Claims: Common Mistakes to Avoid

During this year IBA has attended several types of claims: Fire, Engineering Insurances Policies, Pollution Liability, Financial Risk, etc.

Throughout our experience, we have been able to spot common mistakes that affect the way that the claims are handled. Here are some examples:
A) Underinsurance (caused by inflation or fluctuations in the exchange rate, raw materials and salary increases).
B) Incomplete or unclear drafting of policy conditions.
C) Difference in Conditions between Reinsurance Slips and Original policy wordings. These problems are generally caused by deficient translations, requirements of Insurance Commissioners from different countries and different interpretations made by the different countries’ customs and habits.
D) Litigation increase, including increase intervention from Consumer Defense Organisms.
E) Lack of knowledge from insured and local brokers regarding the coverages.
F) Changes in economic regulations in the different countries. ´
G) Quick Technological Advances in lower periods.
H) Communication problems and failures.
I) Reduction in Maintenance and Personnel training, due to economic crisis in some countries.
J) Increase in crimes and contraventions.

The high risk that these problems represent often result in a high cost for both parts, risks that could easily be prevented and avoided with the proper care. As a response EBD Alliance has consolidated a team of experts that is constantly reviewing and supporting the different markets in order to analyze each claim using a variety of tools such as: courses, talks, articles and professional collaborations.