When insurance treats owner builders unfairly, is just not right, it’s outrageous!

July 12, 2018 5:29 am Published by 10 Comments

Insurance companies who avoid packaging remarkable insurance cover never reach comprehensive cover status, unfortunately a common occurrence. As evident today by current events splashed across our news, building profitable insurance produces is as simple as removing cover from high risk and regular events, and replacing it with cover which unclaimable or ambiguous in its definitions.

It’s all in the insurers definitions and terms and conditions. The owner builder segment is a contrast of mums and dads renovating or construction their new residence and, the free for all commercial insurance segment. This border-less market allows ‘cheating’, and the usual suspects are deep into it.

Cheating occurs when an insurance product excludes cover for incidents which are unpredictable, highly likely, and can reoccur more than once during a project period.

Water damage arising from rain, tempest, hail or storms is unequivocally club house leader when it comes to insurance claims. Then why do some insurers exclude water damage? A dwelling under construction or renovation is highly susceptible to these events should they strike a neighbourhood. This cheats the insured or owner builder out of comprehensive cover.

Burglary is covered but theft is excluded when building materials or fittings and fixtures are stolen. This is cheating by practicing confusing terms and definitions.

Failure by design to exclude subcontractor events, injury or claims. Cheating.
Denial of defence costs, which may allow an insured to seek second opinions or contest claims decisions. Cheeky and cheating.
Quoting a premium which is not a final price, with a company mantra to up-sell through the sales process, and avoid detailed policy explanations. Cheating.
If cheating is taking unfair, illegal or out of the rules advantage of somebody to provide financial or commercial gain to the perpetrator, then cheating on insurance cover mirrors this criteria.

Today’s highly competitive environment where insurance firms focus on sales and premium revenues, inexperienced insurance buyers may be caught out in a moment of haze. At Qtrust our firms guiding light emanates from ‘advice driven insurances’. In other words careful and precise clarifications and explanations, and above all else respect for our clients and their need for reliable advice.

There are 4 types of cheating defined by author and relationship speaker, Andrea Syrtash, (www.andreasyrtash.com)
1. Physical cheating
2. Emotional cheating
3. e’- cheating
4. Mental cheating

While cheating constitutes many things the common thread is secrecy, deception, and betrayal. Commercial insurance environments are not quarantined from these threads, they are just called something else: ‘phoenix’ activities.

Since 2001, Qamvis Insurance Group has served aspiring high net worth Australians with advice and professional services. More recently our retail brand, Qtrust Insurance and Advisory services precisely reflects these values and standards.

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This post was written by Technical Underwriting Centre

10 Comments

  • Cindy (Hawthorn WA) says:

    cheating not so much as stealing!!! this post makes sense and is realy helpful.

  • William d says:

    sounds like someone knows what their talking about because the other company i have just call couldn’t answer the basic of questions – how does this insurance work?

  • Hillary s says:

    FWIW very helpful.tns

  • nina rota says:

    good pointers

  • kaye williams says:

    why didnt our first broker tell us this ?

  • dianne sth melb says:

    helpful

  • choosy2 says:

    honest appraisal from an insurance broker? now thats different

  • JoJodie says:

    I would like to talk to someone but it’s a bit hard at work atm. What we really are looking for is the best cover possible to ensure, materials, weather damage, accidents, voluntary workers and theft is covered. Can you ensure your policies can cover this?

    Reply:
    Understood. We are here till 8pm, and available 7 days.
    The policy we presented is (undisputed by the industry) as the best possible all round comprehensive insurance available. This fact is borne out by, it’s the only policy that clearly sets out to protect an owner builder and their financial assets, (where as others set out to protect the insurer).
    The points you raised below are all included and also:
    1. Fire. Bush fire, accidental fires and electrical fires
    2. Theft of building materials, windows, doors, appliances, tiles, electrical & data cabling, timber etc
    3. Storms, wind, weather and tempest damage
    4. Rain and water damage
    5. Vandalism, malicious including graffiti damage
    6. Sub-contractor actions. Sub-contractor injury. Worker to worker injury, supplier or delivery personnel damage or injury
    7. Comprehensive best in class, industry standard Public Liability, Legal Liability and 3rd Party Liability; property and personal.
    8. Neighbouring property, council property damage. Damage to gutters, roadways and other public assets
    The matter of Voluntary Workers is a Personal Class of Insurance, and this means the beneficiaries of the Policy are the Voluntary Workers not necessarily an owner builder – we don’t wish to get too technical, but insurance is technical and legal and that that’s our job to get to right. We will be pleased to talk to you about any elements of our offer and insurance details.

  • kentkanperthwa says:

    your insurance was recommend to us by our architect who said exactly the things as your article says, watch out for the insurance exclusions. but its all so confusing. we spoke to your louise who explained everything in a calm, concise manner, and help us through the paper work. she was a godsend thank you

  • kumars says:

    ….and they say we dont need a royal commission? we experienced the fallout of a second rate insurance that was sold as the best, when in fact we learnt, not from our broker neither, it did not cover water damage. outrageous and disgusting. you were recommended to us by our building surveyor so all ok now.

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