Underinsurance

is being made worse by rising construction costs

 

A rise in construction costs this year is adding to the likelihood of significant underinsurance of buildings.

 

Prices have risen significantly for building products and materials this year. For example, timber, has seen prices go up by 50% due to several factors: pent up demand, Covid & Brexit to name a few.

 

Whilst many insurance policies apply index linking to increase the sums insured in line with inflation, it is the responsibility of the policyholder to ensure the sums are adequate to avoid underinsurance and average being applied in the event of a claim.

 

Dennis Watkins recommends assessing the rebuilding value of properties so that adequate cover is provided in the event of a claim. Talk to us today about your Property insurance and we can also arrange discounted desktop rebuilding valuations so you can be sure you have the correct sum insured.

 

Speak to us today.

 

 

Underinsurance
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