Building Sense are able to provide accurate Reinstatement Cost Assessments (previously known as Fire Insurance Valuations) for your commercial premises.
This is the value you insure your property for, effectively the maximum extent your insurers will pay in the event that the worst happens. If you property is over insured you’ll be paying an insurance premium which is too high, and if under insured it is likely the insurers will only pay out a pro-rate proportion of your claim.
The Reinstatement Cost Assessment is typically based on the RICS’s Building Cost Information Service (BCIS) data, and generally comprises metre square rates applied to each part of the buildings and site, plus amounts for additional ‘non-standard’ features, such as air conditioning, lifts and uplifts for sites where access to rebuild is comprised, or where special foundations might be required.
In larger firms Reinstatement Cost Assessments are often prepared by graduates and juniors, and rounded up at each stage of the calculation when being checked by more senior staff back in the office; we’re increasingly finding that our clients’ buildings are over insured for this reason, and that reassessing means insurance premiums can often be reduced.
Whilst clearly preferable to being under insured, significant savings can be made on premiums by undertaking accurate Reinstatement Cost Assessments. Often insurance values are index linked, so it’s important to have the value checked and confirmed regularly. Again, if you are found to be under insured at the time of making a claim, the insurers will probably reduce your claim pro-rata by the proportion to which the building is under insured.
Building Sense are experienced at undertaking accurate insurance Reinstatement Cost Assessments (RCAs) and would be delighted to assist.
Call today for a fee proposal – 0161 215 1229.