High Valued Homes: Underwriting, Loss Control and Claims Considerations
Members of the Mutual Assistance team jointly presented on the topic of high valued homes at the WRC 2021 All Manager Meeting.
Personal Underwriting Consultant Melissa Stream, Manager of Property Loss Consulting Jeff Blevins and Property Loss Consultant Steve Carroll discussed underwriting and claims factors that should be considered (other than the dwelling limit of insurance).
Each mutual will need to decide what the limit threshold should be for a dwelling to be considered a high valued home. Exterior and interior factors should also be considered, including:
- Building materials
- Flooring and other interior finishes
- High valued, unusual and uncommon personal property items
- Higher quality appliances
- Special purpose rooms or recreational features.
Melissa gave examples of specialized policy features for high valued homes, as well as AAIS forms available to the mutuals to accommodate the expectations of policyholders who own high valued homes.
Jeff and Steve also highlighted that the expectations for these policyholders will be high, especially in the event of a claim for damage to the dwelling and personal property, and also for accommodations due to loss of use of the dwelling.
Loss Control Consultant Sabine Voigt discussed the importance of inspections (exterior and interior) of these types of homes, along with loss control features to limit severity of potential claims (water loss alert options and shutoff devices, sprinkler systems and AFCI electrical additions.)