Date: January 2012

A couple of reports from AXA Insurance caught our eye recently regarding events that have caused or are predicted to cause significant increases in claims.

Claims spikes are notoriously hard to predict and the increased workloads they produce are equally difficult to manage.

The storms that battered large parts of theUKin early January caused a big claims spike for AXA, according to Christine Matthews, Head of Household Claims.

The insurer reacted by drafting in staff from other parts of the business and introducing overtime, including extended weekend hours to help deal with the increased workload.

Aside from the extra workload, AXA also need to be vigilant to the opportunistic approaches made to their policyholders by tradespeople and builders offering second-rate repairs to storm damage at over-inflated rates.

This latter point can be a common problem, particularly with large household claims, where the effect of poor workmanship can be more profound. Policyholders are often in a vulnerable position after such devastating events

Weather related claims may be extremely difficult to plan for, but some events that lead to claims can be more easily predicted, according to a second report from AXA. It predicts that the Olympics, Euro 2012 and the Diamond Jubilee will produce a surge in the number of people holding events in their own homes that will have a direct knock-on effect to claims.

Data already held by AXA shows that family get-togethers and parties increase the incidence of accidental damage claims. For example, on New Year’s Day, 2011, the insurer experienced a 78% increase in losses.

AXA also warns that clever burglars could be aware of the times when homes will be empty. Some criminals are now using the Internet to find out when people are planning to be away from home. It is estimated that some 34% of people attending events such as the Olympic Games will have posted the news on social networking sites such as Facebook or Twitter.

The insurer has also warned that the continued “drought” conditions of the past few months could lead to a huge rise in subsidence in 2012.

Irrespective of what might or might not happen in 2012, we have always provided a service to private householders, either directly or through various claims schemes for brokers.

Can we help you?

When you appoint Harris Balcombe you get access to directly employed professionals, including:

Chartered Loss Adjusters

Chartered Surveyors

Chartered Accountants

If you’d like a free consultation on a claim to see if we can help you e-mail us with some basic details and a suitable time to contact you and we’ll call you back.