Look Out for the Hidden Costs

Claim Solutions recently prepared a claim for the reinstatement of a three storey, tenanted dwelling in the Melbourne CBD. Damage was extensive and reinstatement was difficult. The internal boundary walls were exposed brick which were heavily embedded with carbon and soot deposits from the smoke flowing from the fire. Painting of the brickwork would destroy the ambience of the building. Cleaning was necessary. After considering various methods high pressure water cleaning was the most viable option. This proved successful. The remainder of the building was reinstated, builders were paid, a final form of release was signed and the claim was resolved.

Two months later the Insured received an invoice from its water provider. To his dismay the invoice was some $3,000 greater than expected.

Enquiry suggested that the water provider had based previous quarterly invoices on estimated readings and a site reading was not conducted until after the claim was resolved. The increased charge was attributed to the high pressure brickwork cleaning several months earlier.

It is important to be aware that hidden costs from suppliers can appear some time after reinstatement is complete.

In this case the claim was successfully re-opened, however, other Insurers may not be so accommodating once final settlement has been agreed.

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Author

Claim Solutions Pty Ltd

Insurance Policy

Country: - Various

Policy Description: - Various

Insurer: - Various

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