Earlier this year we launched the new Hurford Parker website. If you haven’t been there yet you probably don’t know what you’re missing!

On the site you can find out more about the business insurances Hurford Parker offer, the wide range of personal insurances we handle and the life cover options we provide. People are also able to sign up to our enewsletter from the site and keep up to date with posted news.

One thing people tell us is great is the ability to make a claim from the website. The online form can make the claims process a lot faster and a lot less stressful. Why not save it as a favourite – just in case (hit Ctrl D on your key board when on the page).

There are also a number of other client forms available from the site. More specific commercial, motor vehicle and house and contents claim forms are accessible, as well a change of motor vehicle form, a client declaration form and a letter of appointment form.

In our industry we also know that people like to know who they are dealing with so be sure to check out our about us page. If there is a particular team member you would like to contact their phone and email details are listed.

We would love your feedback on the site. Please contact us regarding the site or any other matter.

Dean has over 18 years general insurance experience has held several senior management positions in the New Zealand insurance market including:

• New Zealand Property Underwriting Manager for Zurich New Zealand;
• Manager General Corporate with Vero General Corporate, Wellington;
• Wellington Branch Manager/Southern Region Property Underwriting Manager at Ace Insurance Limited; and,
• Claims Section Manager at State Insurance.

As an experienced claims manager and underwriter Dean has worked on insurance programs for many of New Zealand’s largest companies, including structuring and facilitating multi-national programs. Dean’s Experience is supported with the following qualifications:

• Senior Associate qualification of the Insurance Institute of Australia and New Zealand;
• Fellow Membership of the Insurance Institute of Australia and New Zealand;
• Massey University Graduate, Diploma in Business Studies; and,
• Industry specific study and training encompassing risk management, legislation, risk assessment methodology and mitigation, business structure, corporate governance and financial protection mechanisms.

If you would like to take advantage of Dean’s knowledge and experience, or just ‘pick his brain’ give him a call on 027 4833 280 or email dean@hpi.co.nz

The focus on insurance has been on the often misunderstood and complex topic of Business Interruption insurance. The earthquake events have had a profound impact on our industry.  Issues such as the stability of market players, rising costs of reinsurance treaties, and what this will mean for future premiums have meant that businesses now look at their insurance cover in a whole new light, with far greater scrutiny and reliance on their broker for the best advice.

The economic issues that are emerging out of this disaster are without doubt wide-reaching. The issues that appear to be most prominent in the market are strongly linked to business interruption insurance. For our clients who are directly affected, we have and will continue to work through complex claims scenarios with them in order to achieve the best possible results.

New Zealand insurers say “Business interruption appears to be one of the least understood products in general insurance. It is becoming clear that many, mainly small to medium businesses, did not have sufficient business cover in place when the first earthquake occurred in September 2010.” Consequent aftershocks and the large quake in February 2011 compounded the problem, highlighting concerns around adequate indemnity periods and sums insured. With business interruption insurance, specifying an adequate indemnity period is critical. In Christchurch, it is now becoming clear that removing debris, obtaining council approval, rebuilding and regaining market share is going to be a lengthy process.

Sums insureds need to be adequate to allow for Demolition costs, demand surge and rebuilding structures to higher building codes, will all detract from the aggregate total amount clients will receive to reinstate their businesses. Not surprisingly, business interruption insurance is going to come under scrutiny. Accordingly, it is essential we keep our clients informed about the finer points of business interruption policies, while ensuring they have the most appropriate cover possible in place should a natural disaster strike.

This notification is not about trying to address every possible business interruption issue and policy application. Instead it is designed to simply raise awareness of the potential issues that we have identified at Hurford Parker, for consideration and discussion with our clients.

Inadequate Cover for 50% of Claims
For those in the earthquake zone the significance of September the 4^th has not diminished. For many it continues to grow in significance. Many people and businesses had underestimated the value of their properties or simply forgotten to update their policies, and therefore did not have adequate insurance cover. Estimates are that 50% of all earthquake-related claims are under-insured. One business owner insured his commercial building for $300,000 Replacement Value. In reality, the cost will be more than $500,000 to completely rebuild.

Is your cover up-to-date?
What if it happened to you? Would your cover be up-to-date? www.geonet.org.nz says it “locates between 50 and 80 earthquakes each day, or about 15,000 a year.” On average more than 360 earthquakes greater than 4.0 magnitude strike New Zealand each year. Some areas, like Hawke’s Bay, are significantly more prone than others.

Your Cover Checklist
Assess your policy on an annual basis with your broker. Take time to ensure there are no gaps in your cover:

1. Make sure you carry out regular valuations of your business. Every two years is ideal, but every three years is acceptable;
2. Keep a record of any purchases, alterations and improvements made to your business in-between valuations and make sure your broker is kept up to date with these changes;
3. Review your Business Interruption policy (Business Continuity Plan) every year. Ensure you thoroughly review:
   • Gross Profit,
   • Additional Increased Cost of Working, and
   • Claim Preparation Costs and Indemnity Period
4. Keep your business insurance policy up to date for peace of mind and to ensure that you are protected if disaster strikes.

Business Continuity Planning – be ready
As part of assessing your cover, a great way to ensure your business is ready to deal with a major event is to create (and regularly review) a tailored Business Continuity Plan. When something goes ‘wrong’, your cover needs to minimise financial loss and get you back to ‘right’ as quickly as possible. Hurford Parker can sit with you to:

1. Define the key processes in a client’s unique operations, those that impact the most on profitability and productivity;
2. Identify the risks most likely to threaten those key processes, those risks that could cause significant interruption to operations;
3. Determine the likelihood each risk factor will occur, and the consequential impact; and,
4. Manage, mitigate, insure, avoid, assume or eliminate these business risks.

Give us a call or email us today to discuss the best way to ‘Get Your Business Ready’ to deal with a major event.

Some of the preceding is extracted from Lumley: MORE THAN Issue 7 November 2010.

How does it impact you?
The key point is that you need to ensure that you have comprehensive protection for your farm. After a Large Scale Event the Government will not provide any cash assistance for assets that are insurable. If you do not have insurance on insurable assets such as fences, culverts and hay, you are likely to be left out of pocket.

What is Hurford Parker doing?
It is important that the rural community fully understands the implications of this decision. As your brokers it is our duty to make you aware of this potential shortfall in your cover. We ask that you carefully review your farm insurance programme, in particular the Material Damage/Farm Assets cover to ensure that you have listed all your farm assets and that the sums insured adequately reflect the replacement cost. To discuss this further, please contact us.