Insurance
indepth
10 reasons to review your insurance in 2020
The start of a year is a good time to review your insurance to ensure it’s up to date and you have the right cover. ARMA recently partnered with property insurance experts Insurety to create ARMA INSURE. Insurety’s Rob Mayo shares his 10 top tips.
Insurance regulations change Your insurance provider should keep you up to date on any change to regulations,
solutions to help clients save money, lives and mitigate risk. Access to expert Risk Management advice should be an integral part of the service offered by your insurance provider.
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especially as the UK exits the EU. ARMA and Insurety work with the Ministry of Housing Communities & Local Government to help shape the future regulation of the industry so products and processes including claims management are regulation ready.
Protect Directors and Officers
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Many people don’t realise they can be held personally responsible for errors or omissions when they agree to become a Director of a Residential Management Company or Right to Manage Company. Directors and Officers insurance provide defence costs and compensation if they are held personally liable for a wrongful act whilst working on behalf of leaseholders. Specialist covers Obtain advice on whether the properties you manage need specialist covers such as Directors & Officers Environmental Liability, Professional Indemnity, Terrorism and where there’s a lift, Engineering. 7
Client Money Protection All firms operating within the Private Rented Sector (PRS) in England and Wales
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are required by law to hold a government approved Client Money Protection scheme membership but there are key differences for managing agents. Letting agents hold around £500,000 of client money whereas residential managing agents may typically hold over £6m and not actually be covered by their lettings CMP scheme. The “levy schemes” currently available pool the premiums paid by members to pay claims from other members. This works well within the PRS as claim amounts tend to be small, however one claim from a managing agent could cost the premiums paid by all members. An innovative new Client Money Protection product will soon be available specifically designed for UK-based managing agents where firms pay a premium based upon their individual risk and are not affected by the claims of other members.
10 TOP tips
Join a community ARMA has over 300 members who can draw on extensive technical advice, professional guidance, training and support
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that cannot be found elsewhere. This gives ARMA accredited managing agents a distinct business advantage over their competitors.
Access to expert advice Specialist and experienced property insurance providers are best placed to provide the
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Service If you’re not receiving good service, switch provider! Review your insurance Most insurance providers offer a free review of your existing insurance. Why not make a
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Managing claims One aspect of insurance that often gives managing agents a headache is having to
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right cover and price. They should be able to search a panel of reputable UK insurers to find the best solutions for you.
track the progress of claims which can be time consuming and stressful. The claims management process should offer a 24/7 service for you, leaseholders and residents alike, leaving you free to spend your valuable time elsewhere.
Risk Management Residential managing agents need up to date safety and compliance risk management
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New Year resolution to check yours?
Rob Mayo is managing director of Insurety
21 ISSUE 105
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