Fire Insurance Reinstatement Cost Assessment
We have found that many property owners have not updated their fire insurance reinstatement cost assessment for insurance purposes, in some cases for many years. This is particularly important as there has been a significant increase in buildings costs particularly in the last two years. This means that many properties are under insured. Whilst it is probably unlikely that there would be a total loss, it is important to be aware of ‘Average Clause’ whereby the claim is made even for a smaller amount than the total loss. The insurance company will apportion the amount paid based on the percentage by which the property is underinsured. We are able to provide an up-to-date reinstatement cost for insurance purposes in accordance with RICS guidelines.