked.
Here are some examples to help you visualise what can happen.
Storm damage to an exposed property
It may not seem obvious that brickwork in the course of construction at a property should be susceptible to storm damage, however that’s what happened in a rural renovation and extension in Northamptonshire.
A claim on the works part of a policy may not necessarily mean a claim on the existing structure. However, quite often the two are linked.
The contractors were well into the above ground works and had just finished the gable ends of a 3000 ft square extension to an existing farmhouse.
At this stage the roof timbers and tiles were not on and the property was exposed. Over a weekend both gable ends blew over into the development causing damage to the works below. The debris removal and rebuilding costs amounted to £12,000.
Major theft prior to completion
Clients often perceive the point of highest risk being at the start of a project when there is lots of noise, dirt and dust. In reality it’s the period just prior to completion that experiences the highest incidence of losses.
In this scenario the contractors had finished the project all bar snagging at the very end of the project, but the owners had not moved in. Over the weekend before occupation an organised group of thieves entered the property and stripped out all the new plumbing, heating and bathrooms. They removed a new fitted kitchen and the appliances.
Clients often perceive the point of highest risk being at the start of a project when there is lots of noise, dirt and dust.
Unfortunately they were not as careful as the installing contractor and caused a lot of physical damage including water damage when they removed the items.
This loss amounted to £35,000.