Hurricane Preparation and Recovery – Claims Guidelines
Hays is standing by to assist clients who have been affected by Hurricane Florence; including those with facilities that have been directly impacted or experiencing supply chain disruptions.
If this is an emergency, please contact our Emergency Claims Hotline at 1.844.239.4937 or via email at email@example.com
Hays has the expertise to support you with navigating the complicated claims process, which allows you to focus more of your time and energy on assisting employees, mitigating losses and restoring business operations.
We suggest the following three-phase approach to facilitate an efficient and successful recovery.
Phase I – Emergency Response
1. Notify Hays and your insurer of the loss as soon as possible.
2. Coordinate your loss response team and direct responsibilities for each individual. Typical parties which may be involved include the following: Risk Management, Finance, Operations, Supply Chain, Logistics, Third-Party Vendors, and your Hays Claims Consultant. We suggest appointing a singular direct point of contact with the adjuster (often the risk manager).
3. Establish accounting procedures for capturing loss activity (typically a separate accounting string to which all loss-related expenses are tracked).
4. Contact remediation contractor(s) to complete emergency repairs (water extraction/drying equipment). Protect buildings and equipment from additional damage by making temporary repairs. Restore service to fire protection systems as quickly as possible. Document conditions with photographs.
5. Evaluate and separate damaged from undamaged stock. Document with photos and retain all property for the adjuster to inspect. Create an itemized inventory of the property including type (SKU, make/model, S/N, etc.), description, quantity, disposition (undamaged, reprocess, dispose of) and price.
6. Create a recovery plan for re-establishing operations and mitigating business interruption. Typical options include the use of undamaged inventory on hand, outsourcing to sister facilities, implementation of additional shifts/OT, and rental of temporary alternate locations.
7. Review applicable leases (Landlord/tenant, leased machinery/equipment, etc.) for insurance requirements and notify third parties who may have an additional interest.
Phase II – Recovery and Claim Submission
1. Review of policy jointly with Hays to identify policy provisions and deductibles which may be relevant. Frequently there are special coverages, sublimits or deductibles that apply to hurricane-related losses.
2. Commence with reconstruction. This should be coordinated with the adjuster to ensure agreement on the scope of work and how invoices will be issued (competitive bid, agreed lump sum, or time & materials basis).
3. Track and document all loss-related repair expenses (emergency response, temporary repairs, reconstruction, inventories, etc.).
4. Identify and document loss-related issues that impair operations, which may include: direct physical damage at your location(s), infrastructure damage (bridges, roadways, etc.), utility interruption (sewer, power, gas, etc.), damaged facilities of customers/suppliers and orders issued by civil/governmental entities. For issues that do not originate at your location, confirm the specific cause and site where the damage occurred.
5. Prepare loss analyses demonstrating Business Interruption losses and Extra Expenses in a clear and concise format, in accordance with your insurance policy.
6. Prepare overall damage estimates and communicate potential loss exposures with the adjuster to ensure they understand the total impact to your business.
7. Submit claim(s) to your insurer including explanatory narrative, calculations and supporting documentation. Request advance payments from your insurer as necessary. It is essential to communicate timelines for payment expectation with the adjuster well in advance, to allow adequate time for evaluation and processing.
8. Continually monitor timelines for claim process and business recovery.
Phase III – Ongoing Activities, Adjustment, and Settlement
1. Respond to inquiries from your insurer and their representatives.
2. Direct timely and complete exchange of claim documentation. Analyze insurer’s evaluation/response to determine areas of difference and coordinate with Hays to strategically respond.
3. Prepare for and embark upon final claim negotiations and settlement with the insurer.
Please contact your Property marketing representative or the claims team at any time to discuss your claim and how Hays may be of assistance.
Emergency Claims Hotline